Update your retirement contributions

Early in the year is a good time to examine how much money you are contributing

Update your retirement contributions

RICHMOND, Va. (WWBT) - It’s time to give your retirement accounts a check-up. Experts say it’s always a good idea to go over how much money you are putting into retirement plans at least once or twice a year.

And during the pandemic you may have reduced those contributions or stopped them all together. So, take a peek this week at how much you putting in your 401K or IRA.

If you did reduce contributions-- try to slowly increase them.

Michael Joyce with the Richmond Financial firm Agili says make sure at the very least you are getting a company match and not leaving free money on the table. “Retirement’s not going to go way. We all hope to retire someday. It may seem like a long way off but it’s it’s it’s going to come faster than a lot of people think,” said Joyce.

Joyce adds that saving money in a 401K or IRA is basically like getting tax free compounding returns. You almost can’t beat that. He says to try to increase your contributions by 1%. Wait a month, see how your finances are working and then try adding another percent. If it’s too much money coming out of your paycheck-- it’s ok to pull back.

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