Are You Late to the Party? Start Catch Up Contributions at 50

Have you starting to realize that you may not have enough saved to be able to retire? Maybe you've got plenty and you're just looking to shelter a few extra dollars from taxes this year. Either way, if you're 50 years old or greater, there's a solution.

Catch up contributions will allow you to exceed the maximum contribution limit by $5,500 in tax years 2013 and 2014 as long as you meet the age requirement. You can make these extra payments to a 401(k), 403(b), SEP IRA, or 457 deferred comp plan. 

But Chris, can I make catch up contributions to my Roth or Traditional IRA? The short answer is yes! You can exceed the maximum contribution limits after 50, but by $1,000. 

The important thing to remember is that if you're older now and hopefully able to put a few extra dollars away above the maximum amount, you have the opportunity. Give us a call. We can review your retirement plans to find a way that works well for you to maximize your savings.