Each year the IRS adjusts how much you can stash in tax-advantaged retirement and health accounts, and for 2026 several key limits moved higher. If you want to put more money to work before taxes — or grow it tax-free — here is exactly how much room you have this year and how to use it wisely.
401(k) Limits for 2026
The amount you can contribute to a workplace 401(k) plan in 2026 has increased to $24,500, up from $23,500 in 2025. This applies to 403(b) plans and most 457 plans as well.
- Standard limit: $24,500 for those under 50.
- Age 50 and older: a catch-up contribution brings the total to roughly $32,500.
- Ages 60 to 63: under SECURE 2.0, a higher catch-up of $11,250 applies, on top of the standard limit.
Remember that these caps cover your own salary deferrals. Employer matching contributions are separate, which means your match is essentially free money layered on top of your personal limit.
Traditional and Roth IRA Limits
For Individual Retirement Accounts, you can contribute up to $7,500 across your Traditional and Roth IRAs combined in 2026, up from $7,000 in 2025.
- Under 50: $7,500 total.
- 50 and older: the catch-up rose for the first time in years to $1,100, bringing the total to $8,600.
Keep in mind that the IRA limit is a combined cap. If you put $5,000 in a Roth, you have only $2,500 of room left in a Traditional IRA for the year.
Health Savings Account (HSA) Limits
An HSA is one of the most underrated retirement tools because it offers a rare triple tax advantage: contributions are deductible, growth is tax-free, and qualified medical withdrawals are tax-free. To contribute, you must be enrolled in a high-deductible health plan.
- Self-only coverage: the limit rises to $4,400 in 2026, up from $4,300.
- Family coverage: the limit rises to $8,750, up from $8,550.
- Age 55 and older: an extra $1,000 catch-up still applies.
How to Prioritize Your Accounts
With limited dollars, the order in which you fund these accounts matters. A widely used sequence looks like this:
- 1. Capture the full employer match. Contribute at least enough to your 401(k) to earn every matching dollar. Skipping it is leaving guaranteed return on the table.
- 2. Max your HSA if eligible. The triple tax benefit makes it arguably the most efficient account available, and unused funds roll over year after year.
- 3. Fund a Roth or Traditional IRA. IRAs typically offer broader investment choices than workplace plans.
- 4. Return to the 401(k). If you still have money to invest, push your 401(k) toward the $24,500 cap.
Watch the Income Phase-Outs
Roth IRA eligibility and the deductibility of Traditional IRA contributions both phase out at higher incomes. If you earn too much to contribute directly to a Roth, ask a tax professional about a backdoor Roth strategy, which remains available in 2026.
Make a Plan Before Year-End
Maxing out every account is a stretch for most households, and that is fine. The goal is to raise your contribution rate steadily. A practical move: each time you get a raise in 2026, increase your 401(k) deferral by one or two percentage points. You will barely notice the change in your paycheck, but compounding will notice it for decades.
The Bottom Line
The 2026 limits give you more tax-advantaged room than ever: $24,500 in a 401(k), $7,500 in an IRA, and up to $8,750 in an HSA for families. Capture your match first, exploit the HSA's triple tax break, and automate annual increases. Small, consistent moves now compound into a dramatically larger nest egg later.