There are many life circumstances that can prevent someone from saving for retirement. Whether it’s expensive emergencies that need to be prioritized, trouble maintaining a steady income or simply the lack of knowledge for exactly how to save for retirement in the first place, life can often send obstacles your way that can prevent you from utilizing your money the way you want to.
However, having a savings goal — and a plan for how to achieve it — is essential if you hope to one day retire and feel secure about your financial situation in your non-working years. Experts often recommend starting to save as soon as you can — after all, more time can make all the difference. But that doesn’t mean you’re out of luck if you are a bit late to get started.
Here, eight financial leaders from Kiplinger Advisor Collective weigh in with some of the best ways to plan for retirement as someone who is starting later in life, and how you can not only catch up but also have the security you need to feel good about your situation.
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Draw on your community for help “Start being a better neighbor. Retirement takes away the built-in community of a workplace and the paycheck that comes with it. If you don’t have extra cash, use your time to invest in the people and businesses around you. Volunteer, join events or pitch in at the community center. People closest to home can offer quick help in emergencies, share resources and create a sense of safety you can rely on.” — Kiersten Saunders , rich & REGULAR
Seek professional guidance “Contact a professional who relates to your journey. Look for someone experienced, reputable and willing to explain things in plain terms. A pro can show you tax-saving strategies, the right investment mix and ways to make your money work harder. They’ll help you stay focused and adjust your plan as life changes so you can retire with confidence — even if you started late.” — Justin Brock , Bobby Brock Insurance
Consider leveraging the equity in your home “Remember that the equity in your home is a valuable asset! Options for tapping into that equity for retirement living expenses include cash-out refinancing, home equity lines of credit (HELOCs) and, for those 62 and older, a home equity conversion mortgage (HECM or reverse mortgage). A HECM allows seniors to remain living at home, with the loan usually becoming due only upon death or the sale of the home.” — Laura Ostrem , Success Mortgage Partners, Inc.
Look into catch-up contributions “If you find yourself starting the retirement savings process later in life, I would recommend finding techniques that can help you fast-track your contributions. For example, if you’re over 50 years of age, you could consider catch-up contributions. Essentially, these allow you to make larger contributions to retirement that can help you speed up retirement savings.” — Justin Donald , Lifestyle Investor
Diversify your portfolio with alternative assets “Consider maxing out your annual IRA contributions to benefit from tax-advantaged investing opportunities. Also, consider diversifying your portfolio with alternative assets like private equity and venture capital that offer exposure beyond stocks and the potential for outsized returns. This strategy enhances diversification and acts as a safeguard against short-term market fluctuations.” — Scott Harrigan , Alto
Focus on your highest appreciating assets “Focus on the top three highest appreciating assets to accelerate your path to financial freedom. Prioritize investments in high-growth areas such as stocks, real estate or innovative sectors like AI and blockchain. Leverage compounding returns, minimize unnecessary expenses and diversify your portfolio to maximize potential while managing risks effectively.” — Dr. Clemen Chiang , Spiking
Plan for retirement income, not just accumulation “Everyone deserves and needs a retirement strategy that includes a drawdown plan with retirement income planning, not just an accumulation plan. It does not matter how old you are or how much you have — work with a retirement specialist to help you determine where you are at and how to get to where you want to go. You may be surprised at what you find out. Retirement planning is not one-size-fits-all!” — Shawn Maloney , Retire Wise, LLC
Identify expenses, eliminate costs and boost savings “Start by gaining clarity on your current financial situation. Identify your essential expenses, eliminate unnecessary costs and maximize savings wherever possible. Leverage tax-advantaged accounts like 401(k)s or IRAs with catch-up contributions. Diversify investments wisely for growth and stability. Explore options like downsizing or monetizing skills post-retirement to supplement income.” — Amrita Choudhary , Wasabi Technologies
Related Content The information provided here is not investment, tax or financial advice. You should consult with a licensed professional for advice concerning your specific situation.
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