Age 60-63? New 401(k) Rules for You and You Alone

Column distributed by Hearst Connecticut Media Group.

Links to resources referenced:

• Federal Register: Catch-Up Contributions (Final Regulations)
  • https://www.federalregister.gov/documents/2025/09/16/2025-17865/catch-up-contributions  
    • Related column excerpt:
      • “People who are approaching ages 60-63 will benefit from a special increased catch-up. This change applies to 401(k)s as well as other eligible retirement plans, such as 403(b)s. See the Federal Register Catch-Up Contributions final regulations.” 
• H.R.1836 - Economic Growth and Tax Relief Reconciliation Act of 2001
  • https://www.congress.gov/bill/107th-congress/house-bill/1836
    • Related column excerpt:
      • “Catch-up contributions first came into being as part of the Economic Growth and Tax Relief Reconciliation Act of 2001 as a means of helping older workers save more for retirement. The initial catch-up amount was $500, with a planned increase after a few years to $1,000.”
• Federal Register: Catch-Up Contributions (Proposed Rule)
  • https://www.federalregister.gov/documents/2025/01/13/2025-00350/catch-up-contributions
    • Related column excerpts:
    • “As to Roth catch-up contributions, the final regulations followed proposed regulations published in January 2025.”  
• IRS Notice 2023-62 -- Guidance on Section 603 of the SECURE 2.0 Act with Respect to Catch-Up Contributions
  • https://www.irs.gov/pub/irs-drop/n-23-62.pdf
    • Related column excerpt:
      • “As for the implementation of the Roth catch-up contribution, IRS Notice 2023-62, which was released in August of 2023, indicated that there would be ‘an administrative transition period’ of two years after Dec. 31, 2023, for the requirement, meaning the Roth catch-up contributions would not start in full until 2026.”

• Treasury, IRS issue final regulations on new Roth catch-up rule, other SECURE 2.0 Act provisions
  • https://www.irs.gov/newsroom/treasury-irs-issue-final-regulations-on-new-roth-catch-up-rule-other-secure-2point0-act-provisions
    • Related column excerpts:
      • “The final regulations provisions related to the Roth catch-up requirement ‘generally apply to contributions in taxable years beginning after Dec. 31, 2026,’ citing the IRS news release about the final regulations. However, ‘the final regulations provide a later applicability date for certain governmental plans and plans maintained under a collective bargaining agreement.’”
      • In addition, the regulations ‘also permit plans to implement the Roth catch-up requirement for taxable years beginning before 2027 using a reasonable, good faith interpretation of statutory provisions.’”