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You can stash more in your 401(k) and IRA next year—here’s the new IRS limit

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Americans can save more for retirement next year, with higher caps for 401(k)s, IRAs, and catch-up contributions for workers 50 and older. Every year, American taxpayers are eligible to put a certain amount of money into their retirement accounts, including 401(k)’s and IRAs. But each year, the upper allowable threshold for these accounts tends to rise. This is done in order for the limits to keep up with the rate of inflation. And now, the Internal Revenue Service (IRS) has announced its new limits for 2026. Here’s what you need to know.