What Are the 2024 Roth 401(k) Contribution Limits?

Learn how much you can deposit into these savings vehicles

Reviewed by Marguerita Cheng
Fact checked by Jiwon Ma

The Internal Revenue Service (IRS) adjusts 401(k) contribution limits yearly based on inflation. The contribution limit for a designated Roth 401(k) increases by $500 in 2025 to $23,500. Accountholders age 50 or older may make additional catch-up contributions of up to $7,500, the same limit that applied in 2024. This means the total contribution can reach as much as $31,000. The limits were $23,000 and $30,000 respectively in 2024.

Employers can contribute to a Roth 401(k) by matching employee contributions to a certain percentage or dollar amount. They can also make elective contributions that don’t depend on employee contributions.

The limit on employee and employer contributions is $70,000 or 100% of employee compensation in 2025, whichever is less. This is up from $69,000 in 2024. Workers age 50 or older add a $7,500 catch-up contribution for a total of $77,500, up from $76,500 in 2024.

Key Takeaways

• Retirement contribution limits are adjusted each year for inflation.
• The limits for IRAs and 401(k)s are different.
• The contribution limit for a Roth 401(k) is $23,500 in 2025 plus an additional contribution of $7,500 if you’re age 50 or older.
• The contribution limit for a Roth IRA is $7,000 in 2025 plus an additional contribution of $1,000 if you’re age 50 or older.
• Employers can contribute to employee Roth 401(k)s through matching or elective contributions but not all employers offer these plans.

Roth 401(k) vs. Traditional 401(k)

Although the contribution limits are the same for traditional 401(k) plans and their Roth counterparts, a designated Roth 401(k) account is technically a separate account within your traditional 401(k) that allows for the contribution of after-tax dollars. The elected amount is deducted from your paycheck after income, Social Security, and other applicable taxes are assessed. The contribution doesn’t garner you a tax break in the year you make it.

The major advantage of a Roth 401(k) is that no income tax is due on these funds or their earnings when they’re withdrawn after you retire. A traditional 401(k) works differently. That is, with a traditional 401(k), you make your contributions on a pretax basis and pay income tax on the amounts withdrawn when you retire. Neither of these 401(k) accounts imposes income limitations for participation.

Note

When available, you may use a combination of the Roth 401(k) and the traditional 401(k) to plan for retirement. Splitting your retirement contributions between both kinds of 401(k)s, if you have the option, can help ease your retirement tax burden.

If You Have Multiple Roth Accounts

The question for those who want to have a Roth 401(k) and a Roth individual retirement account (IRA) is this: Do you meet the income limits for being permitted to contribute to an IRA? The income phaseout ranges for IRA contributions in 2025 are:

• $150,000 to $166,000, up from $146,000 to $161,000 in 2024, for single filers and heads of households
• $236,000 to $246,000, up from $230,000 to $240,000 in 2024, for those who are married and filing jointly and qualifying surviving spouses

Important

The 401(k) contribution deadline is at the end of the calendar year, whereas the deadline for IRAs is the tax filing deadline, which is April 15 or thereabouts. You can contribute to your Roth IRA until April 15, 2025 for the 2024 tax year.

If you have both a Roth 401(k) and a Roth IRA, depending on your age, your total annual contribution for all accounts in 2025 has a combined limit of:

• $23,500 Roth 401(k) contribution + $7,000 Roth IRA contribution = $30,500 if under 50
• $23,500 Roth 401(k) contribution + $7,500 catch-up contribution + $7,000 Roth IRA contribution + $1,000 catch-up contribution = $39,000 if you are 50 or older

Depending on your age, your total annual contributions in 2024 cannot exceed the following:

• $23,000 Roth 401(k) contribution + $7,000 Roth IRA contribution = $30,000 if under 50
• $23,000 Roth 401(k) contribution + $7,500 catch-up contribution + $7,000 Roth IRA contribution + $1,000 catch-up contribution = $38,500 if you are 50 or older

Note

Roth IRA accounts have an annual contribution limit of $7,000 in 2025 with an additional $1,000 limit for catch-up contributions if you’re 50 or older for a total of $8,000. These limits are unchanged from 2024.

Additional Roth 401(k) Rules

Roth 401(k) contributions must be made by the end of the calendar year so the 2024 contribution deadline is Dec. 31, 2024. You have a bit more time with Roth IRA contributions, however. You must make them by Tax Day (April 15, 2025).

Five years must pass from your first contribution before you can withdraw from your Roth 401(k) tax-free, and you must also be at least 59½ years old.

Can I Contribute to Both a 401(k) and a Roth 401(k)?

Whether you can contribute to both a traditional 401(k) and a Roth 401(k) depends on your employer. Some employers offer the option to split contributions between a traditional and a Roth 401(k). Others don’t.

How Much Can I Contribute to My Roth 401(k) in 2025?

The maximum amount you can contribute to a traditional or Roth 401(k) in 2025 is $23,500 or $31,000 if you’re age 50 or older. You can contribute up to $23,000 or $30,500 if you’re 50 or older in 2025.

What Happens If I Exceed the Roth 401(k) Limit?

If your 401(k) contributions exceed the annual limit, you risk being taxed twice on your excess contributions. If you find yourself in this situation, contact your human resources department or your plan administrator as soon as possible. If you inform them before the tax filing deadline, you may be able to fix the issue in time.

When Is the Roth 401(k) Contribution Limit Reset?

Roth 401(k) contribution limits apply to the calendar year: Jan. 1 to Dec. 31. At the beginning of a new year, contributions are reset to zero, and the limit may be raised to account for inflation.

The Bottom Line

A Roth 401(k) is a tax-advantaged retirement savings account. Like a Roth IRA, it is funded with after-tax dollars. You pay tax on your contributions the year you make them but not when you make withdrawals, typically in retirement.

Contribution limits for a Roth 401(k) are the same as for a traditional 401(k). You can contribute up to $23,000 in 2024 plus a catch-up contribution of $7,500 if you’re age 50 or older. This increases to $23,500 plus a catch-up contribution of $7,500 in 2025. Employers can also contribute to an employee’s Roth 401(k) although not all employers offer these plans.