If you’ve followed our blog for any length of time, we have talked a lot about the importance of saving –Pig Bank especially when it comes to retirement. We’ve discussed the power of compounding as it relates to earning interest and the importance of starting early so that your money has more time to grow. Obviously, the more money you can contribute, the greater that growth will be. Over the next couple of weeks, we are going to talk strategy so that you can save even more for your retirement years! Some of these ideas seem like a no-brainer, but they’re definitely worth mentioning since they’re probably the easiest to implement!

Take Advantage of Your Company’s Match

This tip is SO simple, yet SO many people miss out! First of all, if you’re working for a company that has an employer-sponsored 401K plan – participate! Saving this way is easy for you since you don’t have to do ANY of the work! The money comes right out of your paycheck and automatically goes into your 401K account. If your employer offers a company match up to a certain percentage of your salary, try to contribute at least that amount. That’s essentially free money. Come on, what’s better than free?! In addition to the boosted retirement savings for later on, there are tax savings for you for the money that you contribute to your 401K. You get a tax break AND are saving for your future. I would say that’s a win-win.

Play Catch-Up

Again, this is another simple tip to save more for retirement, but it definitely warrants a mention. If you’re over the age of 50, the IRS allows you to save even more towards your retirement through what it refers to as “catch-up contributions”. For traditional and Roth IRAs, those over the age of 50 can stash away an extra $1,000 each year. If you have other retirement accounts and are over the age of 50, you can save an extra money each year. Check for the exact “catch-up contribution limits” for 2018 based on your specific retirement plan. If during your younger years you weren’t able to save as much as you would have liked, now would be the perfect time to sock away a few extra bucks!

Adjust Withholding Allowances

Did you just get a huge tax refund? I know that money seems like a wonderful gift from the government, but it really wasn’t – it was YOUR money that you overpaid in taxes.. Why not adjust your withholding allowances and get that extra money in your paycheck each pay period instead of loaning it to the government interest free? Then, instead of just spending that extra money, why not invest it? You didn’t have the extra few bucks in your paycheck before and managed to get by, so now that it’s there, why not pretend like that money doesn’t even exist and invest it for your future? Contribute it to your company’s 401K plan or stash it away in your own separate retirement account. Trust me, a few years down the road when that money has grown, you’ll be thankful you did!

CashContribute Some (or All) of Your Tax Refund or Any Other Extra Cash that Comes Your Way

Maybe you haven’t adjusted your withholding as previously mentioned and ended up with a sizable refund. Or maybe you just ran into some extra cash. Why not take some (or even all of that money if you can) and stash it away for retirement? By getting in the practice of saving any extra money that flows your way in addition to your regular savings, you’ll build up a nice nest egg over time. Compounding interest can work its magic and your money can grow more than you ever thought possible.

Like I said in the beginning, most of these “tips” are no-brainers that are really easy to implement. It’s easier to start saving with good habits that are easy to implement and that won’t cause you too much of a struggle. Next week, we will talk about some other tips that you could implement to boost your savings. Again, most of them are pretty easy to achieve, you just have to decide you’re going to do them. Make sure to tune in next week – you won’t want to miss it!

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“10 Ways to Help You Boost Your Retirement Savings (Whatever Your Age.” Merrill Edge, www.merrilledge.com/article/10-tips-to-help-you-boost-your-retirement-savings-whatever-your-age-ose.

“401 (k) Catch-up Contribution Limits for 2018.” Fox Business, 8 Dec. 2017, www.foxbusiness.com/features/401-k-catch-up-contribution-limits-for-2018.

Brandon, Emily. “10 Painless Ways to Save More for Retirement.” U.S News & World Report, U.S. News & World Report, www.money.usnews.com/money/retirement/slideshows/10-painless-ways-to-save-more-for-retirement?.

Huddleston, Cameron. “17 Clever Ways to Save More for Retirement.” GOBankingRates, 28 Dec. 2017, www.gobankingrates.com/investing/17-clever-ways-save-retirement/.