2026 IRA Contribution: The U.S. federal government’s tax collection and enforcement agency, the Internal Revenue Service (IRS), announced new pension contribution limits on Thursday, November 13, 2025, according to an official release.
An individual can now contribute $500 more to their Individual Retirement Account (IRA) starting in 2026, according to official figures. The IRA contribution was increased to $7,500 per year, compared to the previous $7,000 in 2025.
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The IRS also increased catch-up IRA contributions for investors age 50 and older to $1,100, compared to the current level of $1,000.
“The annual IRA contribution limit increases to $7,500 from $7,000. The catch-up IRA contribution limit for individuals age 50 and older was adjusted under the SECURE 2.0 Act of 2022 (SECURE 2.0) to include the annual cost-of-living adjustment 5 was increased to $1,100 in the official release $1,020 from $1,000 USD.
The individual’s annual contribution limit also applies to contributions to traditional and Roth IRAs.
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IRS raises 401(k) limits.
In its Thursday filing, the Internal Revenue Service (IRS) also announced that individuals can contribute $24,500 a year to their 401(k) plans in 2026, compared to their current level of $23,500 in 2025.
According to a CNBC news report, some investors can deduct their IRA contributions before taxes, depending on their income and whether they or their spouses have access to a retirement plan.
In the announcement, the IRS also increased the scope of the phase-out for IRA deductibility in 2026.
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For individual taxpayers covered by a workplace retirement plan, the IRS phaseout range has increased to $81,000 to $91,000 for 2026, compared to their ranges of $79,000 and $89,000 in 2025.
For married couples filing jointly, if the IRA-contributing spouse is covered by a retirement plan, then the phase-out range increased to $129,000 to $149,000, compared to $126,000 and $146,000 in 2025.
If the IRA contributor is not covered by a workplace pension plan and is married to someone who is insured, then the exclusion ranges will increase to $242,000 and $252,000 in 2026, compared to $236,000 and $246,000 in 2025.
Finally, if any married person files a separate return and is covered by a pension plan, the exclusion amount will not be subject to an annual cost-of-living adjustment and will remain between $0 and $10,000, according to the official notice.
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Key things
- The individual IRA contribution limit increased to $7,500 per year for 2026.
- The IRS also increased catch-up IRA contributions for investors age 50 and older to $1,100.
- Individuals can contribute $24,500 per year to their 401(k) plans in 2026.
