Max Out Your Retirement Accounts (and Go Beyond the 401(k)) 

By Fit Wealth | October 2026 

Why “Max Out Your 401(k)” Isn’t Enough Anymore 

You've probably heard it before — “Max out your 401(k).” 

It's sound advice, but for high earners, it's just the starting line, not the finish line. 

If you're earning $300K, $500K, or even seven figures, your traditional 401(k) contribution alone may not make the impact you're looking for on your tax bill or long-term retirement goals. 

The truth is, the employee 401(k) contribution limit only scratches the surface of what's potentially available to you. 

For successful business owners and high-income professionals, the opportunity often lies in coordinating multiple retirement strategies — determining how much you can contribute, where those dollars should go, and how those decisions affect both your current taxes and future wealth. 

Let's look at what's available for 2026. 

401(k) Contribution Limits for 2026 

One important change for 2026: If you earned more than $150,000 in FICA wages from the employer sponsoring your plan in 2025, your 2026 catch-up contributions generally must be made on a Roth (after-tax) basis, if applicable. 

That means those catch-up dollars won't provide an immediate federal income-tax deduction, although qualified Roth distributions can be tax-free in retirement. 

These contribution limits provide a strong foundation. But for someone in their peak earning years, there's potentially much more available. 

Here's where the real planning begins. 

The $72,000 Opportunity: Combining Employee + Employer Contributions 

One of the most overlooked opportunities for business owners is the ability to combine employee 401(k) contributions with employer contributions, including profit-sharing. 

For 2026, the combined defined contribution limit increases to $72,000, excluding eligible catch-up contributions. 

For example, assuming you're under age 50 and your compensation and plan design support the maximum: 

• Employee 401(k) contribution: $24,500 

• Employer/profit-sharing contribution: $47,500 

• Total potential contribution: $72,000 

For individuals eligible to make catch-up contributions, the potential combined totals can reach $80,000 or $83,250, depending on age. 

Why does this matter? 

Consider a profitable business owner earning $300,000 annually. 

Rather than stopping at a $24,500 employee contribution, a properly structured retirement plan could potentially allow significantly more money to be directed toward retirement. 

If the full $72,000 is contributed on an eligible pre-tax basis, that could mean $72,000 in retirement contributions with corresponding current-year federal income-tax benefits, subject to applicable deduction rules. 

That's money being strategically allocated toward your future instead of simply becoming additional taxable income. 

Of course, the amount your business can contribute depends on several factors, including compensation, business structure, plan provisions, and applicable contribution and deduction limits. 

Cash Balance & Defined Benefit Plans: The Power Tools for High Earners 

What if you're already maximizing your 401(k) and profit-sharing contributions but still have substantial income available? 

This is where Cash Balance and Defined Benefit Plans become especially interesting. 

Unlike a traditional 401(k), these plans are designed around a defined retirement benefit rather than a fixed annual employee contribution limit. 

Depending on your age, compensation, retirement timeline, and plan design, they may allow for significantly larger deductible contributions — sometimes reaching six figures annually. 

These strategies can be particularly valuable for: 

• Business owners in their peak earning years. 

• High-income professionals looking to accelerate retirement savings. 

• Entrepreneurs with consistently strong business profitability. 

• Owners seeking additional tax-efficient retirement planning opportunities. 

For 2026, the IRS maximum annual defined benefit is $290,000, subject to applicable compensation and other limitations. This is a benefit limit, not a universal annual contribution limit. Actual allowable contributions are determined through actuarial calculations. 

The opportunity: A qualifying business owner may be able to maintain an existing 401(k)/profit-sharing plan while also contributing to a properly designed Cash Balance Plan, subject to coordination and combined-plan rules. 

That can create a substantial retirement savings opportunity while potentially reducing current taxable income. 

However, these plans aren't necessarily appropriate for every business. They involve administrative costs, funding commitments, employee considerations, and long-term planning requirements. 

The goal isn't simply to contribute the largest amount possible. It's to determine whether the strategy makes sense for your business, cash flow, and overall financial picture. 

The Mega Backdoor Roth: Another Opportunity for High Earners 

If you've ever been frustrated by the income limitations surrounding direct Roth IRA contributions, the Mega Backdoor Roth is another strategy worth understanding. 

A Mega Backdoor Roth allows eligible participants to make additional after-tax contributions to a 401(k) and subsequently convert or roll those dollars into a Roth account. 

For 2026, the combined defined contribution limit is $72,000, excluding eligible catch-up contributions. 

For example, if you're under age 50 and your plan permits the strategy: 

• Employee 401(k) contribution: $24,500 

• Employer contribution: $10,000 

• Remaining potential after-tax contribution capacity: $37,500 

That additional $37,500 could potentially be contributed on an after-tax basis and subsequently moved into a Roth account through an eligible conversion or rollover. 

The exact amount available depends on your existing contributions, compensation, and plan provisions. 

Importantly, not every employer-sponsored retirement plan allows this strategy. Your plan must permit the necessary after-tax contributions and eligible Roth conversion or rollover options. 

After-tax contributions do not reduce your current taxable income, and any associated earnings may create a tax liability upon conversion. However, properly executed Roth strategies can provide the opportunity for tax-free qualified distributions in retirement. 

This is where tax diversification becomes increasingly valuable. 

Rather than having all your retirement assets in one tax category, you can strategically build a combination of: 

• Pre-tax accounts: Traditional 401(k), profit-sharing, and Cash Balance Plans. 

• Roth accounts: Roth 401(k) and Roth IRA assets. 

• Taxable accounts: Brokerage and other nonqualified investments. 

Having assets across different tax categories can provide greater flexibility when determining how to generate income and manage taxes throughout retirement. 

The Takeaway: Layer, Don't Limit 

For successful business owners and high-income professionals, maxing out your 401(k) is a great start — but it shouldn't automatically be where the conversation ends. 

The bigger opportunity is understanding how multiple financial strategies can work together. 

As we approach the end of 2026, consider reviewing the following: 

• Have you maximized your available employee and employer retirement contributions? 

• Would a profit-sharing or Cash Balance Plan make sense for your business? 

• Does your current retirement plan allow additional after-tax contributions for a Mega Backdoor Roth? 

• Are you strategically balancing pre-tax, Roth, and taxable investments? 

• Have you coordinated your retirement contributions with your broader year-end tax strategy? 

One final consideration: Don't wait until December 31 to begin these conversations. 

Retirement plan establishment, funding, election, and deduction deadlines vary depending on the strategy, plan type, and business structure. Some contributions may be funded after year-end, but certain elections and planning decisions must be addressed earlier. 

The best time to identify an opportunity is while there's still time to act on it. 

Next Steps 

Your retirement strategy should reflect more than an annual contribution limit. It should account for your income, business profitability, tax exposure, and the financial future you're working toward. 

At Fit Wealth, we work with successful business owners and high-income individuals to coordinate investment management, retirement planning, and proactive tax strategies. 

Let's review what's still on the table for 2026. 

Schedule a Year-End Wealth Strategy Call to discuss your current retirement plan and identify potential opportunities before the year ends. 

Book a Strategy Call → 

Advisory services are offered through Fit Wealth Advisors, LLC. d/b/a Fit Wealth, an Investment Advisor in the State of Nebraska. Insurance products and services are offered through Fit Wealth Insurance, LLC, an affiliated company. All content is for information purposes only. It is not intended to provide any tax or legal advice or provide the basis for any financial decisions. Nor is it intended to be a projection of current or future performance or indication of future results. Purchases are subject to suitability. This requires a review of an investor’s objective, risk tolerance, and time horizons. Investing always involves risk and possible loss of capital.