Announcements

January 30, 2025

2025 contribution limits

Contribution maximums and other dollar limits are readjusted annually based on inflation.
The table below shows the allowable contribution amounts and dollar limits for 2025 and 2024.

Retirement plan contribution and dollar limits

Type	Limits
	2025	2024
401(k) deferrals (total traditional and Roth employee contributions)	$23,500	$23,000
Catch-up contributions (Ages 50–59 and 64+)*	$7,500	$7,500
Catch-up contribution (age 60–63)*	$11,250	$7,500
Annual additions limit for DC plans†	$70,000	$69,000
Annual compensation limit	$350,000	$345,000
Lookback year‡ compensation for Highly Compensated Employees (HCEs)	$160,000	$155,000
Taxable wage base for Social Security	$176,100	$168,600
Taxable wage base for Medicare	Unlimited	Unlimited

*Starting in 2026, catch-up contributions for higher earners are required to be Roth after-tax contributions, even if regular contributions are pre-tax. Participants with FICA wages below $145,000 (to be adjusted for inflation) in the prior year are exempt and can elect pre-tax or Roth catch-up contributions (if available).

† The DC annual additions limit is effective for limitation years ending in the calendar year.

‡ Use current lookback year compensation to determine HCEs for the following year. For example, use the 2024 lookback compensation to determine the HCEs for the plan year beginning in 2025.

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