Two Simple Tools for Smarter Retirement Planning

When it comes to planning for retirement, a few simple rules can make complex concepts easier to understand. Two of the most helpful are the Rule of 72 and the Rule of 55. Both can give you quick insight into how your savings work and how you can make more informed decisions with your retirement plan.

The Rule of 72: How Fast Will Your Money Double?

The Rule of 72 is a quick mental shortcut to estimate how long it will take your money to double based on your rate of return. Just divide 72 by your expected rate of return.

Example:

If your retirement account earns a 7% average annual return, your money doubles roughly every 10 years (72 ÷ 7 = ~10.3).

Why it matters for employees:

• It helps you understand the power of starting early.
• It shows how even small increases in contributions or investment return can significantly grow your balance over time.
• It encourages long-term thinking rather than getting discouraged by short-term market noise.

The Rule of 55: Accessing Retirement Savings Penalty-Free

The Rule of 55 is an IRS provision that allows you to take penalty-free withdrawals from your employer-sponsored retirement plan (like a 401(k) or 403(b)) if you leave your job in or after the calendar year you turn 55.

Key points:

• It applies only to the plan sponsored by the employer you just left not to old plans or IRAs.
• Withdrawals are still taxable, but the 10% early withdrawal penalty is waived.
• This rule can be especially helpful for employees considering early retirement, a career change, or a phased transition out of the workforce.

How employees can use this in planning:

• Build flexibility into your retirement strategy knowing this option exists can reduce pressure.
• If you're planning to retire early, you may leave money in your current employer's plan to take advantage of the penalty-free access.
• Use it as a bridge until Social Security or other income sources begin.

Why These Rules Matter Together

While the Rule of 72 helps you understand growth, the Rule of 55 helps you understand access. One encourages long-term accumulation; the other provides short-term flexibility. Together, they give employees a clearer picture of both how their retirement savings grow and how they can be used as life plans evolve.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

Securities and Investment Advisory Services Offered Through M Holdings Securities, Inc., a Registered Broker/Dealer and Investment Adviser, Member FINRA/SIPC. Rose Street Advisors is independently owned and operated. #5059399

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When organizations begin exploring a merger or acquisition, most of the attention naturally goes to valuation, legal structure, synergies, and integration timelines. Yet one critical element often sits just beneath the surface; the retirement plan. For business owners, CFOs, and HR directors, overlooking how retirement plans will be handled during the transaction can lead to costly errors, compliance issues, and unnecessary employee confusion.

Retirement plans are governed by strict rules, documentation standards, and fiduciary oversight. During an M&A transition, decisions made in the early stages will determine how smoothly the plan integration unfolds. There are five key areas that plan sponsors should evaluate carefully as part of their planning process.

The first and most foundational decision is determining what will happen to the existing plans. Will both plans continue to operate separately? Will one be merged into the other, or will one be terminated? In some cases, plan sponsors may choose to freeze contributions temporarily while decisions are finalized. Each path carries its own set of timelines, document requirements, potential vesting implications, and participant communication needs. Engaging your ERISA counsel, recordkeeper, and advisor early ensures you select the approach that aligns best with your business and workforce.

Once the intended structure is clear, comparing each plan’s investment lineup and fee schedule becomes essential. Two plans often mean two investment menus, different share classes, and separate administrative and advisory fee structures. A side-by-side review can help determine which investments provide stronger performance histories, lower expenses, or more appropriate participant diversification. In many cases, a merger creates an opportunity to renegotiate pricing, streamline the menu, and strengthen fiduciary oversight going forward.

The human element of the merger cannot be overlooked. Eligibility, vesting schedules, and employer contribution formulas often differ between plans, and employees will want to know exactly how these changes affect them. How will service credit be recognized post-transaction? Will vesting accelerate for any employees? When will newly eligible participants enter the plan? Getting clear answers to these questions helps prevent errors in payroll feeds, eligibility tracking, and contribution calculations. It also supports employee confidence during a time when uncertainty can run high.

To protect the organization, a thorough compliance review is equally important. Plan sponsors should evaluate historical 5500 filings, nondiscrimination testing results, prior audit notes, top-heavy status, and whether plan documents are up to date. Identifying potential risks before integration avoids surprises later and may even uncover opportunities to correct issues before they escalate.

