SIMPLE IRA Contribution Limit 2026
Updated for the 2026 tax year · Last updated June 13, 2026
Employee contribution limit
$17,000
2026 · up from $16,500 in 2025
| Limit | 2026 | 2025 |
|---|---|---|
| Employee contribution | $17,000 | $16,500 |
| Catch-up (age 50+) | $4,000 | $3,500 |
| Catch-up (age 60–63) | $5,250 | $5,250 |
| Higher limit (certain plans) | $18,100 | $17,600 |
What changed for 2026
The SIMPLE IRA employee limit rose to $17,000 for 2026. Certain plans (smaller employers or those electing higher contributions under SECURE 2.0) use an increased $18,100 limit, and the age-50 catch-up rose to $4,000.
How it works
- •SIMPLE IRAs are used by small employers (generally 100 or fewer employees) and require employer matching or non-elective contributions.
- •The higher $18,100 limit applies automatically to employers with 25 or fewer employees, and by election (with extra employer contributions) for those with 26–100.
- •The age 60–63 super catch-up of $5,250 replaces the $4,000 catch-up in those years.
- •SIMPLE IRA limits are lower than 401(k) limits but the plans are far cheaper for employers to run.
SIMPLE IRA Contribution Limit 2026 FAQ
What is the SIMPLE IRA contribution limit for 2026?
The 2026 SIMPLE IRA employee limit is $17,000, up from $16,500. Certain plans use a higher $18,100 limit, and the age-50 catch-up is $4,000 ($5,250 for ages 60–63).
Who gets the higher $18,100 SIMPLE IRA limit?
Employers with 25 or fewer employees automatically, and employers with 26–100 employees that elect to make higher employer contributions under SECURE 2.0.
How does a SIMPLE IRA compare to a 401(k)?
A SIMPLE IRA has lower limits ($17,000 vs $24,500) but is much simpler and cheaper for small employers to administer, with mandatory employer contributions.
Related 2026 limits
See all calculators and limits on the retirement & tax hub.
Source: IRS Notice 2025-67 (2026 retirement plan limits). For informational purposes only, not tax advice.