50 or Older? Forgetting About This 2026 401(k) Rule Change Could Cost You Big-Time.
There are serious tax consequences for getting this wrong.
Overview
Saving in a 401(k) has gotten a bit more complicated for some older workers, thanks to a new rule taking effect this year that prohibits tax-deferred catch-up contributions for high earners. While most workers won't notice any changes, it's worth reviewing the rules anyway, just in case they apply to you in the future.
Accidentally making tax-deferred catch-up contributions when you're not eligible could lead to tax penalties. Here's what you need to know.
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Originally published at www.fool.com.
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