Finally, a strong communication strategy ties everything together. Employees notice changes to benefits quickly, and retirement plans are often one of the first areas they ask about. Clear, timely communication can ease concerns, reduce misinformation, and help employees understand how the transition impacts their savings and long-term goals. Frequent updates, educational meetings, FAQs, and reminders can significantly improve the participant experience and trust in leadership throughout the merger process.

Mergers and acquisitions are about more than financial consolidation. They represent a transformation of people, culture, and the benefits that support them. With thoughtful planning and coordinated execution, retirement plan decisions can support and not complicate the success of the transition.

If your organization is preparing for or considering a merger or acquisition, now is the time to evaluate your retirement plan strategy.

We would be happy to help you review your current structure, assess compliance exposure, and walk through options for integrating plans in a way that is efficient, defensible, and employee-focused. Feel free to reach out if you’d like to schedule a discussion or begin a plan review.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

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Retirement, HSA, and Estate Updates at a Glance

As the calendar turns, the numbers shift — and with them, meaningful opportunities to strengthen retirement plans, optimize taxes, and plan for the next generation. The IRS has released the updated limits for 2026, and while many changes appear modest, they can add up to powerful long-term advantages for savers, investors, and families preparing for wealth transfer.

2025 vs 2026: Key Retirement, HSA, Estate, and Tax-Savvy Updates

Account / Rule	2025 Limit	2026 Limit	Why It Matters
401(k) / 403(b) / 457 employee deferral	$23,500	$24,500	More room for pre-tax or Roth savings.
401(k) Catch-Up (50+)	$7,500	$8,000	Extra boost for those nearing retirement.
Super Catch-Up (60–63)	$11,250	$11,250	Additional employee-only savings opportunity.
Combined Employee + Employer (§415)	$70,000	$72,000	Larger cap helps business owners and self-employed individuals.
Traditional / Roth IRA (under 50)	$7,000	$7,500	Modest increase enhances tax-advantaged growth.
IRA Catch-Up (50+)	$8,000	$8,600	Higher limit for late-career savers.
HSA (Self-Only)	$4,300	$4,400	Helps fund medical + retirement needs.
HSA (Family)	$8,550	$8,750	Slight bump for families.
HSA Catch-Up (55+)	$1,000	$1,000	Still a valuable tool for older savers.
Annual Gift-Tax Exclusion	$19,000	$19,000	Predictable gifting; couples can give $38,000.
Qualified Charitable Distribution	$108,000	$111,000	Tax-efficient giving directly from IRAs.
Charitable Giving for Standard Deduction filers	N/A	$1,000 Single/$2000 Married	Cash donations deductible even without itemizing.
529 → Roth IRA Conversion	Allowed up to $35,000 lifetime	Allowed up to $35,000 lifetime	Turns unused 529 funds into retirement savings.
Estate Tax Exemption (individual)	$13.99mm	$15mm	Higher threshold for tax-free transfers.
Estate Tax Exemption (married)	$27.98mm	$30mm	Expanded room for multi-generational planning.

What These Changes Mean for You

1. More Room For Retirement Savings

Higher limits across 401(k)s, IRAs, and HSAs create more tax-efficient space for long-term wealth building. For example, a saver age 60–63 could potentially contribute up to $35,750 in employee-only 401(k) contributions — and up to $72,000 when combined with employer dollars.

2. Strategic Charitable Giving Options

QCD limits rise to $111,000 in 2026, making it easier for IRA owners 70½+ to give generously while reducing taxable income. Even standard-deduction filers can deduct up to $1000 for single/$2000 for married filing jointly in cash/stock donations next year.

3. New Flexibility for 529 Plans

Unused 529 dollars can now be moved into a Roth IRA for the beneficiary, giving families a tax-efficient way to support a child or grandchild’s retirement — provided the account is old enough and earned-income rules are met.

4. Expanded Estate and Legacy Planning Power

With the 2026 exemption rising to $15 million per individual ($30 million per couple), families have additional room to transfer wealth tax-free. Paired with annual gifting and charitable strategies, this strengthens multi-generational planning.

5. A Holistic Planning Opportunity

Retirement accounts, HSAs, charitable tools, and estate strategies don’t stand alone — they work together. Thoughtful coordination can create more tax efficiency and better long-term outcomes.

