9 Retirement Planning Tips for 2026

With 2026 underway, retirement planning continues to reflect changing rules, market conditions and personal priorities. This year brings updates to tax policy, contribution limits and income planning that can shape how people save, invest and manage cash flow in retirement. At the same time, decisions around Social Security, healthcare and where to live remain closely tied to overall financial well-being. Reviewing these factors early in the year can help align current choices with long-term retirement goals.

If you’re looking for the latest tips and retirement planning strategies, speak with a financial advisor.

Retirement Tips for 2026

Planning for retirement is an evolving process, and staying informed about the latest strategies can help ensure a secure and fulfilling future. New trends and tips are emerging in 2026 that can enhance your retirement planning. Here are some key considerations to keep in mind as you prepare for this important life stage.

1. Diversify Your Investment Portfolio

Diversification remains a cornerstone of effective retirement planning. By spreading investments across various asset classes, such as stocks, bonds and real estate, you can mitigate risks and potentially increase returns. This strategy helps protect your portfolio from market volatility and ensures a more stable financial future.

2. Consider Health Savings Accounts (HSAs)

Health savings accounts (HSAs) provide a way to set aside money specifically for medical expenses while taking advantage of favorable tax treatment. Contributions reduce taxable income, and withdrawals used for eligible healthcare costs are not taxed. Over time, an HSA can serve as a dedicated resource for covering medical expenses in retirement without drawing as heavily on other assets. In 2026, contribution limits are $4,400 for self-only coverage and $8,750 for family coverage, and participation requires enrollment in a high-deductible health plan.

3. Delay Social Security Benefits

Delaying Social Security benefits can significantly increase your monthly payments. For each year you delay past your full retirement age, your benefits increase by a certain percentage. This strategy can be particularly beneficial if you expect to live longer, as it maximizes the lifetime benefits you receive.

4. Explore Part-Time Work Opportunities

Many retirees find that part-time work not only supplements their income but also provides a sense of purpose and social engagement. Whether it’s consulting, freelancing, or pursuing a passion project, part-time work can enhance your retirement experience both financially and personally.

5. Stay Informed About Tax Changes

The One Big Beautiful Bill, which was signed into law in July 2025, introduced updates that affect retirement planning, including changes to tax brackets, deductions and the long-term treatment of retirement income. These adjustments may influence whether you pay taxes on your Social Security benefits, the timing of retirement account withdrawals and broader tax-planning strategies. Reviewing how the new rules apply to your situation can help you make more informed decisions about saving and spending in retirement.

6. Increase Your Retirement Account Contribution

If you’re able, consider contributing more to your retirement accounts this year. In 2026, the employee contribution limit for 401(k), 403(b) and similar workplace plans has risen from $23,500 to $24,500. The catch-up contribution limit for plan participants who are 50 and older has also increased to $8,000 for savers ages 50 and over (up from $7,500 in 2025).

Those with IRAs can also save more in 2026. The base contribution limit for traditional and Roth IRAs increased to $7,500 (up from $7,000 in 2025), while the IRA catch-up contribution limit has risen to $1,100 for those 50 and older (up from $1,000 in 2025).

7. Save More in Your 401(k) If You’re 60-63

In 2026, workers ages 60 to 63 are eligible for an enhanced catch-up contribution of up to $11,250, reflecting new rules designed to give late-career savers additional flexibility. Combined with the standard 401(k) employee contribution limit, this allows qualifying individuals to contribute as much as $35,750 in a single year, creating a larger opportunity to strengthen retirement savings in the years leading up to retirement.

8. Choose the Right Place to Retire

Where you retire has a major effect on your post-retirement living expenses. If you pick a location with low costs, you can have a more comfortable and secure retirement without having to save more while you are working. Choosing the right place to retire is a critical piece of the retirement planning puzzle.

9. Plan for Healthcare Costs

Medical bills generally rise as we age, and a well-thought-out retirement plan will prepare for that eventuality. For example, Fidelity Investments estimates that a 65-year-old who retired in 2025 may spend up to $172,500 on medical care in retirement. ¹ You can do this by saving in an HSA, budgeting for higher Medicare Part B premiums later and seeing if you can fit premiums for long-term care insurance into your budget.

Incorporating these retirement tips for 2026 into your planning can help you build a more secure and enjoyable retirement. By staying proactive and informed, you can navigate the complexities of retirement with confidence and peace of mind.

How to Decide How Much to Save for Retirement

Determining how much to save for retirement begins with understanding your future financial needs. Consider your current lifestyle and how you envision your retirement years. Will you travel frequently, or do you plan to live a more modest lifestyle? Estimating your annual expenses in retirement is crucial. Financial experts often suggest aiming for 70% to 80% of your pre-retirement income to maintain your standard of living. However, this percentage can vary based on personal circumstances and goals.

Before setting a retirement savings goal, evaluate your current financial situation. Take stock of your income, expenses, debts and existing savings. This assessment will help you determine how much you can realistically set aside each month. If you’re carrying significant debt, it might be wise to focus on reducing it first, as high-interest debt can erode your savings potential. Conversely, if you have a healthy savings buffer, you might be able to allocate more towards your retirement fund.

Setting realistic savings goals is essential for a successful retirement plan. Begin by calculating how much you need to save annually to reach your desired retirement fund. Use retirement calculators available online to input variables such as age, income, current savings and expected retirement age. These tools can provide a clearer picture of how much you need to save each month. Adjust your goals as needed, taking into account changes in income, expenses or life circumstances.

Bottom Line

Retirement planning in 2026 reflects a mix of updated contribution limits, shifting tax rules and evolving income strategies. Higher savings caps for retirement accounts, expanded catch-up opportunities and ongoing changes in tax policy can all shape how much flexibility retirees have later in life. Decisions around Social Security, healthcare costs and where to live also continue to play a role in long-term outcomes. Reviewing these elements together can help create a clearer picture of how today’s choices may affect financial stability in retirement.

Tips for Retirement Planning

• Stay up to date on the latest in financial planning by working with a financial advisor. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
• It’s always a good idea to know whether you’re saving enough for retirement, and SmartAsset’s retirement calculator can give you the answer.

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