When your wallet is pinched each time you fill your gas tank or grocery cart, it's tempting to cut back on retirement savings. In fact, in a recent AARP survey of workers 45 and older, one-third of those who responded said they had stopped contributing to their retirement plans and another 23% had tapped their retirement funds prematurely.
But the long-term impact of doing either of those things can be devastating -- especially if, like Rebecca Edgar of San Diego or Sam Ardery of Bloomington, Ind., you're already behind in saving for retirement. Edgar, 40, is recently divorced and is starting her nest egg from scratch. Ardery, 50, is still recovering from a failed real estate venture more than a dozen years ago.
But in both cases, they (and others interviewed by Kiplinger's) are able to tap sometimes-unexpected resources that can help them play catch-up. And you can benefit from their experiences. You may not be able to alter major economic trends, such as rising inflation, a volatile stock market and declining home values. But you can focus on key elements within your control: how much money you save, where you invest it and when you plan to retire.
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SOLUTIONS TO SIX NEST-EGG WOES
No. 1: Late Start on Saving
No. 2: Lack of Focused Strategy
No. 3: Big Nest-Egg Losses
No. 4: Little Savings for Retirement
N0. 5: Frozen Pension Funds
No 6: Saving in a Bear Market
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457 Plan Contribution Limits for 2025Retirement plans There are higher 457 plan contribution limits for state and local government workers in 2025 than in 2024.
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SEP IRA Contribution Limits for 2024 and 2025SEP IRA A good option for small business owners, SEP IRAs allow individual annual contributions of as much as $69,000 in 2024 and $70,000 in 2025..
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Roth IRA Contribution Limits for 2024 and 2025Roth IRAs Roth IRA contribution limits have gone up. Here's what you need to know.
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SIMPLE IRA Contribution Limits for 2024 and 2025simple IRA The SIMPLE IRA contribution limit increased by $500 for 2025. Workers at small businesses can contribute up to $16,500 or $20,000 if 50 or over and $21,750 if 60-63.
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457 Contribution Limits for 2024
retirement plans State and local government workers can contribute more to their 457 plans in 2024 than in 2023.
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Roth 401(k) Contribution Limits for 2025retirement plans The Roth 401(k) contribution limit for 2024 is increasing, and workers who are 50 and older can save even more.
