Question

I'd like to add a lower max $ amount in the Roth 401(k) catch-up employee contribution section. set it to $8K starting in 2026, but QB defaults to $31k. seems wrong.

Forum|Forum|9 months ago
October 30, 2025
13 replies
65 views

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Workforce Payroll

QuickBooks Team

The Roth 401(k) Catch-up contribution limit in QuickBooks adheres to current IRS guidelines and cannot be adjusted manually, NH23.

Know that QuickBooks is working closely with the IRS and adheres to the maximum Roth 401(k) catch-up contribution limit to ensure compliance with tax regulations. Rest assured, our system will implement any IRS updates to employee retirement contribution plans.

On top of that, you can periodically refer to this article for the updates on employee contribution limits for 2026 in QBO: Set up or change a retirement plan.

This thread remains open if you have additional questions about setting up QBO retirement plans.

N

nh23Author

I think you're misunderstanding the maximum contribution limits and need to make a change, or point me to the correct dropdown option.

Starting in 2026, any employee who has earned >$145K in salary the previous year < and > is over age 50 cannot contribute their 'catch up' elective deferral of $8K into the regular tax-deferred portion of their 401(k) company retirement plan. Their $8K catch up has to go into a Roth 401(k) portion of the plan.

I don't want an employee's entire $32,500 ($24,500 pre-tax + $8K after-tax dollars) to get tagged as a Roth 401(k) contribution. This looks to be the only choice QB offers.

Ideally, there are 2 retirement deferrals happening with my high-earners' paychecks:

A. $24,500 divided by 24 pay periods into the existing regular 401(k) plan (pre-tax $), so $1,020.83 each payroll; and

B. $8,000 marked as a Roth 401(k) contribution (after-tax $) into our company retirement plan, so $333.33 each payroll.

Thanks,

Nancy

F

FaithA

Level 1

Hi, Nancy.

Thank you for sharing detailed information about the adjustments to contribution limits for the 2026 tax year. We appreciate the time you’ve taken to share this, as keeping informed allows us to better support businesses like yours.

Since this change applies to the next tax year, please note that QuickBooks Online (QBO) will update its system to reflect any adjustments implemented by the IRS to ensure compliance. Our platform is designed to adapt to regulatory updates and accurately support employee retirement contributions in line with IRS guidelines.

Rest assured, any mandated changes affecting tax filing or retirement plans will be incorporated into QBO, ensuring accurate and compliant reporting for your employees.

If you have additional questions or need further assistance, feel free to let us know in the thread. We’ll continue supporting you every step of the way.

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