Maybe retirement suddenly doesn’t feel so far away.
And maybe the number in your retirement account isn’t what you’d hoped it would be.
You spent years raising children, caring for parents, building a business, recovering from a divorce, paying tuition, changing careers, supporting a family or simply trying to keep up with today’s expenses while promising yourself you’d save more for tomorrow.
And now you’re looking at the numbers and thinking:
Did I wait too long?
Probably not.
You can’t go back and invest the money you wish you’d saved at 30.
But you can make different decisions at 50, 55 or 60.
And those decisions still matter.
Women can face particular retirement challenges. Earnings, time spent caregiving and longer average lifespans can all affect how much women are ultimately able to accumulate and how long those resources may need to last.
So forget the guilt.
Let’s talk about what you can do now.
1. Find Out Where You Actually Stand
First, look.
Not someday. Not after the holidays. Not when you have “more money.”
Now.
Gather your retirement accounts, including old workplace plans, IRAs, pensions, your current employer plan and other investments or savings. Then look at your debt and anticipated expenses.
Finally, check your estimated Social Security benefit.
You can’t create a retirement strategy around a vague feeling that you probably haven’t saved enough.
You need actual numbers.
They may be better than you expected.
They may be worse.
Either way, knowing gives you something to work with.
2. Take Advantage of Your Catch-Up Years
One advantage of getting older is that you may be allowed to contribute more to certain tax-advantaged retirement accounts.
If you’re 50 or older, learn whether you’re eligible for catch-up contributions through your workplace retirement plan or IRA. Depending on your age and plan, additional catch-up opportunities may also be available.
Contribution limits can change from year to year, so check current IRS rules and your specific retirement plan before deciding how much you’re eligible to contribute.
Can’t possibly max it out?
That’s okay.
Increase your contribution by 1%. Then consider another increase when you get a raise. Redirect part of a bonus. Increase it when a major expense ends.
The choice isn’t max it out or do nothing.
Every additional dollar you save is a dollar Future You won’t have to find later.
3. Get Every Dollar Your Employer Will Give You
If your employer offers a retirement-plan match or contribution, understand exactly how it works.
How much do you need to contribute to receive the full match available to you? Are you contributing enough? When does the money vest? What happens if you leave?
Employer contributions can be an important part of your overall compensation, yet it’s easy to pay far more attention to salary than to the benefits surrounding it.
Know the whole package.
Because if you’re trying to catch up, you don’t want to accidentally leave compensation on the table.
4. Take a Fresh Look at Social Security
When you claim Social Security can affect your monthly benefit, so don’t make the decision automatically because you’ve reached a particular birthday.
Benefits can generally begin before full retirement age, but claiming earlier can reduce the monthly amount. Waiting beyond full retirement age may increase your monthly benefit up to a certain age.
That doesn’t mean waiting as long as possible is automatically the right decision.
Your health, financial needs, marital situation, other income, employment plans and expectations for retirement all matter.
This is exactly the kind of decision where personalized financial advice can be valuable.
The important thing is to understand your choices before you make one.
And remember that Social Security and Medicare have separate rules and timelines. Don’t assume delaying one means you should automatically delay the other.
5. Consider Working Longer, but Change the Question
“Just work longer” isn’t particularly helpful retirement advice.
Some people can’t.
Health changes. Jobs disappear. Family responsibilities intervene. And some women have spent 40 years working and are more than ready to stop.
But if you can and want to work longer, even a few additional earning years may change your financial picture. You may be able to continue contributing to retirement, receive additional employer contributions, delay drawing down savings or maintain workplace benefits longer.
But working longer doesn’t necessarily mean staying in the same demanding job until 70.
Maybe you consult. Teach. Work part time. Start something. Move into a less demanding role. Turn expertise accumulated over 30 years into income that doesn’t require 60-hour weeks.
Don’t think only in terms of:
When do I stop working?
Ask:
What kind of work might I want to do later?
Those are different questions.
6. Look at the Big Expenses, Not Just the Lattes
Yes, small expenses add up.
But if retirement is approaching and you’re seriously behind, canceling one streaming service probably isn’t going to transform your future.
Look bigger.
Housing. Cars. Debt. Insurance. Taxes. Travel. Financial support you’re providing to adult children.
Could you eventually live comfortably in a smaller home? Do you want to remain where you are? Would eliminating certain debts before retirement significantly reduce the income you’ll need?
And are you still financially rescuing grown children at the expense of your own retirement?
That last one can be particularly difficult.
Helping your children is wonderful.
Becoming financially dependent on them later because you gave away money you needed isn’t necessarily helping anyone.
7. Don’t Forget Healthcare
A retirement plan isn’t complete if it accounts for vacations and housing but ignores healthcare.
Understand Medicare before you need it. Think about premiums and out-of-pocket expenses. Consider how you would handle a significant health event or long-term care need.
And if you’re considering retiring before becoming eligible for Medicare, understand how you’ll obtain health coverage during the gap.
Healthcare isn’t the fun part of imagining retirement.
It’s still part of the plan.
8. Make a Retirement Spending Plan Before You Retire
What will retirement actually cost you?
Not a generic retiree.
You.
Think about housing, utilities, food, transportation, healthcare, travel, entertainment, family support, charitable giving, taxes, home repairs and everything else that makes your life yours.
Then think about where that income could come from.
Social Security. A pension. Retirement accounts. Investments. Savings. Part-time work. Other income.
This is also where professional advice may become especially useful. How and when you draw from different types of accounts can have tax and planning implications, and there isn’t one withdrawal strategy that’s right for everyone.
Your retirement accounts shouldn’t simply become one giant checking account the day you stop working.
Build a withdrawal strategy before you start withdrawing.
9. Give Yourself Permission to Redefine Retirement
Here’s something we don’t talk about enough:
Retirement doesn’t have to look like anyone else’s.
Maybe you want to stop working completely at 62. Maybe you love what you do and can’t imagine stopping. Maybe you want to consult three days a week, move somewhere smaller, travel six months a year, start a business, volunteer, take care of grandchildren or teach.
Maybe you want to do absolutely nothing for six glorious months and figure it out later.
The amount of money you need depends partly on the life you’re trying to fund.
So before asking:
Do I have enough to retire?
Ask:
What do I actually want retirement to look like?
Then put numbers around that life.
Don’t Let Embarrassment Become More Expensive
This may be the most important point.
If you feel behind, don’t avoid your accounts because looking makes you anxious.
Don’t assume it’s hopeless.
And don’t compare your retirement balance with your friend’s, your sister’s or some stranger’s number on the internet.
Start where you are.
At 35. At 45. At 55. At 65.
You can’t change when you started.
You can absolutely change what you do next.
Pink POV
Future You doesn’t need an apology. She needs a plan.
Maybe you should have started earlier.
Maybe life happened.
Maybe you spent years taking care of everyone else before realizing you hadn’t done enough to take care of yourself.
Okay.
Start now.
Save another percent. Get the employer match. Learn what you actually have. Understand Social Security before you claim it. Look honestly at your future expenses. Ask for professional help when the decisions get complicated.
And stop thinking of retirement planning as preparing to become old.
It’s something much more appealing than that.
You’re buying choices for the woman you’re going to be.
Where she lives. Whether she works. How she spends her time. Who she helps. What she does next.
It’s not too late to give her more of them.
