These crucial years call for action.

smart financial move 40s 50sToday, retirement may seem nearer to you than it once did. The following moves might be worth making—and soon.

Catch-up contributions to your retirement accounts. Starting in the year you turn 50, you may make a total of $1,000 in catch-up contributions to your IRAs each year and put an extra $6,000 per year into a 401(k) or 403(b). Fifteen years of $1,000 catch-up contributions to an IRA should grow to about $30,000 at an 8% annual yield. Fifteen years of $6,000 catch-up contributions to a 401(k) or 403(b) should grow to roughly $212,000 by age 65 if the account returns 8%.1

Estate plans. If you want to plan to control some of the destiny of your wealth, draw up a will and evaluate trust options
that may help insulate assets from probate.

College savings plans. If you have not yet explored the potential of tax-advantaged 529 plans and similar accounts to
grow a college fund, now is a good time.

Portfolio reviews. The asset allocation in your portfolio should be reviewed periodically; revising it can potentially help
you manage risk and maintain your preferred investment style.

Time is of the essence. The years between 40 and 60 are crucial years in your financial life.

Meet with a Financial Advisor

Next Step: Speak to a Financial Advisor

We're financial advisors specializing in retirement planning. Find out how working with a financial advisor can help you avoid making those classic mistakes.
Meet with a Financial Advisor


Required Attribution

Tracking #1-697857 (Exp. 02/19)(Exp. 01/19)

There is no guarantee that an 8% return can be achieved. This is a hypothetical example and is not representative of any specific situation. Your results will vary. The
hypothetical 8% rate of return used do not reflect the deduction of fees and charges inherent to investing. Asset allocation does not ensure a profit or protect against
a loss. Prior to investing in a 529 Plan investors should consider whether the investor’s or designated beneficiary’s home state offers any state tax or other benefits
that are only available for investments in such state’s qualified tuition program. Tax treatment at the state level may vary.

Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and may not be invested into directly.