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401(k) Contribution Calculator

See exactly what your 401(k) contribution means: the amount per paycheck, the employer match you’re leaving on the table (or capturing), the tax you save today, and what it all grows to by retirement — using the 2026 IRS limits.

Updated Jul 18, 2026 Reviewed by the BSF CPA Editorial Team 2026 limit: $24,500 9 min read
Quick Answer

Contributing 10% of a $100,000 salary puts $10,000/year into your 401(k) — about $385 per biweekly paycheck. A typical 50%-up-to-6% employer match adds $3,000 of free money, and in the 22% bracket the pre-tax contribution trims your federal tax bill by $2,200. Over 30 years at 7%, that habit grows to roughly $1.6 million.

401(k) Contribution Calculator

Your details

Educational estimate using 2026 IRS limits. Assumes a constant return and end-of-year contributions; ignores raises, vesting schedules, and fees. Not financial advice.

Your projection

30 yrs of growth
Projected balance at retirement
$1,608,603
Your yearly contribution
$10,000
Employer match (free)
$3,000
Per biweekly paycheck
$385
Annual tax savings
$2,200
Total invested / year
$13,000
2026 deferral limit
$24,500

Traditional 401(k) contributions are pre-tax — they lower your taxable income now, and you pay tax on withdrawals in retirement. A Roth 401(k) reverses that.

What your result means

The employer match is an instant, guaranteed return you should capture in full before anything else — it’s the closest thing to free money in personal finance. Everything above that is compounding on autopilot.

What this calculator does

A 401(k) is the backbone of most Americans’ retirement, but the paycheck math is easy to misjudge. This calculator translates a contribution percentage into real dollars: what leaves each paycheck, how much your employer adds, what you save in taxes this year, and — the number that matters most — what it compounds into by the time you retire, all measured against the 2026 IRS limits.

Who should use it

Anyone with a 401(k), 403(b), or similar workplace plan: new hires setting a contribution rate at onboarding, mid-career savers deciding whether to push toward the max, and workers 50+ weighing catch-up contributions. It’s also handy for confirming you’re contributing at least enough to capture the full employer match.

When to use it

Run it when you start a job, get a raise, or during open enrollment. Even a one- or two-point bump in your contribution rate, set once, can add hundreds of thousands of dollars over a career — and this tool shows you exactly how much.

Scope & limits

This models pre-tax traditional 401(k) contributions with a constant return and level contributions. It doesn’t account for salary growth (which would raise both contributions and the dollar match), vesting schedules on employer money, plan fees, or the tax you’ll owe on traditional withdrawals. Treat the projection as a disciplined baseline.

How a 401(k) works

A traditional 401(k) lets you divert part of your paycheck into investments before income tax is applied. That does two things at once: it lowers your taxable income today, and it puts money to work that would otherwise have been partly lost to tax. The money grows tax-deferred, and you pay ordinary income tax only when you withdraw it in retirement.

Most employers sweeten the deal with a match — free money contributed alongside yours, up to a limit. A common formula is “50% of contributions up to 6% of pay,” meaning if you put in 6%, the employer adds 3%. Not contributing enough to get the full match is one of the most common and costly mistakes in personal finance.

The formula

Your contribution = Salary × contribution %  (capped at the 2026 limit) Employer match = Salary × min(your %, match-limit %) × match rate Tax savings = Your contribution × marginal tax rate And the balance at retirement: Future value = Current balance × (1+r)n + Total annual × [(1+r)n − 1] ÷ r where r = annual return, n = years to retirement, Total annual = your contribution + employer match

Because both your contribution and the match compound for decades, the final balance is dominated by growth — your own out-of-pocket dollars are usually a minority of the total.

2026 401(k) contribution limits

The IRS sets an annual cap on what you can defer, with extra room for older savers, plus a higher ceiling on total contributions including your employer’s.

