The IRS recently released Notice 2025-67, which includes the qualified retirement plan limits for 2026. These limits restrict the contributions that can be made to, and benefits that can be paid from, qualified retirement plans as well as the compensation that can be used when calculating benefits.
The IRS previously released Revenue Procedure 2025-32, which provides the 2026 inflation adjustments for a number of income tax provisions, including health flexible spending accounts, qualified transportation fringe benefits, qualified adoption assistance programs, eligible long-term care premiums and the indexed federal standard deduction amounts.
The table below includes these limits, along with the 2026 Social Security maximum taxable wage base (as announced by the Social Security Administration), and the limits relevant to health savings accounts and excepted benefit health reimbursement arrangements that the IRS issued earlier this year in Revenue Procedure 2025-19.
The 2026 tax-related limits can potentially affect the design, administration, communication and tax reporting for retirement and benefit-related plans.
Figure 1. Comparison of benefit-related limits for 2025 and 2026
| Qualified retirement plan limits | 2025 | 2026 |
|---|---|---|
| Maximum recognizable compensation | $350,000 | $360,000 |
| Highly compensated employee threshold | $160,000 | $160,000 |
| Section 415 benefit limits | ||
|
$280,000 | $290,000 |
|
$70,000 | $72,000 |
| Limit on elective deferrals (combined pre-tax and Roth) | ||
|
$23,500 | $24,500 |
|
$31,000 | $32,500 |
|
$34,750 | $35,750 |
| Roth catch-up contribution requirement threshold (applied to prior year’s FICA wages)[1] | $145,000 | $150,000 |
| Qualifying longevity annuity contract (QLAC) | 2025 | 2026 |
| Investment limit | $210,000 | $210,000 |
| Social Security taxable wage base | 2025 | 2026 |
| Maximum taxable wage base | $176,100 | $184,500 |
| Health flexible spending accounts (health FSAs) (general and limited purpose) | 2025 | 2026 |
| Maximum annual amounts | ||
|
$3,300 | $3,400 |
|
$660 | $680 |
| Qualified transportation fringe benefits | 2025 | 2026 |
| Monthly limitation amounts | ||
|
$325 | $340 |
|
$325 | $340 |
| Qualified adoption assistance | 2025 | 2026 |
| Maximum per adoption income tax exclusion | ||
|
$17,280 | $17,670 |
|
$17,280 | $17,670 |
| Adjusted gross income (AGI) tax exclusion phase out | ||
|
$259,190 | $265,080 |
|
$299,190 | $305,080 |
| Dependent care assistance (including FSAs)[2] | 2025 | 2026 |
| Maximum annual benefit | ||
|
$5,000 | $7,500 |
|
$2,500 | $3,750 |
| Eligible long-term care (LTC) premiums | 2025 | 2026 |
| Annual limitation on premiums includible in the term “medical care” | ||
| Age before close of tax year | ||
|
$480 | $500 |
|
$900 | $930 |
|
$1,800 | $1,860 |
|
$4,810 | $4,960 |
|
$6,020 | $6,200 |
| Standard deduction | 2025 | 2026 |
| Filing status | ||
|
$30,000 | $31,500 |
|
$22,500 | $23,625 |
|
$15,000 | $15,750 |
|
$15,000 | $15,750 |
| Health savings accounts (HSAs) | 2025 | 2026 |
| Individual coverage | ||
|
$4,300 | $4,400 |
|
$1,650 | $1,700 |
|
$8,300 | $8,500 |
| Family coverage | ||
|
$8,550 | $8,750 |
|
$3,300 | $3,400 |
|
$16,600 | $17,000 |
| Catch-up contributions[3] | $1,000 | $1,000 |
| Excepted benefit HRAs (EB-HRAs) | 2025 | 2026 |
|
$2,150 | $2,200 |
Footnotes
- The FICA wage threshold used to determine whether a participant is subject to the Roth catch-up contribution requirement is based on the limit in effect for the calendar year in which the catch-up contribution will be made. For example, whether participants are subject to the Roth catch-up requirement for 2026 would be based on whether their 2025 FICA wages exceed the threshold in effect for 2026. Return to article
- The dependent care assistance limits under Internal Revenue Code section 129 are not adjusted for inflation; any change would require statutory amendment. The One Big Beautiful Bill Act increased the statutory limit, effective for taxable years beginning January 1, 2026. Return to article
- The HSA catch-up contribution amount for participants attaining age 55 by December 31 of the tax year and not enrolled in Medicare is not adjusted for inflation; any change would require statutory amendment. Return to article