Even small annual changes can have major lifetime impact. The 2026 updates offer more ways to save for retirement, strengthen philanthropic plans, manage healthcare expenses, and pass wealth efficiently to heirs. With a coordinated approach, these expanded limits help protect both lifestyle and legacy.

As the financial landscape evolves, staying proactive ensures your planning keeps pace. Use the new 2026 limits to your advantage — and position yourself and your family for a stronger financial future.

Jeremy Heavey

AIF ® , NSSA ® | FINANCIAL ADVISOR

Securities and Investment Advisory Services offered through M Holdings Securities, Inc., a Registered Broker/Dealer and Investment Advisor, Member FINRA/SIPC. Rose Street Advisors, LLC is independently owned and operated. File #5057537

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How Inflation Can Affect Retirement Savings and Ways to Mitigate Its Impact

Planning for retirement is challenging enough, but one factor often underestimated is inflation, the gradual increase in prices over time. Even modest inflation can erode the purchasing power of your savings, meaning the money you’ve set aside may not stretch as far in the future as it does today. Understanding how inflation works and taking steps to protect against it can make a significant difference in your long-term financial security.

How Inflation Impacts Retirement Savings

• Reduced purchasing power: A retirement goal of $80,000 annually today might require $110,000 or more in the future,
depending on inflation.
• Eroded investment returns: If your portfolio earns 6% but inflation is 3%, your real return is closer to 3%.
• Higher cost of living in retirement: Healthcare, housing, and daily expenses often rise faster than general inflation.

Historical Inflation Trends

Over the past 30 years, inflation in the U.S. has averaged roughly 2–3% per year, but there have been periods of higher inflation (such as the early 1980s and the recent 2020s) showing that rates can fluctuate significantly. Planning for a range of potential inflation scenarios is key to protecting your retirement lifestyle.

Strategies to Mitigate the Impact of Inflation

• Invest for growth: Incorporating equities can help your portfolio outpace inflation over the long term.
• Diversify your retirement accounts: Using tax-advantaged accounts like 401(k)s, IRAs, or Roth accounts can help increase
after-tax income.
• Consider inflation-protected investments: Options like Treasury Inflation-Protected Securities (TIPS) or certain annuities can offer
safeguards.
• Delay Social Security when possible: Benefits increase each year you delay up to age 70, helping protect income from inflation.
• Review and adjust regularly: Periodically updating your retirement strategy ensures your plan stays aligned with changing
economic conditions.

Next Steps

Inflation can quietly erode your retirement savings if left unaddressed. Take action now by reviewing your current retirement plan, assessing how it accounts for inflation, and exploring strategies to protect your future purchasing power. Schedule a consultation with a financial advisor today to create a plan tailored to your goals and safeguard your financial security in retirement.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

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As you near retirement, your focus often shifts from building wealth to protecting it and to making sure the people and causes you care about are provided for. Estate planning plays a key role in that transition.

It’s not just about legal documents; it’s about financial confidence. An effective estate plan helps you protect your assets, guide your loved ones, and create a lasting legacy that reflects your values. Whether you’ve already retired or are counting down the years, here are six essentials to review.

1. A Current Will or Revocable Living Trust

Your will or trust is the cornerstone of your estate plan. It ensures your assets are distributed according to your wishes and names the person who will oversee that process.

If it’s been several years since you last reviewed your documents or if your life has changed through marriage, divorce, relocation, or new grandchildren, it’s time for an update.

For many retirees, a revocable living trust offers additional benefits, including avoiding probate and providing privacy for your estate. A brief conversation with an estate attorney can confirm whether that approach makes sense for your situation.

2. Updated Beneficiary Designations

One of the most common estate planning mistakes is overlooking outdated beneficiary forms. Accounts like IRAs, 401(k)s, and life insurance policies pass directly to the people listed on those forms even if your will says otherwise.

Take time to review your designations to ensure they reflect your current wishes. It’s a simple step that can prevent significant confusion (and heartache) later.

3. Powers of Attorney for Finances and Health Care

Estate planning isn’t only about what happens after you’re gone, it’s also about protecting yourself while you’re alive.

