IRS Inflation Updates

The IRS just posted Notice 2026-66 increasing contributions limits and income ranges of retirement accounts for cost-of-living adjustments.

Some changes:

• The elective deferral limit for 401(k), 403(b), governmental 457 plans, and the Thrift Savings Plan increases to $25,500 (from $24,500).
• The regular IRA contribution limit stays at $7,500. The age-50+ IRA catch-up limit remains $1,100.
• The standard age-50+ catch-up for most workplace plans rises to $8,500 (from $8,000), so participants 50 and older can generally contribute up to $34,000. Under SECURE 2.0, participants ages 60-63 get a higher catch-up of $11,750.
• Income ranges for traditional IRA deductions, Roth IRA eligibility, and the Saver’s Credit all increase.