What Is the Max I Can Contribute to My 401(k)?

Contribution thresholds for 401(k) plans are defined annually by the Internal Revenue Service (IRS) and are subject to cost-of-living adjustments. These figures are important for maximizing retirement savings and ensuring compliance with federal tax law. The limits govern how much an individual can personally contribute from their salary and also cap the total amount that can be added to an account from all sources, including employer contributions.

Employee Contribution Limits

The primary limit most savers focus on is the employee contribution limit, officially known as the elective deferral limit. For 2025, the IRS has set this limit at $23,500. This cap applies to the total amount of money an employee can have withheld from their paycheck and deposited into their 401(k) account over the course of the calendar year.

This single limit encompasses both traditional pre-tax and Roth 401(k) contributions. An employee contributing to both types cannot exceed the $23,500 ceiling in total for 2025. For example, if an employee contributes $15,000 to a traditional 401(k), they can only contribute a maximum of $8,500 to a Roth 401(k) in the same year. The allocation is flexible, but the combined total must stay at or below the annual limit.

The tax code allows for additional contributions for individuals nearing retirement age. Workers age 50 and over are permitted to make “catch-up” contributions. For 2025, the standard catch-up amount is $7,500, meaning an individual age 50 or older can contribute a total of $31,000 ($23,500 regular + $7,500 catch-up).

A provision effective in 2025 introduces a higher catch-up amount for individuals ages 60, 61, 62, or 63 by the end of the calendar year. For those in this age range, the catch-up limit increases to $11,250, if their plan allows it. This brings their total potential employee contribution to $35,000 for 2025 ($23,500 + $11,250). Because eligibility is based on age at year-end, an individual who turns 64 during the year is only eligible for the standard $7,500 catch-up. You should verify with the plan administrator if the plan has been updated to permit this higher amount.

The Overall Contribution Limit

Beyond what an employee contributes, a separate, higher limit governs the total annual additions to a 401(k) account from all sources. For 2025, this total limit is $70,000. This cap also prevents total contributions from exceeding 100% of the employee’s compensation for the year.

This overall limit is the sum of several components. It includes the employee’s elective deferrals, any employer matching contributions, and any employer nonelective contributions, such as profit-sharing payments.

Catch-up contributions do not count against this overall limit. For example, an employee over 50 who contributes their maximum of $31,000 in 2025 ($23,500 + $7,500 catch-up) can still receive employer funds. Their employer could contribute up to $46,500 ($70,000 – $23,500) in matching and profit-sharing, assuming the employee’s compensation is high enough, as the $7,500 catch-up sits outside this calculation.

For example, an employee under age 50 who contributes the maximum of $23,500 to their 401(k) could also receive a $7,500 employer match based on a $150,000 salary. The total annual addition would be $31,000 ($23,500 employee + $7,500 employer), which is well below the $70,000 overall limit.

Contribution Limits with Multiple Plans

The employee elective deferral limit is a personal cap that aggregates across all 401(k), 403(b), and most 457 plans. An individual with two jobs in 2025 cannot contribute $23,500 to each plan. Their combined contributions across all plans cannot exceed the $23,500 limit.

It is the employee’s responsibility to monitor their contributions across different employers to avoid excess deferrals. For example, if a worker contributes $15,000 to their first employer’s 401(k), they can only contribute up to $8,500 at a second job. The same aggregation rule applies to catch-up contributions, as an individual age 50 or over has a single catch-up allowance to spread across all plans.

In contrast, the overall contribution limit applies on a per-employer basis, provided the employers are unrelated. This means an individual could have total additions exceeding the $70,000 limit if they are spread across plans sponsored by separate companies. Each plan has its own distinct $70,000 ceiling for total contributions.

For instance, an employee under 50 works for two unrelated companies. At Company A, they contribute $20,000 and receive a $10,000 employer match, for a total of $30,000. At Company B, they contribute the remaining $3,500 of their personal limit and receive a $5,000 employer match, for a total of $8,500. Their personal contributions are capped at $23,500, but each plan is well under its individual $70,000 overall limit.