The IRS building in Washington on March 10, 2025. Madalina Vasiliu/The Epoch Times
Certain higher-income individuals who make catch-up contributions to their 401(k) or similar workplace retirement plans must make such contributions on an “after-tax” Roth basis beginning in 2027, according to final regulations made by the Treasury Department and the IRS.
Catch-up contributions are made by people aged 50 and above to their 401(k) and individual retirement accounts (IRAs) over the permissible contribution limit. This allows older people to put more of their earnings toward retirement.