Limit (2026)Amount
Employee elective deferral (under 50)$24,500
Catch-up (age 50–59, and 64+)+$8,000 → $32,500
“Super” catch-up (ages 60–63)+$11,250 → $35,750
Total additions cap incl. employer, §415(c)$72,000
IRA (separate limit)$7,500 (+$1,100 catch-up)

The $72,000 combined cap covers your deferrals, the employer match, and any after-tax contributions — with catch-up amounts allowed on top. Source: IRS Notice 2025-67.

The employer match — don’t leave it on the table

An employer match is an immediate, guaranteed return on your money. A 50% match is a 50% instant return; a dollar-for-dollar match is 100%. No investment reliably beats that. The first rule of 401(k) contributing is therefore simple: always contribute at least enough to capture the full match before you prioritize anything else (except perhaps paying off high-interest debt).

Watch two details: the match limit (contributing above it earns no additional match, though the contributions still grow tax-deferred) and the vesting schedule (some employers require a few years of service before their contributions are fully yours). This calculator captures the match math; check your plan documents for vesting.

Worked examples

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Example 1 — Steady contributor ($100k salary, age 35)

10% contribution, 50%-up-to-6% match, $50k balance, 7% return.

You contribute $10,000/year (~$385 per biweekly paycheck); the employer adds $3,000, for $13,000 invested annually. In the 22% bracket you save $2,200 in federal tax this year. Over 30 years at 7%, the balance grows to about $1.6 million — the vast majority of it investment growth, not your own contributions.

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Example 2 — High earner hitting the cap ($300k, age 45)

15% desired, 100%-up-to-4% match.

15% of $300,000 would be $45,000 — but the 2026 employee limit is $24,500, so your contribution is capped there. The dollar-for-dollar match on 4% of pay adds $12,000, and at a 32% marginal rate the deferral saves about $7,840 in tax. High earners often max the deferral early in the year, then consider a mega-backdoor Roth if the plan allows after-tax contributions up to the $72,000 cap.

🎂

Example 3 — Super catch-up ($150k, age 61)

20% contribution, 50%-up-to-6% match.

At ages 60–63, the 2026 limit rises to $35,750 thanks to the SECURE 2.0 super catch-up. A 20% contribution ($30,000) fits under it, the employer adds $4,500, and with $500k already saved the balance reaches roughly $950,000 by 67. These peak-earning years are the time to contribute aggressively.

How to interpret your results

The projected balance is your north star, but the employer match and per-paycheck figures are where decisions get made. If you’re contributing below the match limit, raising your rate to capture the full match is the highest-return move available to you — full stop. The tax savings line shows the immediate benefit of going pre-tax; it’s real money back in your pocket at tax time.

The 1% trick

Raising your contribution by just 1% of salary is nearly painless per paycheck but enormous over time. On a $100k salary at 7% for 30 years, that single extra percent adds roughly $95,000 to your retirement balance. Automate a 1% annual increase and let compounding do the rest.

Traditional vs. Roth 401(k)

A traditional 401(k) gives you the tax break now (this calculator’s tax-savings line) and taxes withdrawals later. A Roth 401(k) uses after-tax dollars now, so there’s no upfront deduction, but qualified withdrawals in retirement are entirely tax-free. The right choice hinges on whether you expect your tax rate to be higher now or in retirement.

A common rule of thumb: favor traditional in your peak-earning years when your bracket is high, and Roth when you’re younger or in a lower bracket. Many savers split contributions between both for tax diversification. Note that the employer match always goes into a traditional (pre-tax) bucket, even if your contributions are Roth.

Common mistakes

  • Not capturing the full match. Leaving match money unclaimed is turning down a guaranteed 50–100% return. Contribute at least to the match limit.
  • Front-loading and missing match on later paychecks. If you hit the annual limit mid-year, some plans stop your contributions — and the match with them. Check whether your plan offers a “true-up.”
  • Confusing your limit with the total limit. The $24,500 cap is on your deferrals; the employer match is on top, up to the $72,000 combined ceiling.
  • Setting it and forgetting the rate. A percentage contribution rises automatically with raises, but many people never revisit it. Step it up over time.
  • Cashing out when changing jobs. Rolling over to an IRA or new 401(k) preserves tax deferral; cashing out triggers taxes and a 10% penalty before 59½.
  • Ignoring fees. High-cost funds quietly erode returns. Favor low-expense-ratio index options where available.

