Count employer contributions inside the limit
For 2026, the basic 457(b) limit is $24,500. Unlike treating a match as an extra amount above the employee limit, both employee and employer contributions use this 457(b) reference. Compensation and plan terms may impose a lower available amount.
| Age at year-end | Base | Catch-up | Employee + employer |
|---|---|---|---|
| Under 50 | $24,500 | $0 | $24,500 |
| 50–59, or 64+ | $24,500 | $8,000 | $32,500 |
| 60–63 | $24,500 | $11,250 | $35,750 |
IRS Notice 2025-67, pages 1–2; reviewed October 25, 2026. The ages-60–63 catch-up replaces the usual age-50 amount.
The age-based rows apply to eligible governmental plans, if permitted. A non-governmental 457(b) does not receive the age-50 catch-up, including its ages-60–63 replacement. Its standard reference remains $24,500 before considering a separately verified special pre-retirement provision.
Sources: IRS Notice 2025-67, 457(b) overview updated April 9, 2026, and non-governmental plan guidance updated August 4, 2026. Reviewed October 25, 2026.
One combined contribution example
Two deposits still use one 457(b) allowance
At age 40, assume an employee contributes $20,000 and an employer contributes $6,000 during 2026. Their $26,000 total exceeds the standard $24,500 reference by $1,500. The projection does not silently reduce the deposits; it displays the entered growth scenario and flags the excess.
A different hypothetical example starts at $40,000 and deposits $10,000 a year with no employer contribution. At zero return for five years, the balance is $90,000. The graph adds investment growth only when you supply a nonzero return assumption.
The special catch-up is not an automatic doubled limit
The IRS describes a special provision for the three tax years before the year of normal retirement age under the plan. It is limited to the lesser of twice the basic limit, or the basic limit plus eligible unused deferrals from earlier years. The applicable amount needs the plan’s retirement-age definition and historical contribution records.
Twice the 2026 base is $49,000, but that arithmetic is an upper bound under the special formula, not a general annual allowance. A governmental plan’s special provision cannot be combined with the age-based catch-up in the same year. Use the larger permitted allowance for which the participant actually qualifies.
This tool does not determine the special amount. The IRS governmental-plan comparison, updated August 1, 2026, supplies the structural rule; the dated notice supplies the 2026 figures.
Governmental and non-governmental are not interchangeable
The IRS states that non-governmental 457(b) arrangements remain unfunded and that assets remain the employer’s property, available to its general creditors. A growth line does not model employer credit risk or make its account protections equivalent to a governmental plan.
This calculator also does not determine distribution eligibility, rollover options or withdrawal taxes. A balance projection cannot answer when a participant may take money out. Confirm the applicable plan documents before treating the modeled balance as spendable cash.
Keep the annual projection separate from the 2026 check
The annual amounts remain constant for every projected year. Age affects only the standard 2026 reference; future legal limits and special catch-up eligibility are not forecast. The nominal line shows account dollars, and the purchasing-power line removes your assumed inflation.
A 457(b) limit is separate from the covered elective-deferral limit discussed in the 403(b) calculator, according to IRS multiple-plan guidance. To explore later cash flows, use the investment and withdrawal projection. Taxes and market variability remain outside both growth models.
Questions about this calculation
Does an employer contribution use the 457(b) limit?
Yes. Employee and employer contributions both use the 457(b) limit. Do not add an employer contribution above a fully used employee limit as if this were a 403(b). The calculator compares their combined annual assumption with its standard reference.
Can a non-governmental 457(b) use an age-50 catch-up?
No. The age-based catch-ups shown for governmental plans do not apply to non-governmental 457(b) plans. The special pre-retirement catch-up is a separate provision requiring eligibility and historical unused room.
Is the 457(b) limit separate from my 403(b)?
Yes, the IRS treats the 457 limit separately from the elective-deferral limit for covered plans such as 403(b) and 401(k). Plan terms, compensation and each applicable limit still need to be checked.
Does this project the special three-year catch-up?
No. It does not collect the normal retirement age under your plan or historical unused deferral room. The special provision and a governmental age-based catch-up cannot simply be added together for the same year.
Sources and review date
Reviewed October 25, 2026: Notice 2025-67; 457(b) overview; non-governmental 457(b); governmental-plan comparison; and plan coordination. Older examples in structural guidance are not used as 2026 amounts.
Read the methodology and financial disclaimer. This is an educational estimate, not a plan eligibility determination.