Retirement Saving in your 50's!

Don’t worry if you haven’t started putting aside for retirement. It is never too late to start saving for the day when you won’t be working any longer, but you need to start saving now!

The IRS allows you to play catch up once you turn 50 years of age. Changes to retirement plans in 2022.

Here are some things to consider to free up some extra money to save for retirement.

1) Review your budget and see where you can trim on expenses and what you can pay off like car loans and or credit card debt.

2) Got a mortgage? Think about refinancing it NOW before rates start increasing. Go from a 30-year mortgage to a 20-year or 15-year mortgage. If you are still working full time and can afford to double up on mortgage payments, do it now while you are still earning.

3) Postpone taking your social security until the full age of retirement.

4) Set goals yearly so you have a plan for retirement.

5) Take advantage of the extra contributions you can put into your retirement accounts.

TIP: If you are an employee and you contribute through work you can also set up your own sole retirement account as well. Try to max out the contributions annually. If you are self-employed, you can still set up your own individual account.

If you are not sure what kind of a retirement account is best for you, I would suggest talking to a local banker, financial planner, or tax expert. Types of Retirement Account.

It is also important to know how much you may need in retirement. How much will your healthcare costs increase? What to do about long term care and housing options. Will you still be working part-time? There are many resources online for planning for retirement, but the sooner you start planning the less stressful it will be when the day comes when you are NO longer working.

We hope you enjoyed this article. Tax season is almost over! File today!