How to Prepare for Retirement in Your 50s:Making The Most of Your Last Full Decade of Work
Your 50s are the sprint before the retirement finish line. The choices you make now will determine whether you glide into retirement with confidence or scramble to catch up at the last minute.
The good news? You’ve still got time. The better news? This decade might be your most powerful yet.
Here are the moves that matter most before you hit 60.
Maximize Contributions
If you aren’t maxing out your retirement plan yet, it’s time to revisit your spending and see what you can shift toward savings. Every pre-tax dollar you contribute reduces your taxable income (this is not tax advice, please consult your tax professional regarding your situation) and builds your nest egg at the same time.
Here’s the kicker: once you hit 50, you unlock “catch-up” contributions for both retirement plans and IRAs. That means you can stash away even more and give your accounts the shot of adrenaline they just might need!
Get Your Investments Right
This is where I see even smart investors trip up. You can be earning positive returns and still be investing the wrong way if your portfolio doesn’t align with your risk tolerance, time horizon, and liquidity needs.
Ask yourself: could you be getting a higher return for the same—or even less—risk? If you don’t know how to answer that, you’d benefit from a professional review. At Generation Capital Management, we can analyze your portfolio and even manage investments inside your 401(k), 403(b), 457, or TSP without you needing to move those assets.
Quick Tip: If you insist on going it alone, a target-date fund may be a decent option since it adjusts risk levels automatically as you approach retirement. Just be mindful that internal fees in these types of funds may be higher than other choices.
Health and Lifestyle
Here’s an interesting tidbit I’ve learned after working with hundreds of families: people who retire to something are far happier than those who only retire from something. Your health and sense of purpose are your greatest assets as you age.
This matters financially too. Healthy habits now translate into lower medical costs later and more years to enjoy the money you’ve worked hard to save. Eat with intention, move your body regularly, and make time for people and activities that bring joy. Your retirement depends on it.
Make a Plan
Do you actually know if you’re on track? Are you willing to bet your retirement on it?
This part isn’t optional. A comprehensive financial plan covers far more than investments. It pulls together your taxes, spending, estate planning, health, family priorities, and yes, even your emotional relationship with money.
You don’t need to hand over your investments to get a great plan. Many firms, including ours, offer planning and ongoing support without requiring asset management. The value is in knowing whether you’re on track, saving too little, or even saving more than you need to. Clarity brings confidence.
The Bottom Line
Your 50s are not the end of the game, they’re the years where smart decisions compound into lasting freedom. Every choice matters. Every year matters. If you want clarity on your next steps, I’d be glad to have that conversation.
John Howe-Wemett, CFP®, MS
