Roth 401(k) Contribution Limits for 2025
Here's a look at Roth 401(k)s, the contribution limit for 2025, and the amount workers 50 and older can save.


A Roth 401(k) is a good option for workers who have access to this retirement plan through their employer and expect to be in a higher tax bracket when they retire. As an added bonus, contribution limits for 2025 have increased.
The maximum amount you can contribute to a Roth 401(k) in 2025 is $23,500 (if you're younger than age 50). This is an extra $500 over 2024. If you're age 50 and older, you can add an extra $7,500 per year in "catch-up" contributions, bringing the total amount to $31,000.
Plus, under a change made by SECURE 2.0, a higher super catch-up contribution limit applies to people aged 60, 61, 62 and 63 who have a Roth 401(k). Starting this year, this higher catch-up contribution limit is $11,250 instead of $7,500. Contributions generally need to be made by the end of the calendar year.

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The Roth 401(k) first became available in 2006, and many companies now offer this option to workers. The Roth 401(k), as the name implies, combines features of the tax-friendly Roth IRA and the traditional 401(k), enabling you to make after-tax contributions to a 401(k).
2025 Roth 401(k) contribution limits
In 2025, you can save up to $23,500 in your Roth 401(k). That's a $500 bump up from 2024. If you're 50 and older, the catch-up contribution limit is $7,500, which was what it was in 2024. Add that to the $23,500, and your total tops out at $31,000.
Additionally, thanks to the SECURE 2.0 Act, you may be getting an extra boost this year. If you're age 60 to 63, you'll get a higher catch-up contribution limit. So, instead of the $7,500, you may be able to set aside up to $11,250 in extra contributions.
If you and your employer both contribute to your Roth 401(k), the total contributions to the account max out at $70,000 in 2025 (up from $69,000 in 2024).
A Roth 401(k) vs. a Roth IRA and a traditional 401(k)
As with a Roth IRA, you make after-tax contributions to a Roth 401(k). This won't lower your tax bill now, but it will provide you with income in retirement that is free from taxes. You can make withdrawals from a Roth 401(k) tax-free, and without incurring a 10% early-withdrawal penalty, once you've turned age 59-1/2 and have had the account open for at least five years. (If you retire after holding a Roth 401(k) for only two years, for example, the money must sit for three more years to be fully tax-free, even if you own an older Roth 401(k) account from a previous employer that meets the five-year test).
And as with a traditional 401(k), there are no income limitations with the Roth 401(k), making it an attractive option for high-earners whose salaries might disqualify them from contributing to a Roth IRA.
You can also sock away thousands of dollars more each year with a Roth 401(k) or a traditional 401(k) than you can with an IRA alone.
The annual contribution limit for a Roth IRA for those under 50 is $7,000 for 2025, with an additional $1,000 catch-up contribution if you're age 50 or older. Those numbers are unchanged from 2024.
You'll be obligated to take required minimum distributions from a traditional 401(k) and a Roth 401(k) once you reach age 73. However, you can avoid RMDs from a Roth 401(k) by rolling over the money into a Roth IRA, which doesn't require minimum distributions.
Can I contribute to both a 401(k) and a Roth 401(k)?
The simple answer is yes — you can contribute to both a 410(k) and a Roth 401(k) at the same time and in the same year. But keep in mind that the total amount you can contribute to both accounts is limited by the annual contribution limits.
In 2025, the annual contribution limit is $23,500 if you're under 50, plus a catch-up contribution of $7,500 for anyone age 50 or older. And, if you're 60, 61, 62 or 63 you'll get a higher 'super catch-up contribution' of $11,250. These annual contribution limits apply to all your employer-sponsored plans, including both traditional and Roth 401(k) accounts.
A fringe benefit of splitting contributions between the two accounts is the option to cut your taxable income in retirement and reduce risks. That way you can enjoy tax-free retirement income on some of your money while paying taxes on some. You'll also have the freedom to change where contributions go based on your tax bracket.
How much should you save in a Roth 401(k)?
Many employers match employees' 401(k) contributions up to a certain percentage of salary. Note that any employer contributions to a Roth 401(k) will be made pretax and will grow tax-deferred alongside your own Roth contributions. When you withdraw money, you will owe income tax on the employer match.
Experts recommend that workers save at least 15% of their income for retirement, including the employer match. For example, if your employer contributes, say, 2%, then you would need to save an additional 13%.
If you are currently saving below the recommended 15% annually, increase your contribution every year until you reach that goal. For instance, if you are contributing 5% this year, boost that to 7% next year and so on until you reach 15%.
Is a Roth 401(k) right for you?
Roth 401(k) plans can be beneficial to workers who don't expect their tax bracket to decrease during their retirement. This may include younger employees who anticipate their income increases as they age. If a worker’s earnings increase dramatically and their tax bracket is higher than it will be in retirement, then it could make sense to switch to pretax deferrals in a regular 401(k).
Note: If you invest in both a Roth 401(k) and a traditional 401(k), the total amount of money you can contribute to both plans can't exceed the annual maximum for your age. If you do exceed it, the IRS might hit you with a 6% excessive-contribution penalty.
Roth 401(k) retirement savings tips
Advice for maximizing your Roth 401(k) account:
- Max out your contributions. For each year that you're able, aim to hit the $23,500 limit.
- Once you turn 50, add another $7,500 to that limit annually while you continue to work.
- If your employer offers to match your contributions up to a certain amount, be sure to invest at least that much in your Roth 401(k) each month. It's free money, after all.
Bottom line
Roth (401(k)s are not as popular as traditional 401(k)s. Part of the reason is that many people like to delay paying taxes. Contributions to traditional 401(k)s are made pre-tax, meaning you won’t pay taxes on your money until you begin making withdrawals in retirement.
By comparison, you make after-tax contributions to a Roth 401(k), which means your withdrawals (including gains) in retirement will generally be tax-free. You get tax-free growth on your investments, tax-free withdrawals in retirement, and higher contribution limits compared to a Roth IRA. Another big plus is that there are no income limits for contributions. By adding a Roth 401(k) to your retirement savings plan, you get the kind of flexibility you need to make the most of your money in retirement.
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Jackie Stewart is the senior retirement editor for Kiplinger.com and the senior editor for Kiplinger's Retirement Report.
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