Best practices

A planner’s checklist

Contribute at least enough to get the full employer match — always · Aim for 15% of gross pay (including the match) as a long-term target · Automate a 1% annual contribution increase · Max catch-up contributions once you turn 50 ($8,000, or $11,250 at 60–63 in 2026) · Choose low-fee index funds inside the plan · Roll over old 401(k)s instead of cashing out · Split traditional and Roth for tax flexibility · Revisit your rate at every raise.

Frequently asked questions

How much can I contribute to a 401(k) in 2026?
You can defer up to $24,500 from your salary in 2026. If you’re 50–59 or 64+, you can add an $8,000 catch-up for $32,500; at ages 60–63 the super catch-up brings it to $35,750. Total contributions including your employer’s are capped at $72,000 (plus catch-ups).
How much should I contribute to my 401(k)?
At minimum, enough to capture the full employer match — it’s free money. A widely cited target is 15% of gross salary including the match. If you can’t get there yet, start where you can and automate annual increases.
What is an employer match?
Money your employer contributes alongside yours, up to a limit — commonly 50% of your contributions up to 6% of pay, or dollar-for-dollar up to 3–4%. It’s an immediate, guaranteed return, so contributing enough to get the full match should be your first priority.
How does a 401(k) reduce my taxes?
Traditional 401(k) contributions come out of your pay before income tax, lowering your taxable income this year. In the 22% bracket, a $10,000 contribution saves about $2,200 in federal tax. You pay ordinary income tax later when you withdraw. Roth 401(k) contributions don’t reduce taxes now but are tax-free in retirement.
What’s the difference between a traditional and Roth 401(k)?
Traditional is pre-tax now, taxed at withdrawal; Roth is after-tax now, tax-free at withdrawal. Choose traditional if you expect a lower tax rate in retirement, Roth if you expect a higher one — or split for diversification. The employer match always goes into the traditional bucket.
What happens if I contribute too much?
Excess deferrals above the limit must be withdrawn by the tax deadline or you face double taxation. If you have multiple employers in a year, the $24,500 limit applies across all of them combined — track it yourself, since plans can’t see each other.
What are catch-up contributions?
Extra amounts savers 50+ can contribute: $8,000 in 2026, rising to $11,250 for ages 60–63 under SECURE 2.0. They sit on top of the standard $24,500 limit and are a powerful way to accelerate savings in peak-earning years.
Should I contribute beyond the match?
Often yes. After capturing the match and paying off high-interest debt, continuing to contribute (or funding an IRA/HSA) keeps compounding tax-advantaged money. Contributions above the match limit earn no additional match but still grow tax-deferred.
What happens to my 401(k) if I change jobs?
You can leave it, roll it into your new employer’s plan, or roll it into an IRA — all preserve tax deferral. Cashing out triggers income tax plus a 10% early-withdrawal penalty before age 59½, and permanently loses decades of compounding.
When can I withdraw from my 401(k)?
Generally at 59½ without penalty. Earlier withdrawals face a 10% penalty plus income tax, with limited exceptions. Required minimum distributions begin at 73 for traditional accounts.
Does the projection account for my raises?
No — it assumes a level contribution for simplicity, so it’s conservative. Because a percentage contribution rises with your salary, your real balance will likely be higher than shown if you keep the same rate through raises.
Is this financial advice?
No. It’s an educational estimate. For decisions about contribution rates, Roth vs. traditional, or rollovers, consult a CPA or fee-only financial advisor.

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The Tax-Smart Investing Playbook (2026 Edition)

It's not what your investments earn — it's what you keep. The Tax-Smart Investing Playbook shows how to build and manage a portfolio for maximum after-tax wealth, in both accumulation

Read what is inside — $19.00

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