Retirement savings for 40-, 50- and 60-year-olds
Use catch-up contributions
Once you turn 50 or older, you can take advantage of catch-up contributions, which allow you to contribute extra money to your retirement plans, says Corn. For company-sponsored 403(b) and 401(k) plans, you can contribute an extra $5,500 on top of the $16,500 allowed for everyone -- for a total of $22,000. For an IRA or Roth IRA, it's an extra $1,000 per year on top of the $5,000 contribution limit for everyone.
That's especially important if you didn't save enough when you were younger. Catch-up contributions enable you to save more at a later life stage, even if you can't totally get caught up to where you might have been had you started saving earlier.