A durable power of attorney authorizes someone you trust to handle financial matters if you’re unable to do so. A health care power of attorney or proxy gives another trusted person the ability to make medical decisions if you can’t.

These documents ensure that if life takes an unexpected turn, someone you choose, not the courts, will step in to help manage your affairs.

4. A Living Will or Advance Directive

A living will allows you to express your wishes for medical treatment if you face a serious or terminal illness. It covers decisions such as life support, pain management, and end-of-life care.

Having these preferences documented removes uncertainty for your loved ones and gives them confidence that they are following your wishes and not guessing at them.

5. An Organized List of Assets, Accounts, and Key Contacts

Your family or executor can’t carry out your plan if they don’t know where to find things. That’s why it’s essential to maintain an up-to-date list of:

• Financial accounts and institutions

• Life insurance and annuities

• Estate documents and passwords

• Contact information for your advisor, attorney, and accountant

Store this list securely and let a trusted person know how to access it if needed. Organization today can save your loved ones enormous stress tomorrow.

6. The Emotional and Psychological Side of Estate Planning

Retirement is a major life transition, one that brings both freedom and reflection. Many people find themselves thinking deeper about family relationships, legacy, and what they want their wealth to represent.

Estate planning isn’t only a financial exercise; it’s an emotional one. It can help bring clarity and purpose as you enter a new stage of life. Deciding how to pass on your assets can spark meaningful conversations with loved ones and help you articulate your values and priorities.

You might even find that reviewing your estate plan offers a sense of closure and peace — knowing you’ve put structure around what matters most to you and those you love.

Bringing It All Together

Estate planning is one of the most thoughtful gifts you can give your family. It ensures your wishes are honored, your assets are protected, and your loved ones are cared for.

If it’s been a while since you reviewed your plan, now’s a great time to start. Talk with your financial advisor and estate planning attorney to confirm everything still reflects your goals. You’ll gain not only legal clarity, but emotional comfort knowing your legacy is in good hands.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

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Retirement Planning for Small Business Owners: A Smart Approach to Business and Personal Wealth

As a small business owner, you’re often focused on running and growing your company such as managing employees, balancing cash flow, and planning for the next big opportunity. But one area that can easily slip down the priority list is your own retirement planning. Unlike employees who may rely on an employer’s retirement plan, small business owners are responsible for creating both the structure and the funding of their future financial security.

The good news: with the right strategies, you can build a retirement plan that not only helps secure your future but also supports your business goals today.

Why Retirement Planning is Different for Small Business Owners

Unlike employees, small business owners wear two hats:

• Business Owner: focused on growth, operations, and legacy.

• Individual Investor: focused on personal wealth and long-term security.

The challenge lies in separating these two worlds. Many owners reinvest profits back into the business and delay saving for retirement, assuming the eventual sale of the business will provide for their future. While that may work for some, it creates risk if market conditions or the valuation don’t align with expectations. A strong retirement plan helps diversify wealth and reduce dependency on a single outcome.

Step One: Separate Business and Personal Wealth

Think of your finances as two buckets:

• Business Wealth: the value of your company, cash flow, and any reinvested profits.

• Personal Wealth: retirement savings, investments, and assets outside the business.

The key is to consistently transfer some business profits into personal accounts. This helps ensure your future financial security isn’t tied solely to the business’s success.

Step Two: Explore Retirement Plan Options

Small business owners have flexible retirement plan choices depending on business size, goals, and cash flow. Here are a few common options:

• SEP IRA: Simple, low-cost, and flexible may be best for sole proprietors or very small businesses.

• SIMPLE IRA: Works well for businesses with fewer than 100 employees, easy to administer, with required contributions.

• Solo 401(k): Ideal for one-person businesses or businesses with a spouse as the only employee; allows higher contribution limits.

• Traditional 401(k): Scales well for growing businesses, provides tax benefits, and attracts/retains employees.

Each plan has unique rules on contributions, tax advantages, and administration. The right fit depends on your business goals and whether employee benefits are part of the picture.

Step Three: Balance Growth and Security

Reinvesting profits in your business can yield high returns, but it also concentrates your risk. By setting aside money in a retirement account, you create a safety net and diversify your long-term wealth. Many successful owners adopt a strategy of disciplined contributions of allocating a set percentage of profits each year to retirement savings, no matter what.

