IRA Contribution Limits in 2026
What you need to know about planning for retirement.
Published Monday, March 16, 2026 to Advice
Saving for retirement starts with understanding how IRAs work—and knowing how much time you still have to contribute. Even though last year has ended, you can continue making IRA contributions for the 2025 tax year until April 15, 2026, giving you valuable extra time to take advantage of tax advantaged growth.
In this article, we’ll walk through the 2026 IRA contribution limits, compare Roth IRA vs. Traditional IRA to help you determine which option best fits your financial strategy, and outline how SEP and SIMPLE IRAs expand your retirement savings opportunities. You’ll also learn key IRA deadlines, how income affects Roth eligibility, and how your tax refund can be turned into an immediate boost for your retirement future.
Roth IRA vs. Traditional IRA: Key Differences
Traditional IRA
A Traditional IRA allows contributions with pre-tax dollars if you qualify for a tax deduction. Your investments grow tax deferred until withdrawal in retirement.
Withdrawals during retirement are taxed as income. Income based deductions may phase out depending on your workplace plan coverage.
Roth IRA
A Roth IRA is funded with after-tax dollars. While you don’t receive a deduction today, qualified withdrawals in retirement are tax-free.
Eligibility depends on income: for 2026, phase-out ranges rise to $153,000–$168,000 for single filers and $242,000–$252,000 for married couples filing jointly.
What is a phase-out? A phase-out limits the amount you can contribute to a Roth IRA or withdraw from a Traditional IRA each year depending on your modified adjusted gross income (MAGI). Learn more about phase-out limits here.
| Quick Comparison: Roth IRA vs. Traditional IRA | ||||
|---|---|---|---|---|
| Feature | Traditional IRA | Roth IRA | ||
| Upfront tax benefit | Possible deduction if eligible | No | ||
| Taxes in retirement | Taxable withdrawals | Tax-free withdrawals | ||
| Income limits to distribute | None for contributing; only deductibility | Yes; 2026 phase-outs apply | ||
| Best for | Those wanting a tax break today | Those expecting higher taxes later | ||
Other IRAs You May Have Heard Of
SEP IRA
Ideal for self-employed individuals and small business owners looking for high contribution capacity. Contributions are employer funded and grow tax deferred.
SIMPLE IRA
Great for small businesses seeking a straightforward retirement benefit. Higher employee contribution limits plus mandatory employer contributions help bolster retirement savings.
2026 IRA Contribution Limits
The IRS increased IRA thresholds for 2026, giving savers more room to invest.
Traditional and Roth IRA Contribution Limits (2026)
- Annual maximum contribution: $7,500
- Catch‑up contribution (age 50+): Additional $1,100, for a total of $8,600
- This is a combined limit across all personal IRAs—you cannot exceed it by contributing to both Roth and Traditional accounts.
SIMPLE IRA Contribution Limits (2026)
- Employee contribution limit: $17,000
- Catch‑up for age 50+: Additional $4,000 (totaling $21,000)
SEP IRA Contribution Limits (2026)
- Employer contribution maximum: $72,000
These higher 2026 IRA contribution limits can meaningfully boost your long term retirement savings.
IRA Contribution Deadlines
Understanding deadlines ensures you don’t miss key tax advantages.
For the 2025 Tax Year
- You can make IRA contributions until April 15, 2026.
For the 2026 Tax Year
- Contributions open January 1, 2026 and close April 15, 2027.
Important: A tax filing extension does not extend your IRA contribution deadline.
Why Your Tax Refund is a Great IRA Contribution Strategy
Your tax refund offers a simple opportunity to boost retirement savings without adjusting your monthly budget. Contributing early—using refund money—maximizes compounding time and reduces the risk of missing deadlines.
Ready to Make the Most of IRA Contribution Limits?
Whether you're comparing Roth IRA vs Traditional IRA, planning to use your tax refund strategically, or maximizing the updated IRA contribution limits, the next step is simple.
To learn more about our IRA options, schedule an appointment with our financial services team. Click “Schedule an Appointment” below, then in the “appointment type” dropdown menu, select “Individual Retirement Account-CDs/Savings.”
Or open click “Open an IRA” to open one online.