The Internal Revenue Service has released the 2026 cost-of-living adjustments (COLA) applicable to pension plan contribution limits. In addition to impacting Social Security beneficiaries, retirement contributions and pension plan benefits are required by law to be adjusted annually for COLA increases. The tables below detail new annual limits and contribution amounts.
*Under a change made in SECURE 2.0, a higher catch-up contribution limit applies for employees aged 60, 61, 62 and 63 who participate in SIMPLE plans. For 2026, this higher catch-up contribution limit is $5,250.
**Under a change made in SECURE 2.0, a higher catch-up contribution limit applies for employees aged 60, 61, 62 and 63 who participate in these plans. For 2026, this higher catch-up contribution limit is $11,250 instead of $8,000. However, if you earn more than $145,000 in the prior calendar year, all catch-up contributions for those ages 50 or older will need to be made to a Roth account in after-tax dollars.
Source: 401(k) limit increases to $24,500 for 2026, IRA limit increases to $7,500 | Internal Revenue Service. (2025, November 13). https://www.irs.gov/newsroom/401k-limit-increases-to-24500-for-2026-ira-limit-increases-to-7500
