Emergency Savings Enhancement Act of 2025

This bill increases the annual contribution limit for certain retirement savings accounts from $2,500 to $5,000. It directly affects workers participating in defined contribution retirement plans (like 401(k)s) who meet basic eligibility requirements. The key change raises the maximum amount individuals can contribute annually to these accounts, with the new limit applying to taxable years starting after December 31, 2026. The bill also updates related definitions in retirement law to align with this increased limit.