Savings milestones for retirement

For the next retirement milestone, you have to jump a few decades ahead to age 50. That's when the "catch-up" provision kicks in. If you've been lax about socking away money in your employer-sponsored 401(k) retirement plan, the catch-up allows you to make up for lost time by increasing the amount you contribute to the plan, according to the IRS. If you are age 50 or older, you can add an additional $5,500 to the contribution limit for 2010. (A catch-up provision also allows you to contribute an extra $1,000 to an IRA.) Other workers can contribute a maximum of $16,500 per year to a 401(k), Fryer says.

Bumping up the amount you stash away in your 401(k) or other plan, even if you're late to the game, pays off in the long run.