How Much Can You Put Into a 403b Per Year?

A 403(b) plan is a retirement savings vehicle available to employees of public schools, certain 501(c)(3) non-profit organizations, and church employees. Governed by the Internal Revenue Code, these plans allow eligible individuals to save for retirement on a tax-advantaged basis. The amount an individual can contribute annually is determined by several distinct limits that can interact with one another. This article explains the standard employee contribution limit, special catch-up provisions, and the overall cap on total additions to an account. These contribution limits are indexed for inflation and can change yearly.

The Employee Elective Deferral Limit

The employee elective deferral limit is the maximum amount an employee can choose to have deducted from their salary and contributed to their 403(b) account during the calendar year. For 2025, the elective deferral limit is $23,500. This cap applies to the employee’s contributions alone and does not include any amounts contributed by the employer.

This single limit encompasses the combined total of all employee contributions, regardless of their tax treatment. Many 403(b) plans offer both traditional pre-tax contributions and Designated Roth 403(b) contributions. Pre-tax contributions reduce your taxable income for the year, while Roth contributions are made with after-tax dollars, allowing for tax-free withdrawals in retirement.

For instance, an employee could contribute $15,000 to a traditional pre-tax 403(b) and $8,500 to a Roth 403(b) within the same plan, reaching the $23,500 limit. It is the employee’s responsibility to monitor their contributions to ensure they do not exceed this annual cap, especially if they work for more than one employer during the year.

Special Catch-Up Contributions

Beyond the standard deferral limit, 403(b) plans offer two distinct types of “catch-up” contributions that allow certain individuals to save more. These provisions are designed to help those closer to retirement or with long service increase their savings. The availability of these options depends on the specific terms of the employer’s 403(b) plan document.

Age-Based Catch-Up

The most common provision is the age 50 catch-up. An individual who is age 50 or older by the end of the calendar year can contribute an additional amount above the standard elective deferral limit. For 2025, this additional amount is $7,500. This means an eligible employee can contribute the base limit of $23,500 plus the $7,500 catch-up, for a total of $31,000 from their own salary.

A newer provision from the SECURE 2.0 Act allows for an even higher catch-up for employees aged 60, 61, 62, and 63, though this is optional for employers. If a plan adopts this feature, eligible employees can make a higher catch-up contribution of $11,250 in 2025, but should verify availability with their plan administrator.

15-Year Service Catch-Up

A unique feature of 403(b) plans is the 15-year service catch-up contribution. This allows employees with 15 or more years of service with a qualifying organization—such as a public school system, hospital, or church—to make an additional contribution. This catch-up is limited to the lesser of three amounts: $3,000; a lifetime maximum of $15,000, reduced by amounts used in prior years; or $15,000, reduced by a formula based on prior deferrals and years of service.

If an employee is eligible for both the age 50 and the 15-year service catch-ups, a specific ordering rule applies. Any contributions made above the standard $23,500 limit are first applied to the 15-year service catch-up. Only after that catch-up is fully utilized can contributions be applied toward the age 50 catch-up.

The Overall Annual Additions Limit

Separate from the limits on an employee’s own contributions is the overall limit on “annual additions.” This is a broader cap that restricts the total amount of all contributions made to a participant’s account in a single year. For 2025, this limit is $70,000. This total includes the employee’s elective deferrals (including catch-up contributions), employer matching contributions, and any other non-elective employer contributions.

For example, an employee under age 50 contributes the maximum of $23,500 to their 403(b). Their employer provides a matching contribution of $10,000 and a non-elective contribution of $5,000. The total annual addition to the employee’s account would be $38,500, which is well below the $70,000 overall limit.

This limit becomes particularly relevant for higher-income employees or those in plans with generous employer contribution formulas. It is the joint responsibility of the employee and the employer’s plan administrator to ensure that total annual additions do not surpass this limit.

Coordinating Contributions with Other Plans

An employee’s participation in other retirement plans can affect their 403(b) contributions. The $23,500 elective deferral limit for 2025 is an aggregate limit that applies across multiple plans, including 401(k)s, other 403(b)s, and SARSEP plans. This means an individual cannot contribute the maximum to both a 401(k) and a 403(b) in the same year.

For example, if an employee contributes $15,000 to a 401(k), they can only contribute a maximum of $8,500 to a 403(b) at a second job. The age 50 catch-up contribution also falls under this shared limit structure, and exceeding the aggregate limit can lead to tax penalties.

A notable exception is the 15-year service catch-up. This specific contribution is not aggregated with other plans and applies only to the 403(b) plan of the qualifying employer where the service was met.