What is the 401(k) catch-up contribution?

By Forinfos - 09/06/2025 - 0 comments

A 401(k) catch-up contribution is an additional allowance for participants who are 50 years or older. As of 2014, the maximum amount for a catch-up contribution is $5,500 per year, which would be in addition to the $17,500 statutory limit.

A vast majority of plans allow for catch-up contributions to offer participants the chance to increase their retirement savings in the latter stage of their careers. Catch-up contributions must come from a payroll deduction, and on several occasions, the 401(k) plan will need to be amended to allow for such a payment. Employers are not forced to match these added contributions.

Login to Comment

Comments

Be the first to write a comment for this article.

Related Articles

What is a catch-up contribution to a 401(k) plan? Are catch-up 401(k) contributions pre-taxed for people over 50? What is the 401(k) contribution limit? Where can you find the current limits for 401(k) catch-up contributions? What is a 401(k) maximum contribution? What are the 401(k) contribution limits? What are the contribution limits on a 401(k)? What are the Roth 401(k) contribution rules? What is the maximum 401(k) contribution per year? Are 401(k) contributions subject to FICA tax?

Trending Articles

Has Megyn Kelly of Fox News ever been married? Is Teresa Earnhardt remarried? How many songs has John Denver released? Is advice from Jim Cramer reliable? How do you draw a cross? Did John Denver get divorced? How many films has Helen Mirren starred in? Is it legal to download full movies online from torrent sites? How is pencil lead hardness graded? How tall is Noel Paul Stookey?