For workers age 50 and older, 2026 brings a new wrinkle to 401(k) catch-up contributions. If you earned more than $150,000 in 2025 from the employer sponsoring your plan, your 2026 catch-up contributions generally must go into the Roth side of the plan, assuming the plan offers catch-up contributions and a Roth feature.
That sounds simple until payroll enters the picture. The rule does not use your household income, tax-return income, or even necessarily the salary number that appears most prominently on your pay stub. It looks at a specific type of prior-year wages from the same employer, which creates plenty of room for confusion when compensation changes, employers merge, workers switch jobs, or payroll records contain mistakes.
