Catching Up in Your 50s: Smart Retirement Moves If You Got a Late Start

If you're in your 50s and feeling behind on retirement savings, you’re not alone—and you’re not out of time.

Life happens. Maybe you were focused on raising kids, paying off debt, building a business, or just didn’t have the extra income to set aside. Whatever the reason, the important thing is this: it’s not too late to make meaningful progress toward a secure retirement.

With focus and a few smart strategies, your 50s can be a powerful time to catch up. Here’s how:

1. Maximize Your Retirement Contributions—Including Catch-Up Contributions

Once you turn 50, the IRS gives you the green light to contribute more to retirement accounts.

• In 2025, you can contribute up to $23,000 to a 401(k) (including a $7,500 catch-up).

• For IRAs, the total is $8,000 (including a $1,000 catch-up).

These larger limits are a valuable opportunity to supercharge your savings in your peak earning years.

➡ Tip: If you're not already maxing out, increase your contributions gradually—every little bit helps.

2. Prioritize High-Impact Accounts

If you're behind, where you put your money matters.

• Start with your 401(k)—especially if your employer offers a match. That’s free money.

• Consider Roth options if you expect to be in a higher tax bracket in retirement.

• Health Savings Accounts (HSAs) can also be a great, tax-advantaged way to save for healthcare costs in retirement.

➡ Tip: Work with a financial advisor to choose the right mix based on your goals and tax situation.

3. Rethink Your Retirement Timeline

Delaying retirement—even by a couple of years—can significantly boost your savings and reduce the number of years you need to fund.

Why it helps:

• More time to save.

• Fewer years drawing from your accounts.

• Larger Social Security benefits (benefits increase each year you delay past full retirement age up to age 70).

➡ Tip: Use this time to reduce debt, increase savings, and refine your retirement plan.

4. Reevaluate Spending and Lifestyle

Catching up may require tightening the belt temporarily—but it doesn’t have to mean giving up everything you enjoy.

• Review your monthly spending and identify areas to cut back or eliminate.

• Consider downsizing your home or relocating to a lower-cost area if appropriate.

• Make intentional decisions about big-ticket items (cars, vacations, etc.).

➡ Tip: Every dollar you save today is a dollar (plus potential growth) you can spend later.

5. Reduce and Eliminate Debt

High-interest debt is one of the biggest obstacles to retirement readiness.

• Pay off credit cards and personal loans aggressively.

• Aim to reduce or pay off your mortgage if possible.

• Avoid taking on new debt as retirement approaches.

➡ Tip: Freeing up cash flow now can help you redirect more money into retirement savings.

6. Get Clear on Your Retirement Vision

Catching up is easier when you know what you're aiming for.

• What does your ideal retirement look like?

• How much income will you need monthly?

• What will your priorities be—travel, grandkids, volunteering, part-time work?

➡ Tip: A clear vision can help you set realistic goals and make trade-offs that align with your values.

7. Work with a Financial Professional

Trying to catch up on your own can be overwhelming. A financial advisor can help:

• Create a personalized retirement savings strategy

• Review your investment allocations

• Run projections based on your timeline and income needs

• Optimize Social Security timing

• Address tax-efficient withdrawal strategies

➡ Tip: A professional can help you feel more in control—and make sure your plan is actually working for you.

Final Thoughts

Feeling behind doesn’t mean giving up on retirement—it means getting intentional. Your 50s can be a powerful time to take control of your financial future. With the right mindset, tools, and support, it’s absolutely possible to make up ground and build a retirement you can feel good about.

Remember, it’s not about where you start—it’s about what you do next.