India, March 8 -- The Internal Revenue Service (IRS) has increased the annual contribution limit for 401(k) retirement plans in 2026.

IRS announced in a news statement last year that it has boosted the amount individuals can contribute to their 401(k)s to $24,500 for next year, up from $23,500 in 2025, the greatest increase in two years.

The IRS also announced additional individual retirement account savings limits, higher income criteria for Roth IRA contributions, and 2026 catch-up contribution restrictions for individuals 50 and older, in addition to 401(k) limits.

As per the updated rules, employees participating in 401(k), 403(b), most 457 plans, and the federal Thrift Savings Plan can contribute up to $24,500 in 2026, up from $23...