Catch-up contributions for 401(k) and 403(b) move to Roth in 2026, raising taxes for anyone over $150k
Next year, 401(k) and 403(b) catch-up contributions for high earners must go into Roth accounts instead of traditional pretax accounts. Anyone with Social Security wages over $150,000 will be affected. For people in state pension systems, this likely applies to Medicare wages instead. If Medicare wages are just above $150,000, this rule creates an immediate …