If you’re like most Americans that can’t save more due to maxed-out budgets or life demands, you’re not alone—58% of Americans feel behind on retirement goals. At Davenport & Associates, we focus on maximizing what you have through smart strategies.
What to do when you can’t save more for retirement? The good news: 2025 offers tools like Roth conversions and annuities to bridge gaps without additional contributions.
This article outlines 6 proven strategies to boost your retirement readiness, even if saving more isn’t an option. How can you grow your nest egg now? Read on for actionable steps to secure your legacy.
How does Roth conversion help? Shift traditional IRA funds to a Roth for tax-free withdrawals, ideal if you’re in a lower bracket now. In 2025, with potential tax hikes, this locks in savings—converting $50K could save $10K in future taxes. Why when you can’t save more? It leverages existing assets, growing them tax-efficiently without new contributions.
What’s the benefit? Waiting until 70 increases payments by 8% per year delayed, turning $2,000/month at 67 into $2,480. For limited savers? This boosts guaranteed income by up to 24%, supplementing your portfolio without adding to it.
How do annuities work? Purchase one with current savings for steady payouts, like $1,000/month for life. In 2025, SECURE 2.0 makes in-plan annuities easier, countering longevity risks. Why now? They provide security when contributions stall, protecting against market dips.
Maximize what’s free? Contribute just enough for full employer matches (average 4-6% of salary), and fund HSAs for triple tax advantages on healthcare (15% of retirement costs). For those maxed out? These “free money” options stretch existing funds without extra effort.
What to check? Rebalance your portfolio for low-fee index funds or TIPS against 2.8% inflation. Use MoneyGuidePro to simulate scenarios, uncovering 2-3% annual gains. Why effective? Optimization turns $250K into $300K+ over 5 years without new savings.
How do trusts boost retirement? Revocable trusts avoid probate (saving 4-7% fees), while irrevocable ones shield from Medicaid. For limited savers? They preserve what you have, ensuring heirs get more after taxes—up to 40% savings.
| Strategy | Benefit | Action Step |
|---|---|---|
| Roth Conversion | Tax-free growth | Convert $50K in low bracket year |
| Delay Social Security | 8% higher benefits | Wait until 70 for max payout |
| Annuities | Guaranteed income | Allocate 20% of portfolio |
| Employer Matches/HSAs | Free money, tax savings | Contribute to match + HSA max |
| Investment Optimization | 2-3% extra gains | Rebalance with advisor review |
| Trusts | Probate/tax avoidance | Fund trust with current assets |
Can these strategies work for modest savings? Yes—focus on efficiency, not amount. How do I start? A free review identifies quick wins. Our 30+ years guide you.
Can’t save more? These 6 strategies maximize and prepare for a secure 2025 retirement. Don’t let 58% behind be your fate. Ready to act? Schedule a free consultation below or take our retirement ready quiz.