Some Can Contribute Up to $34,750 to Their 401(k) in 2025
Workers aged 60-63 will have the ability to contribute up to $34,750 in 401(k) catch-up amounts starting in 2025 for their retirement plans. Through the Secure 2.0 legislation workers can now enhance their saving capacity just before they retire from their jobs. The current modification stands as one of the largest retirement savings changes in the past years. Also Read: BlackRock Warns: It’s Now Riskier to Ignore Bitcoin Than Own It Maximize 401(k) Catch-Up Contributions And Tax Savings In 2025 Source: Watcher Guru New Age-Based Catch-Up Limits The maximum annual 401(k) contribution that people can make in 2025 stands at $23,500. Workers between 50-59 have the opportunity to maximize their 401(k) catch-up contributions with a total of $31,000 that combines the basic $23,500 with a supplemental $7,500 allowance. Workers who fall between the ages of 60 and 63 can make extra catch-up contributions totaling $11,250 which enables them to accumulate approximately $34,750 by the end of the y...