New Years Financial Housekeeping
- Alex Potter, CFP®
- Jan 2
- 2 min read
With a New Year comes new goals! Here are some simple action items you can implement to improve your financial picture for 2026.
Retirement Savings Adjustments
With higher contribution limits for 2026, this is a great opportunity to review your 401(k) or 403(b) contributions and consider increasing them to take full advantage of the new limits.
Employee Contribution limit: $24,500
Catch-up (age 50+): $8,000
Higher catch-up: (ages 60-63): $11,250 instead of $8,000
Traditional & ROTH IRA Limits
The annual contribution limits have increased for 2026. If you are contributing to an IRA or Roth IRA, consider increasing your monthly contributions. Remember, you have until April 15, 2026 to make contributions for the 2025 tax year.
Under age 50: $7,500
50+ Catch Up: $1,100
Maximum over age 50: $8,600
Beneficiary Review
As the year begins, it’s a great time to review your beneficiary designations. Be sure to check your retirement plans, IRAs, Roth IRAs, and life insurance policies. Keep in mind that beneficiary designations override the instructions in your will or trust.
Estate Plan
If you have never completed a will or trust, consider making 2026 the year you put these important documents in place. If you would like Foundation Wealth Management to assist with this process, please let our team know and we can help guide you down the appropriate path.
Fact of the Month
The best time to start saving was years ago. The second best time is January.
Securities offered through Registered Representatives of Cambridge Investment Research, Inc., a Broker/Dealer, Member FINRA/SIPC. Investment Advisor Representative, Cambridge Investment Research Advisors, Inc., a Registered Investment Advisor. This communication is strictly intended for individuals residing in the states of MI, IN, OH. Cambridge and Foundation Wealth Management are not affiliated.
