IRS News Release: IRS Announces Transition Period for Catch-Up Contributions by Higher Income Retirement Plan Participants

Aug. 31, 2023, 4:47 PM UTC

An administrative transition period will extend until 2026 the new requirement that any catch-up contributions made by higher income participants in 401(k) and similar retirement plans must be designated as after-tax Roth contributions, the IRS announced Aug. 25. The IRS also clarified that plan participants who are age 50 and over can continue to make catch-up contributions after 2023, regardless of income. [IR-2023-155 (Aug. 25, 2023)]

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.

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