Clients have a narrow window to boost retirement savings with SECURE 2.0 'super catch ups'

Beginning this year, older workers have a fleeting but powerful new way to supercharge their retirement savings, but many may miss out through inaction.

Under the SECURE 2.0 Act, employees between the ages of 60 and 63 will be allowed to make ‘super catch-up’ contributions to their workplace retirement plans, which provides an opportunity that could mean tens of thousands of extra dollars in tax-advantaged savings.

But the window is tight, and many workers may not even realize it exists, Mindy Yu, CIMA®, senior director of investing at Betterment at Work tells InvestmentNews.

“Super catch-ups are a new opportunity created by SECURE 2.0,” she says.  “It allows workers ages 60 to 63 to contribute more than the standard 50+ catch-up. In 2025, that means an extra $11,250 instead of the usual $7,500, since the rule sets the limit at $10,000 or 150% of the standard catch-up, whichever is greater.”

But Yu notes that the provision is temporary by design and only available during this specific four-year age window. Once a worker turns 64, they revert to the standard 50+ catch-up limit.

According to Yu, lawmakers were intentional about narrowing eligibility.

“This provision was designed as a targeted boost for workers in their early 60s, a time when many are in their peak earning years and getting closer to retirement,” she explains. “By limiting the window to ages 60–63, Congress created a final push to accelerate savings before participants transition back to the regular 50+ catch-up at age 64 and beyond.”

Planning is key

Yu advises that seizing the opportunity offered by super catch ups requires foresight.

“The main way to maximize the super catch-up is to plan ahead for cash flow. If you know you’ll hit ages 60–63, you can budget to take advantage of the higher annual limit while it’s available,” she says. “Another way to maximize it is by pairing these contributions with other tax-advantaged accounts, like IRAs or if eligible, HSAs, so you’re not only saving more but also diversifying how your retirement income will be taxed.”

High earners face additional considerations. Under SECURE 2.0, workers earning more than $145,000 will eventually be required to make catch-up contributions into Roth accounts, meaning the contributions will be made after tax but grow tax-free.

“For high earners in their early 60s, this means the larger super catch-up could create significant Roth balances in a short period of time,” Yu says.

While plan compliance is expected to begin in 2026, the regulation’s effective date is 2027.

“Super catch-ups are best used as part of a coordinated plan, not in isolation,” Yu notes. “Advisors can help clients decide whether pretax or Roth contributions make the most sense in their early 60s, especially with the Roth requirement coming for high earners in 2026.”

Practical planning, she adds, means running the numbers.

“A practical step is to run multi-year projections so clients see how these extra contributions could impact their withdrawal strategy and long-term tax bill.”

Missing out

Despite the benefits, catch-up provisions remain underutilized.

“Retirement savers can miss out simply because they don’t know the option exists or haven’t built it into their savings plan,” Yu said. “With rising inflation, some may be hesitant to prioritize catch-up contributions over everyday living expenses.”

While not a silver bullet, Yu says super catch-ups can help workers who are behind on savings.

“The extra $2,500 to $3,750 per year over four years can be meaningful, especially when combined with compounding and potential employer matches,” she says. “While it may not close the gap entirely, it provides a chance to make measurable progress during a critical stage of retirement planning.”

But Yu cautions that workers shouldn’t mistake the higher limits for a permanent change.

“Super catch-ups stop at age 64, so it’s a short-lived opportunity,” she said. She also urged workers and employers to make sure systems are ready. “Advisors should also make sure payroll systems and plan administrators are set up to handle the changing limits year to year to avoid mistakes.”

Finally, Yu stresses that super catch-ups are specific to workplace plans such as 401(k)s, 403(b)s, and governmental 457(b)s.

“They don’t increase IRA contribution limits, so retirement savers should think about them as a complementary tool,” she says. “Advisors can also help clients layer Roth and pretax strategies across accounts so extra contributions aren’t just boosting savings—they’re improving flexibility and potential tax efficiency in retirement.”