Life has a way of throwing curveballs, and sometimes retirement savings can take a back seat to other financial priorities. If you find yourself behind on your savings in your 40s or 50s, don’t worry. There are actions you can take and strategies to help you get back on track. Here’s how to catch up on your retirement savings.

Assess Your Current Situation

Start by understanding where you stand financially. Calculate your current retirement savings, estimate your Social Security benefits, and determine how much income you’ll need in retirement. Try using any of our free, online retirement calculators to get a clearer picture of where you stand.

Maximize Contributions

One of the most effective ways to catch up on your retirement savings is taking full advantage of contribution limits for tax-advantaged retirement accounts. One way to do this is by making a catch-up contribution. This is an optional amount someone who is 50 and older can contribute to a 401(k) account. For example, in 2025 the max you can contribute to a 401(k) is $23,500. However, someone who is 50 and older can choose to contribute an additional $7,500 annually to a 401(k) account in a catch-up contribution. Similarly, Individual Retirement Account (IRA) catch-up contributions allow an extra $1,000 annually for those 50 and older.

Prioritizing these retirement accounts, offers tax benefits that can accelerate your savings growth. If your employer offers a matching contribution for your 401(k), ensure you’re contributing enough to receive the full match—it’s basically free money.

Reduce Expenses and Redirect Savings

Review your budget for areas where you can cut back. Perhaps it’s reducing dining out, scaling back on subscription services, or postponing major purchases. Redirect the money you save into your retirement accounts. Even small adjustments can add up significantly over time.

Consider Delaying Retirement

Working longer not only gives you more time to save, but also reduces the number of years you’ll rely on your savings. Additionally, delaying Social Security benefits can increase your monthly payout, which can be a substantial advantage later in life.

Invest Strategically

If you’re behind on your retirement savings, your investment strategy becomes even more important. While it’s important to balance risk and reward, consider maintaining a diversified portfolio that includes growth-oriented assets like stocks. As retirement approaches, gradually shift to more conservative investments to protect your savings from the unpredictable market.

Explore Additional Sources of Income

Supplement your savings by generating additional income. This could mean taking on a part-time job, freelancing, or turning a hobby into a side business. The extra income can be directed into your retirement accounts.

Pay Off Debt

High-interest debt can ruin your ability to save. Focus on paying off credit cards, personal loans, and other high-interest obligations. Once your debt burden is lighter, redirect those payments toward your retirement savings.

Work with a Financial Advisor

A financial advisor can provide personalized guidance tailored to your situation. They can help you optimize your savings strategy, ensure your investments align with your goals, and offer insights into tax-efficient retirement planning.

Stay Disciplined

Consistency is key. Automate your contributions to retirement accounts and avoid dipping into your savings prematurely. Every dollar you save today can grow significantly over the next 10-20 years.

Catching up on retirement savings in your 40s and 50s may feel overwhelming, but it’s entirely possible with focus and discipline. By taking proactive steps now, you can build a more secure financial future and enjoy the retirement you deserve. Start today—your future self will thank you.