Inflation-adjusted retirement figures for 2027 have been announced by the IRS in Notice 2026-66. Key adjustments contained in the notice include:
- The IRA contribution limit and catch-up contribution limit remain at $7,500 and $1,100, respectively. Also included in the Notice are the increased income phaseout ranges;
- The SIMPLE contribution limit for businesses with more than 25 employees is increased from $17,000 to $17,500, while the catch-up contribution amount for most employees age 50 and older remains at $4,000 ($5,250 for employees aged 60, 61, 62, or 63). For businesses with fewer than 26 employees, the contribution limit is increased from $18,100 to $19,100 and the general catch-up contribution limit remains at $3,850;
- The annual contribution limit for IRC §§401(k), 403(b), 457 governmental plans, and the federal government’s Thrift Savings Plan is increased from $24,500 to $25,500, and the catch-up contribution limit for most employees 50 and older is increased from $8,000 to $8,500. However, employees aged 60, 61, 62, and 63 can make a catch-up contribution of up to $11,750 (previously $11,250); and
- The qualified charitable distribution limit is increased from $111,000 to $114,000.
