401(k) Calculator 2026
The 401(k) is the primary retirement savings vehicle in the United States. In 2026, you can contribute up to $23,500 per year ($31,000 if you're 50+, or $34,750 between ages 60-63 thanks to SECURE 2.0). Many employers match your contributions — for example, a 100% match up to 6% of salary is one of the most common. This calculator projects your retirement balance considering your contributions, employer match, and compound growth.
Frequently Asked Questions
What is a 401(k) plan?
A 401(k) is an employer-sponsored retirement savings plan in the United States. It allows you to contribute a percentage of your salary on a pre-tax (traditional) or after-tax (Roth) basis. Earnings grow tax-deferred until you withdraw them in retirement.
What is an employer match and how does it work?
An employer match is free money your employer contributes to your 401(k) based on your own contributions. For example, a 100% match up to 6% means if you earn $65,000 and contribute 6% ($3,900), your employer also contributes $3,900. You should always contribute at least enough to get the full match — it's part of your compensation.
How much can I contribute to my 401(k) in 2026?
In 2026, the employee contribution limit is $23,500. If you're 50 or older, you can contribute an additional $7,500 (total $31,000). Thanks to the SECURE 2.0 Act, if you're between 60 and 63, the catch-up increases to $11,250 (total $34,750). The total limit including employer contributions under §415(c) is $70,000.
What is the difference between traditional and Roth 401(k)?
In a traditional 401(k), your contributions reduce your taxable income today but you pay taxes on withdrawals. In a Roth 401(k), you contribute after-tax dollars but withdrawals in retirement are tax-free. If you expect to be in a higher tax bracket when you retire, Roth may be the better option.
What happens if I withdraw from my 401(k) before age 59½?
Withdrawals before age 59½ generally incur a 10% penalty plus ordinary income tax. Exceptions include: the Rule of 55 (if you leave your job at 55+), hardship withdrawals, and plan loans that must be repaid. Starting in 2024, SECURE 2.0 also allows emergency withdrawals of up to $1,000 without penalty.