If you’re looking to end the year on a stronger financial note, maximizing your retirement contributions is one of the smartest moves you can make. Whether you’re catching up after a few lean years or simply want to take full advantage of your tax-advantaged options, now’s the time to act. There are many, many questions to ask: Have you hit your contribution limits? Are you leaving money on the table with your employer match? Have you planned for the deadlines that actually matter?
At LaTour Asset Management of Springfield, we work with clients every day to make sure their retirement strategy stays aligned with their life. If you’re not sure where to start, here are our top timely tips that could make a difference for your future.
- Max Out Employer Contributions
If your employer offers a match, make sure you’re contributing at least enough to capture it in full. It’s one of the simplest ways to increase your savings without increasing your own out-of-pocket expenses. For Springfield residents with access to a 401(k), 403(b), or similar plan, this could mean thousands of additional dollars working for your future.
- Leverage Catch-Up Contributions if You’re 50+
The IRS allows savers age 50 and older to contribute more than the standard limits. Those few extra years can make a big impact.
- For 2025, the standard employee limit for 401(k) contributions is $23,500.
- Those aged 50+ can contribute an additional $7,500, for a total of $31,000.
- If you’re between 60–63, that catch-up limit rises to $11,250 (bringing your total to $34,750), if your plan allows.
- For IRAs, the standard limit is $7,000, with an extra $1,000 for those over 50.
These contributions must be made before year-end for employer plans, but you have until the tax filing deadline to fund IRAs.
- Turn Windfalls Into Long-Term Gains
Did you get a year-end bonus or a tax refund? Maybe you received an unexpected inheritance? That’s great financial news! Allocating some or all of that windfall into your retirement accounts helps boost savings without disrupting your regular budget. It’s a disciplined move that often goes underused.
- Explore After-Tax and Roth Options
If you’ve already maxed out your pre-tax and Roth contributions, consider after-tax contributions if your plan permits them. For 2025, the combined limit for all contributions (including employer, employee, and after-tax) is $70,000. With the right guidance, some of these funds may be eligible for a Roth IRA rollover—potentially unlocking tax-free growth.
- Track the Right Deadlines
Contribution deadlines can sneak up quickly. Employer plans typically require contributions by December 31, while IRAs allow funding through the April tax deadline of the following year. Knowing what’s due when is key to making every dollar count.
- Our Top Tip: Consult With a Trusted Advisor
Not every strategy makes sense for every household. Income phaseouts, Roth eligibility, and employer plan nuances can quickly complicate your options. The team at LaTour Asset Management of Springfield can help you handle these complexities with clarity and confidence.
So, need help finishing strong this year? Call LaTour Asset Management of Springfield office at (877) 888-5724 to talk with an advisor who puts your long-term goals first.
