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Glossary

Catch-up contribution

Catch-up contribution: A catch-up contribution is the extra amount people aged 50 and over are allowed to put into a 401(k), IRA or similar account above the standard annual limit.

Updated February 1, 2027

An example

Adding the extra allowed amount to a 401(k) in the year you turn 50.

Why it matters to you

Fifteen years of catch-ups is the difference between a tight retirement and a comfortable one for many Gen X households.

Where to go next

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See also

  • Required minimum distribution

    A required minimum distribution (RMD) is the amount the IRS requires you to withdraw each year from traditional retirement accounts once you reach the age set by law.