There are many good things about reaching a milestone 50th birthday and among them is the opportunity to make catch-up contributions to your 401(k) account. The contribution limit to your 401(k) plan is higher when you turn age 50 and beyond. For 2019, the catch-up limit for those age 50 and older is $6,000. Remember, too, that’s an additional $6,000 in pre-tax dollars.
You are eligible for the higher contribution limit in the calendar year in which you reach age 50. In other words, if you turn 50 in December 2019, you can make contributions that exceed the regular contribution limit under the catch-up rules for all of 2019 and all future years.
If you are turning 50 this year, start catching up now and congratulations on marking your 50th birthday.