At 50 with no retirement savings, you still have time to build a nest egg. Start by taking inventory of your income, monthly expenses, debt, workplace retirement plan contributions, and expected Social Security benefits. Consider which costs will rise in retirement, such as health care or long-term care.
If your employer offers a 401(k) with matching contributions, contribute at least enough to capture that match. You can also save in an individual retirement account (IRA). When you turn 50, the IRS allows catch-up contributions, letting you set aside more in tax-advantaged accounts than younger workers can. Fidelity Investments recommends having eight times your income saved by age 60. Focus on a well-balanced, diversified portfolio rather than risky or speculative investments.
Cut expenses where possible. The biggest savings typically come from housing, transportation, and high-interest debt like credit card balances.
You can claim Social Security as early as 62, but waiting until 70 gives you the maximum benefit. Some retirees live off savings while delaying Social Security, or couples strategize so the higher earner waits while the other claims earlier.
Working longer is another option. Delaying full retirement by a few years gives you more time to save and lets your existing money grow.