Crossing age 50 or 65 isn’t just another birthday — it unlocks new opportunities that can make a significant difference in your retirement planning. These milestones provide ways to increase savings, reduce taxes, and add flexibility to your long-term income strategy.
Why age matters in tax planning
- Catch-up contributions: Starting at age 50, the IRS allows you to contribute extra dollars to retirement accounts like IRAs and 401(k)s. This means thousands of additional dollars every year can grow tax-deferred (or tax-free in Roth accounts).
- Spousal IRAs: Even if one spouse doesn’t earn an income, contributions may still be possible using the working spouse’s income. This is a great way for couples to maximize household savings.
- Senior deductions: Once you reach age 65, the tax code offers larger standard deductions and other age-related tax benefits, giving retirees an additional way to reduce taxable income.
What this means for you
These provisions are designed to help you save more during your peak earning years and lower your tax exposure when you begin drawing income in retirement. For clients who feel behind on savings, catch-up contributions provide a meaningful way to close the gap. For those on track, they create more flexibility for tax planning in retirement.
At wealthnest®, we guide clients through each stage of life to ensure no opportunities are left unused. Whether you’re 50, 65, or beyond, small adjustments now can make a big impact later.
Turning 50 or 65 isn’t just about adding candles to the cake — it’s about unlocking powerful opportunities to boost savings, cut taxes, and create more flexibility for your retirement future.
👉 Connect with wealthnest® today to make sure you’re taking full advantage of every age-based strategy available to you.