How to Max Out Your 401k and Roth IRA Before Year-End : A Salaried Worker's Checklist

 



Hello, I'm Jenie!

Every December, without fail, I see the same thing happen. People realize they've left money on the table all year, scramble to catch up, and then quietly promise themselves they'll do better next year. I was that person for longer than I'd like to admit. Then I made a year-end checklist, actually followed it, and the difference in my retirement accounts over the following few years was genuinely eye-opening.

If you're a salaried worker and you haven't thought about your retirement accounts since you set them up, this post is your sign to take another look before December 31st.

Table of Contents

1. Why Year-End Is the Most Important Time to Check Your Retirement Accounts
2. 401k : What to Check and What to Change Before December 31st
3. Roth IRA : The Year-End Moves That Matter
4. HSA : The Retirement Account Nobody Talks About Enough
5. Your Year-End Financial Checklist

1. Why Year-End Is the Most Important Time to Check Your Retirement Accounts

Most retirement account contribution limits reset on January 1st. That means any limit you haven't hit by December 31st is gone permanently. You can't go back and fill in a previous year's 401k contributions the way you can with a Roth IRA (up to the tax filing deadline).

This matters more than most people realize. The difference between maxing your 401k and leaving it half-funded compounds dramatically over time. An extra $10,000 contributed at age 35 could be worth $70,000 or more by retirement at a 7 percent average annual return. That's not a small number.

2. 401k : What to Check and What to Change Before December 31st

The 2026 401k contribution limit is $23,500 for employees under 50, and $31,000 for those 50 and older (thanks to the catch-up contribution).

Here's what to check right now:

  • Are you getting your full employer match? Log into your HR portal and confirm your contribution percentage is high enough to capture the entire match. If your employer matches 100 percent of contributions up to 4 percent of your salary, you need to be contributing at least 4 percent. Anything less is leaving free money behind.
  • How much have you contributed year-to-date? Most HR portals show this. Subtract that number from $23,500 to see how much room you have left.
  • Can you increase your contribution percentage for the last few paychecks? Even bumping it up by 2 to 3 percent for your remaining paychecks this year can make a meaningful difference.
  • Check your investment allocation. If you set it and forgot it, your allocation may have drifted significantly from your original intention. A quick rebalance before year-end keeps things on track.

◦ Note : Changes to your 401k contribution percentage typically take one to two pay cycles to go into effect. Don't wait until mid-December.

3. Roth IRA : The Year-End Moves That Matter

The 2026 Roth IRA contribution limit is $7,000, or $8,000 if you're 50 or older. Unlike a 401k, you have until the tax filing deadline (typically April 15th of the following year) to make contributions for the current tax year. But don't let that lull you into procrastinating.

  • Check your income eligibility. Roth IRA contributions phase out for single filers earning between $150,000 and $165,000 in 2026, and for married filing jointly between $236,000 and $246,000. If you're close to these limits, it's worth calculating your projected year-end income now so you know exactly how much you can contribute.
  • If you're over the income limit, look into the backdoor Roth IRA. This is a legal strategy where you make a non-deductible contribution to a traditional IRA and then convert it to a Roth. It's worth discussing with a tax professional if this applies to you.
  • How much have you contributed so far this year? If you've contributed $4,000, you have $3,000 of room left. Set a reminder to fund the rest before April 15th at the latest, but sooner is always better.

4. HSA : The Retirement Account Nobody Talks About Enough

If you have a high-deductible health plan (HDHP), you're eligible for a Health Savings Account. The 2026 HSA contribution limits are $4,300 for individuals and $8,550 for families.

Here's why it deserves a spot on your year-end checklist:

  • Triple tax advantage : Contributions are pre-tax, growth is tax-free, and withdrawals for qualified medical expenses are tax-free. No other account does all three.
  • After 65, it works like a traditional IRA : You can withdraw for any purpose, paying only ordinary income tax. Before 65, non-medical withdrawals incur a 20 percent penalty, so treat it as a true long-term account.
  • Invest your HSA : Most people keep their HSA in cash. If you can afford to pay medical expenses out of pocket now and let your HSA grow invested, the long-term compounding effect is significant.

5. Your Year-End Financial Checklist

Here's everything in one place:

  • 401k : Confirm you're getting the full employer match. Check year-to-date contributions vs. the $23,500 limit. Increase contribution percentage if possible. Rebalance your investment allocation.
  • Roth IRA : Confirm income eligibility. Check how much you've contributed. Plan to fund the remaining balance before April 15th. Research backdoor Roth if you're over the income limit.
  • HSA : Confirm HDHP eligibility. Check year-to-date contributions vs. the $4,300 or $8,550 limit. Make sure your HSA funds are invested, not sitting in cash.
  • General : Review your overall investment allocation across all accounts. Check beneficiary designations, these are easy to forget and important to keep current.

Year-end financial to-dos aren't the most exciting thing to spend a Saturday on. But the version of you ten years from now will be genuinely grateful you took the two hours. Start with your 401k today, and work through the list from there.

Next up : The 50/30/20 Rule Doesn't Work for Everyone — A Realistic Savings Plan for Real Life. Subscribe to the newsletter for practical money guides that cut through the noise.


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----- • -----

📰 I'm Worcation.Jenie, a blog writer.

I write to connect with the world and weave invisible values into words.
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