Terms of Use

What Is a 403(b)?

A 403(b) plan is a retirement savings plan offered by certain employers — primarily public schools, nonprofit organizations, hospitals, and some church-related organizations. It lets eligible employees save for retirement with tax-advantaged contributions.

• Traditional 403(b): Contributions are made with pre-tax dollars, reducing your taxable income now, and taxes are paid when you withdraw in retirement.

• Roth 403(b): Contributions are made with after-tax dollars, so withdrawals in retirement (including earnings) can be tax-free if rules are met — great for tax diversification.

How Much Can I Contribute in 2026?

Employee Elective Deferral Limit

For 2026, the IRS has increased the amount you can defer from your paycheck to a 403(b):

• Base contribution limit: $24,500 of your salary.

• You can defer up to 100% of your includible compensation (your taxable wages), but no more than the $24,500 limit.

This limit applies whether you make traditional (pre-tax) or Roth (after-tax) contributions.

Catch-Up Contributions

If you’re 50 or older in 2026, you can make additional “catch-up” contributions — but these are optional and only available if your 403(b) plan permits them:

• Age 50+ catch-up: An additional $8,000 beyond the $24,500 limit.

  • So a 50-plus participant could potentially defer up to $32,500 in 2026.

• “Super” catch-up for ages 60–63: Eligible participants may be able to contribute up to $11,250 in catch-up contributions in 2026, if the plan allows.

  • This means someone age 60–63 could contribute as much as $35,750 total in 2026 (if permitted by their plan).

Note: Not all 403(b) plans offer catch-up features — you must check with your plan administrator for availability.

Total Contribution Limit (Employee + Employer)

Your combined contributions — including your elective deferrals, employer matching or profit-sharing contributions, and any after-tax employee contributions — are also subject to an overall limit under IRS rules:

• In 2026, this total annual contribution limit (IRC Section 415(c)) is $72,000 or 100% of your compensation, whichever is less.

  • This cap includes all sources going into your 403(b) plan: your contributions, your employer’s contributions, and any catch-up amounts that count toward annual additions.

403(b) 15-Year Rule

Some 403(b) plans include a special provision for employees with long service at the same employer:

• If you have worked 15 or more years with the same eligible organization, and your plan allows it, you may qualify to add up to $3,000 more per year under the so-called “15-year rule,” up to a lifetime maximum of $15,000.

• This increase doesn’t apply automatically: only plans that adopt this catch-up feature make it available, and it has its own limits.

Other Things to Know

• Elective deferral limits apply across plans: If you participate in multiple plans (e.g., a 403(b) and a 401(k)), your total elective deferrals generally are subject to the same $24,500 limit.

• Catch-ups are optional and plan-specific: Employers are not required to offer catch-ups for age or 15-year service, so check your plan documents.

• Roth catch-up rule: For some high earners (those who earned more than $150,000 in the prior year), certain catch-up contributions must be made as Roth (after-tax) under SECURE 2.0 rules starting in 2026.

Summary — 2026 403(b) Contribution Limits