2023 & 2024 Maximum 401K Contribution Limits

This maximum 401K contribution article has been updated for the 2024 tax (calendar) years and contains historical data on prior years. The IRS has announced the 2024 maximum 401K contribution limit for employees, which is the max amount that employees can legally contribute to 401Ks in a given calendar year. The 2024 maximum 401K contribution limit will be $23,000, which is a an increase of $500 over the 2023 maximum 401K contribution limit of $22,500 (which had increased a record high $2,000 over the prior year). Read on for expanded details on the update, including catch-up contributions, employer maximum contributions, historical limits, and more.




The IRS adjusts maximum retirement account contribution limits according to changes in the consumer price index (CPI), and the CPI has notably increased in recent years, year-over-year. Hence, the increase from 2023 to 2024.

The maximum 401K limit is set annually by the IRS and it applies to tax-advantaged employee contributions to both traditional 401Ks and Roth 401Ks (a shared total of the two types of accounts, if you have both). It is a component of the maximum employer 401K contribution (employer plans have their own higher limit, which includes employer + employee contributions). If you have self-employment income, this maximum also applies for the “employee” contribution portion of Solo 401Ks. Below, we’ll break down the details on the prior 2023 maximum 401K contribution limits and the new 2024 maximum 401K contribution limits.

maximum 401K contribution limit

2023 Maximum 401K Contribution Limits

The standard 2023 maximum 401K contribution limit for employees is $22,500 (+$2,000 versus 2022).

Similar employer-sponsored pension plans, like the Solo 401K, 403B, 457B, and government TSP have the exact same maximum contribution limit for employees as the 401K.

2023 401K Catch-Up Contribution

The 2023 401K catch-up contribution for employees is $7,500 (+$1,000 versus 2022). This catch-up contribution also stays the same for Solo 401Ks, 403Bs, 457Bs, and the government TSP. The catch-up contribution is in addition to the standard contribution limit, making the total contribution amount $30,000. The catch up contribution is only available to those employees age 50 and older who are trying to “catch up” for retirement in their latter years.




2024 Maximum 401K Contribution Limits

The base 2024 maximum 401K contribution limit for employees is $23,000 (+$500 versus 2023).

Similar employer-sponsored pension plans, like the Solo 401K, 403B, 457B, and government TSP have the exact same maximum contribution limit for employees as the 401K.

2024 401K Catch-Up Contribution

The 2024 401K catch-up contribution for employees is $7,500 (the same as 2023). This catch-up contribution also stays the same for Solo 401Ks, 403Bs, 457Bs, and the government TSP. The catch-up contribution is in addition to the standard contribution limit, making the total contribution amount $30,500. The catch up contribution is only available to those employees age 50 and older who are trying to “catch up” for retirement in their latter years.

Historical 401K Maximum Contribution Limits

How do these maximums compare to previous years? Here’s the IRS’s recent history on maximum 403B, 457B, TSP, and 401K maximum contribution limits over the last few years:




YearStandard 403B, 457B, TSP, & 401K Contribution Limits (under age 50):403B, 457B, TSP, & 401K Added Catch-Up Contribution Amount (for age 50+)Total Defined Contribution Limit (employee + employer):
2024$23,000$7,500$69,000 ($76,500 w/ Catch-Up)
2023$22,500$7,500$66,000 ($73,500 w/ Catch-Up)
2022$20,500$6,500$61,000 ($67,500)
2021$19,500$6,500$58,000 ($64,500)
2020$19,500$6,500$57,000 ($63,500)
2019$19,000$6,000$56,000 ($62,000)
2018$18,500$6,000$55,000 ($61,000)
2017$18,000$6,000$54,000 ($60,000)
2016$18,000$6,000$54,000 ($60,000)
2015$18,000$6,000$53,000 ($59,000)
2014$17,500$5,500$52,000 ($57,500)
2013$17,500$5,500$51,000 ($56,500)
2012$17,000$5,500$50,000 ($55,500)
2011$16,500$5,500$49,000 ($54,500)
2010$16,500$5,500$49,000 ($54,500)
2009$16,500$5,500$49,000 ($54,500)
2008$15,500$5,000$46,000 ($51,000)

The max contribution limit has increased in all but nine years going back to its inaugural year in 1987 (over 75% of the time). Six of those nine years without an increase have happened since 2010 (2010, 2011, 2014, 2016, 2017, and 2021). It’s also worth noting that the maximum 401K contribution limit amount has never declined from one year to the next, though it technically could with a notable decline in the CPI.

How to Max Out your 401K

If you would like to make the max 401K contribution (a wise move, especially if your employer offers a 401K match), you’ll need to first do some simple math.

To do this in 2024, for example, if you are an employee under age 50, you would take the 2024 $23,000 maximum contribution and divide it by your total salary or expected wages from your employer in 2024. For example, if you make $92,000 per year (before taxes), then take $23,000 and divide by $92,000 to calculate the percentage of your pay you would need to contribute to max your 401K.

In the above example, the result would be 0.25, or 25%. Next, work with your HR department or your 401K administrator (often within your 401K account) to update your 401K contribution percentage.

You might not get there on day 1 (though that would be beneficial). Here are some tips to help you max your 401K:

  1. Start contributing to your 401K at the beginning of the calendar year, not the end. Aside from getting a head start, there could even be an investment benefit to front-loading your 401K.
  2. Increase your annual contributions by the same percentage or amount as your annual income increase.
  3. Use your employer’s match as motivation. It will have no impact on your personal maximum level, but getting the full match (if you are not already) is free money. Don’t leave it on the table or you will regret it later on.

401K Contribution Deadlines

Note that employer-sponsored 401Ks do not allow you to make contributions up through the tax deadline for a given year, as IRAs and HSAs do. The 401K contribution deadline for “employee” contributions is the end of the calendar year (December 31 for that year).

Solo 401Ks (aka Individual 401Ks) do have varying “employer” contribution deadlines that can extend beyond the end of of the calendar year, depending on the structure of the corporation and plan. My Vanguard Solo 401K has a contribution deadline for “employer” contributions that is the same date as the tax deadline (typically April 15 of the subsequent year).

What if you Over-Contribute to your 401K?

It is possible, particularly if you have worked at multiple employers, to over-contribute to your 401K. The maximum contribution limit is across all 401K type accounts combined. Don’t worry – this happens, and it is correctable. But you do need to correct it by certain dates in order to avoid an IRS penalty. Check out my article on over-contributing to your 401K for more info.

Taking your Retirement Contributions Further

Not everyone will be able to contribute the maximum 401K contribution. If you can, however, it is one of the best things you can do for your financial future, particularly when a possible employer 401K match is at stake. Matching funds are free money and can quickly boost your retirement outlook.

If you do contribute the maximum and want to add even more to your retirement, you can also create a Traditional or Roth IRA (note: the maximum IRA contribution is $6,500 for 2023 and $7,000 for 2024).

Additionally, if your employer allows it – you may be able to make after-tax contributions and complete a mega backdoor Roth conversion. This really can boost your retirement savings.

If you have changed employers and have old 401Ks sitting around, you may want to consider a 401K rollover to an IRA or your current 401K, in order to consolidate your 401Ks. You may be able to save money on fees in an IRA versus your 401K.

401K Maximum Contribution Discussion:

  • Do you plan on making the maximum 401K contribution in 2024?

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