NOT TAX ADVICE: This article is for educational purposes only and should not be treated as tax advice or tax instructions. Tax rules are complex and highly personal. You should consult with a qualified tax professional before making any decisions about retirement contributions, Roth elections, IRAs, HSAs, Medicare-related income planning, or any other tax-related strategy discussed below.
If you’re lucky enough to call the Texas Hill Country home, or you’re planning to make the move to Wimberley soon, you already know that life moves a little differently here. It’s about the slow mornings on the porch, the crisp water at Blue Hole, and the community spirit at Market Days.
But as we settle into 2026, there’s something else moving: the rules for your retirement accounts.
Thanks to the SECURE 2.0 Act, 2026 is bringing some of the biggest shifts in contribution limits and tax rules we’ve seen in years. If you’re a pre-retiree looking to better understand your options during your final high-earning years, these changes are worth a closer look.
In this guide, we’re exploring five key areas to understand as you review your 2026 contribution opportunities and related tax considerations with your tax professional.
Strategy 1: Understanding the New "Super" Catch-Up (Ages 60–63)
For years, the rule was simple: if you’re 50 or older, you get a "catch-up" contribution. But as of 2026, the IRS has added a new tier that is specifically designed for those in the "red zone" of retirement planning.
If you are between the ages of 60 and 63 in 2026, you are eligible for the "Super" Catch-Up.
While the standard elective deferral for 401(k) and 403(b) plans is $24,500, and the standard age-50 catch-up is $8,000 (bringing the total to $32,500), those in the 60–63 bracket can contribute a massive $11,250 in catch-ups.
That means you can tuck away a total of $35,750 into your workplace retirement plan this year. If you’re part of a high-earning couple both in that age range, you’re looking at over $70,000 in tax-advantaged savings in just one year. That’s a lot of potential growth before you start sipping wine at a local Wimberley vineyard.
Strategy 2: Understanding the High-Earner Roth Requirement
Here is where 2026 gets a bit tricky. There is a new mandate that specifically affects Wimberley’s affluent pre-retirees.
If your wages from your employer in 2025 were more than $145,000 (indexed for 2026, often cited around $150,000+), catch-up contributions to a 401(k) or 403(b) are generally expected to be made on a Roth (after-tax) basis under current rules. Because plan administration and personal tax circumstances can vary, this is an area where it’s especially important to confirm the details with your tax professional and employer plan administrator.
Previously, some savers may have expected a current-year tax deduction from catch-up contributions. Under the newer framework for higher earners, the treatment may shift toward after-tax Roth contributions instead. One potential benefit is that qualified Roth money can grow tax-free and may be distributed tax-free in retirement, but whether that fits your situation is something to review with a tax professional.
When you’re looking at no income tax vs. high property tax in Wimberley, having a bucket of tax-diversified assets may offer more flexibility for future cash flow planning.
Strategy 3: Reviewing Your IRA Contribution Opportunities
Don’t forget about your individual accounts. For 2026, the base IRA contribution limit (Traditional or Roth) is $7,500.
However, for those age 50 and older, the catch-up is now indexed for inflation. In 2026, that catch-up is $1,100, bringing your total IRA contribution limit to $8,600.
While $8,600 might seem small compared to your 401(k) limits, it can still be an important part of a broader retirement savings plan. If your income is above the limits for direct Roth IRA contributions, there may be additional planning approaches worth discussing with your tax professional before taking action. Managing these accounts thoughtfully can be an important part of tax-efficient relocations, especially when major life changes like selling a home and relocating are involved.
Strategy 4: Exploring the Triple-Tax-Advantaged HSA
If you have a high-deductible health insurance plan (HDHP), the Health Savings Account (HSA) is often discussed as one of the more flexible accounts available for long-term planning. It is commonly described as offering a "Triple Tax Advantage":
- Contributions may be tax-deductible.
- Growth may be tax-free.
- Withdrawals for qualified medical expenses may be tax-free.
For 2026, the limits have climbed:
- Self-only coverage: $4,400
- Family coverage: $8,750
- Catch-up (Age 55+): $1,000
Many of our clients in Wimberley view the HSA as a longer-term healthcare funding tool. Some choose to pay current medical expenses out of pocket, save receipts, and allow HSA assets to remain invested for future qualified expenses. Whether that approach makes sense depends on your cash flow, investment timeline, and tax situation, so it’s wise to review it with a tax professional before making any decisions. By retirement, an HSA may help support healthcare costs, which are often one of the larger retirement expenses.
This is especially important when you consider how Medicare costs and IRMAA surcharges can impact your monthly budget.
Strategy 5: Understanding How Contributions May Affect IRMAA
As you review your contributions in 2026, it helps to keep one eye on the horizon: Medicare Part B and Part D premiums.
The Social Security Administration looks back two years at your Modified Adjusted Gross Income (MAGI) to determine whether you may owe an Income-Related Monthly Adjustment Amount (IRMAA). That means 2026 income decisions may affect what you pay for Medicare in 2028.
Pre-tax contributions can influence MAGI calculations, which is one reason many retirees and pre-retirees pay close attention to them when planning for rising Medicare costs. However, how those contributions affect your personal IRMAA exposure depends on the bigger picture, including your income sources, filing status, and other planning decisions. Be sure to consult with a tax professional before making contribution decisions based on IRMAA assumptions.
It’s all about balance: saving enough to enjoy the Wimberley lifestyle while staying informed about how different account types may affect future fixed costs.
Bringing it All Together in the Hill Country
Retirement planning isn’t just about the numbers; it’s about the life those numbers support. Whether you’re spending your Saturday at Wimberley Market Days or hosting a family dinner at your new Hill Country estate, knowing your "financial house" is in order allows you to actually be present.
2026 is a year of opportunity for pre-retirees. With the "Super" Catch-Up, the new Roth mandates, and higher HSA limits, there’s a lot to evaluate. The key is understanding how these moving parts may work together and reviewing any next steps with a qualified tax professional before making decisions.
Schedule a Call to Refine Your 2026 Strategy
Planning for a Hill Country retirement requires more than a one-size-fits-all approach. If you’re looking for a fiduciary financial advisor who understands the unique landscape of Wimberley and the intricacies of SECURE 2.0, let’s talk. And before making any tax-related decisions, make sure you consult with a qualified tax professional.
Schedule a call with a fiduciary financial advisor today: https://calendly.com/portafoliocapital/15min
Portafolio Capital Management dba Mau Sanchez Capital is a Registered Investment Adviser. This content is for informational purposes only and does not constitute investment advice or a solicitation to buy or sell any security. Advisory services are provided only pursuant to a written advisory agreement.
For more information or to speak with our team, visit https://portafoliocapital.com/ or give us a call at (512) 593-8380.
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