Have you ever wondered if you are optimizing the contributions to your tax-advantaged accounts – your employer’s retirement plan, your IRA, or your HSA? Do you know when you can and when you are required to access your retirement funds?
Beginning at age 50, there are certain tax-saving opportunities that are available to you. In the years following, additional strategies and certain retirement benefits also become available.
Our quick-reference timeline outlines the milestone ages that trigger these tax-saving opportunities and the important dates for Medicare and Social Security that may help you minimize your taxes and maximize your income.
Age 50
Catch-up contributions of $1,100 to IRAs
Workers 50 and older can save an additional $1,100 in an IRA for a total contribution of $8,600 for 2026.
Catch-up contributions of $8,000 to employer 401(k) plans
Employees 50 or older can contribute an additional $8,000 to their 401(k) plan for a total contribution of $32,500 for 2026.
Age 55
Catch-up contributions of $1,000 to HSAs
Individuals 55 or older are eligible to contribute an additional $1,000 to an HSA for a total contribution of $5,400 for 2026.
If both spouses are 55 or older, they can each contribute an extra $1,000, but the funds must be in separate HSAs.
The Rule of 55
If you leave (or lose) your job in the year you turn 55 or older, you can take penalty-free 401(k) withdrawals from the retirement account associated with your most recent job.
Age 59-1/2
10% early withdrawal penalty ends.
At age 59-1/2 you can withdraw funds from an IRA for any reason without incurring the 10% early withdrawal penalty, though you may still owe income tax on the distribution.
Age 60
Enhanced catch-up contributions of $11,250 to employer 401(k) plans
Employees 60 to 63 are eligible to contribute an additional $11,250 to their 401(k) plan, for a total contribution of $35,750 for 2026.
Once participants turn 64, they revert to the standard age 50+ catch-up contribution limit.
Age 62
Social Security benefits eligibility begins
Earliest age to claim Social Security, which results in a permanently reduced monthly benefit of up to 30% from your full retirement age monthly benefit.
Age 65
Medicare eligibility begins
The initial enrollment period lasts for seven months, beginning three months before you turn 65 and ending three months after the month you turn 65.
If you miss the enrollment period, a lifetime late enrollment penalty may be applied.
Additional standard deduction for taxpayers 65 or older
Single filers receive an additional $2,050 standard deduction, which increases the 2026 standard deduction from $16,100 to $18,150.
Married filers on a joint tax return receive an additional $1,650 standard deduction per taxpayer, which increases the 2026 standard deduction from $32,200 to $35,500 if both are over age 65.
Enhanced senior deduction of $6,000 for taxpayers 65 or older
This temporary deduction is available to each taxpayer 65 or older through 2028, whether or not you itemize, but only if Modified Adjusted Gross Income (MAGI) is less than certain thresholds.
For married couples filing jointly, the senior deduction begins to phase out at $150,000 of MAGI and is fully phased out if MAGI exceeds $250,000. For single filers the phase out occurs between $75,000 and $150,000 of MAGI.
Age 66-67
Full retirement age for Social Security, depending on birth year
If you start receiving benefits at your full retirement age, you will receive 100% of your monthly benefit.
Full retirement age depends on the year you were born:
• If you were born between 1943 and 1954, your full retirement age is 66.
• If you were born between 1955 and 1959, your full retirement age is 66 plus two months for each year after 1954.
• If you were born in 1960 or later, your full retirement age is 67.
Age 70
No further incentive to wait to sign up for Social Security
If you delay taking your benefits from your full retirement age up to age 70, you will receive the largest possible monthly benefit.
Age 70-1/2
Qualified Charitable Distributions (QCDs) from your IRA are allowed
You can transfer any amount up to $111,000 for 2026 from your Traditional IRA directly to a qualified charity and will not owe income tax on the transaction.
Age 73
Traditional 401(k) and IRA Required Minimum Distributions (RMDs)
RMDs begin for retirees who were born from January 1, 1951 to December 31, 1959.
Age 75
Traditional 401(k) and IRA Required Minimum Distributions (RMDs)
RMDs begin for retirees who were born on or after January 1, 1960.
If you’d like to learn more about these tax- and retirement-related opportunities, please reach out to start a conversation. We’d love to help you make the most of your money in retirement.
Any comments, insights, or strategies discussed in this article are intended to be general in nature and, therefore, may not be suitable for you and your situation. Where specific advice is necessary, please consult with your team of advisors to determine how these provisions may affect your situation.
