Catch-Up Contributions Just Got Clearer — Here’s What to Know!

The IRS has issued final regulations to address SECURE 2.0 Act provisions related to “catch-up” contributions. Eligible taxpayers age 50 or older can make additional catch-up contributions to employer-sponsored 401(k), 403(b), or 457 plans, SIMPLES and IRAs. Among other things, the regs provide rules related to a SECURE 2.0 Act provision requiring that catch-up contributions made by certain higher-income participants to a workplace plan be designated as after-tax Roth contributions. Generally, the final regs relating to the Roth catch-up requirement apply to contributions in taxable years beginning after Dec. 31, 2026. Contact us for more information or visit: https://bit.ly/3Vidut3