A 401(k) is the primary retirement savings vehicle for US employees, offering tax-deferred growth and often employer matching. Use our free 401k Calculator 2026 to project your balance at retirement with IRS limits auto-applied. Related: US paycheck calculator guide.
2026 401k Contribution Limits
Under 50: $24,500. Ages 50-59 and 64+: $32,500 (with $8,000 catch-up). Ages 60-63: $35,750 (SECURE 2.0 super catch-up). Our calculator applies the correct limit based on your age.
Employer Match — Free Money
The most important factor in 401k growth is capturing your full employer match. A typical structure: 50% match on contributions up to 6% of salary. If you earn $75,000 and contribute 6%, you put in $4,500 and your employer adds $2,250 — that's a guaranteed 50% return on those dollars.
Traditional vs Roth 401k
Traditional 401k contributions reduce taxable income now; withdrawals in retirement are taxed. Roth 401k uses after-tax dollars but withdrawals are tax-free. Roth makes sense if you expect higher tax rates in retirement.
The Power of Starting Early
A 30-year-old contributing $9,750/year (including match) at 7% return for 37 years accumulates over $1.5 million. Starting at 40 with the same contributions leaves only 27 years — the outcome is dramatically lower. Start as early as possible.
Rule of Thumb: Get the Full Match
Contribute at least enough to get 100% of your employer match — usually 3-6% of salary. Beyond that, aim for 10-15% total (including match) for a comfortable retirement.
401k Benchmarks by Age
Fidelity suggests: 1× salary saved by 30, 3× by 40, 6× by 50, 8× by 60. Use our calculator to see where you stand and what changes would close the gap.
Frequently Asked Questions
What is the 401k contribution limit for 2026?
For 2026, employees under 50 can contribute up to $24,500. Workers aged 50-59 and 64+ can contribute $32,500 (including a $8,000 catch-up). Workers aged 60-63 can contribute up to $35,750 under the SECURE 2.0 Act's super catch-up provision. Employer matching contributions are separate and bring the combined limit to $72,000.
How much should I contribute to my 401k?
At minimum, contribute enough to capture your full employer match — if your employer matches 50% of contributions up to 6% of salary, you should contribute at least 6%. Beyond that, financial advisors commonly recommend 10-15% of gross salary including the employer match. If you can, maxing out your contribution limit gives the most tax advantage.
What is the employer 401k match and why does it matter?
An employer match is money your company adds to your 401k — essentially free money. A common structure is "50% of your contributions up to 6% of salary," meaning if you contribute 6%, your employer adds another 3%. Not capturing the full match is equivalent to leaving part of your compensation on the table.
What is the SECURE 2.0 super catch-up contribution?
Under the SECURE 2.0 Act, workers aged 60-63 can make "super catch-up" contributions of an additional $11,250 beyond the base limit in 2026, for a total of $35,750. This window was specifically created for workers who are behind on retirement savings and have a few peak earning years before retirement.