[USER]

Hello, My Spouse and I are in our early 40s. We only had 401K options from work for the last 8 years, so have just a modest of 300K. We only started contributing to the IRA in the last 3 years. Can anyone advise on how we can make up for all these years on non-imvestment and ignorance?

Current salary $150K and $100K for spouse.

[Alex]

Utilize an HSA as well if the health plan makes sense, using a taxable brokerage is still a great way to build wealth. If you have a side business, you can also look into a solo 401k.

[Beth]

You can’t contribute additional until age 50…do taxable brokerage, solo 401K if you have any side business.

[Rick]

The best way to make up for lost time is increasing contributions. Your age is irrelevant to your holdings. VTSAX does not know or care if you are 25 or 75. Compounding of returns does not care if you are 25 or 75. You need MORE money going in. Otherwise invest just like you would if you had half or all the mo day you think you should have reached at this age.

Same asset classes.

Same account type.

Explore these too: How to start thinking about retirement at 39 with no savings?

[Diann]

Uhhh…keep doing what you’re doing? If you already have $300K after contributing for the last 3 years, then it sounds you’re doing something really good.

[Kevin]

The comments from others are good. Here’s what I have to add:

1. Set a stretch goal of saving at least half of your income.
2. Start a regular (taxable) brokerage account for your “excess” savings with a goal of having that be an important part of your total investments.

Have you seen: Will our assets cover early retirement in 15 years?

[Chris]

Keep it up, and don’t stop! We were all later to this than we wanted to be. We can all just do what we can do and help the next generation do better!

[Author]

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