How catch-up contributions work
If you are eligible to contribute to an employer-sponsored retirement plan or an IRA, you can make a catch-up contribution starting in the calendar year in which you turn 50 and every year thereafter (you must make the maximum yearly contribution to your plan to qualify).
The 2015 catch-up contribution limits are:
- Employer-sponsored retirement plans (including 401(k), 403(b) and 457 plans) - $6,000
- SIMPLE IRA - $3,000
- Traditional or Roth IRA - $1,000
Catch-up contribution limits may be adjusted each year for inflation. To find out if you are eligible to make catch-up contributions and how much you can contribute beyond the normal limits, contact your plan administrator.