Step Four: Plan for an Exit Strategy

At some point, every owner transitions out of their business; whether through sale, succession, or closure. Your retirement planning should include:

• Valuation of the business to understand what it may be worth.

• Succession planning if family or employees are potential successors.

• Diversification of personal assets to ensure your financial future doesn’t rely solely on the business sale.

The Advisor's Role

As your plan advisor, my role is to help you evaluate options, separate business and personal goals, and create a strategy that works today and in the future. Whether that means designing a 401(k) for your company, guiding you on contribution strategies, or coordinating with your CPA and attorney on tax and estate considerations, the goal is the same: give you confidence that your hard work today translates into financial security tomorrow.

Final Thought

Running a small business is demanding, but your retirement shouldn’t be an afterthought. By taking a proactive, structured approach, you can protect your future, reduce risk, and enjoy the financial clarity that comes from knowing both your business and personal wealth are working together for your long-term success.

Click here to access our Retirement Planning Checklist for Small Business Owners

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

Roth Catch-Up Contributions - Are You Ready for January 1, 2026?

Starting January 1, 2026, a key provision of SECURE 2.0 will officially take effect: Roth Catch-Up Contributions will be mandatory for certain high-income earners aged 50 and older. This change, originally slated for 2024, was delayed giving plan sponsors, recordkeepers, and payroll providers time to prepare. Now, with the final regulations released by the IRS and Treasury Department, the countdown is real.

What's Changing?

Under the new rule, participants aged 50+ earning more than $145,000 in prior-year wages must make their catch-up contributions on a Roth (after-tax) basis. Traditional pre-tax catch-up contributions will no longer be allowed for this group.

This shift is designed to enhance retirement savings flexibility and tax diversification, but it also introduces operational complexity for plan sponsors.

What You Need To Do Now

With the effective date fast approaching, plan sponsors should take the following steps:

• Confirm with your recordkeeper that Roth catch-up functionality is enabled and tested.

• Coordinate with your payroll provider to ensure wage tracking and Roth designation are properly configured.

• Review participant communications to ensure employees understand the change and its impact.

• Consult resources like Fidelity's Roth Catch-Up Resource Center for implementation guidance.

Helpful Resources

• NAPA: What's the Actual Effective Date? - Clarifies the timeline and compliance expectations.

• 401k Specialist: IRS Final Regulation Summary - Details on the finalized rules.

• SPARK Guide for DC Plans - Practical implementation tips.

Final Thoughts

January 2026 may feel distant, but the groundwork must be laid now. Don’t wait until year-end to discover gaps in your systems or communications. Confirm with your partners today and ensure your plan is ready to go.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

Top 5 Things to Consider in Retirement

For many people, retirement feels like the finish line but in reality, it’s the start of a whole new chapter. Whether you’re just a few years away or already in your first years of retirement, the decisions you make now can shape your lifestyle for decades.

Here are five key areas to consider as you plan for a secure and fulfilling retirement:

1. Income Sources - Building Your Retirement Paycheck

The biggest shift in retirement is moving from earning a paycheck to creating one. Most people rely on a mix of income sources:

• Social Security provides a foundation, but the timing of when you claim can significantly impact your benefit. For example, claiming at 62 could reduce your monthly benefit by up to 30%, while waiting until age 70 increases it.

• Pensions (if you have one) often offer options like a lump sum or monthly payment — each with pros and cons depending on your needs and life expectancy.

• Personal savings and investments fill the gap, whether from a 401(k), IRA, or taxable accounts.

The key is coordinating these income streams so you know how much is coming in and when. Think of it as building your own retirement “paycheck.”

2. Spending Needs - Creating a Realistic Budget

Your expenses in retirement will likely look different than they did while working, but they won’t go away. Some retirees see costs drop, while others discover new expenses.

Common categories include:

• Healthcare - Medicare doesn't cover everything, and premiums, prescriptions, or long-term care can add up.

• Travel and Leisure - Many people want to take that big trip or pursue hobbies they never had time for.

• Housing - Downsizing or relocating can lower costs, but property taxes and maintenance may still be significant.

• Everyday Living: Groceries, utilities, insurance, and transportation remain steady expenses.

A good rule of thumb is to plan for 70–80% of your pre-retirement income to maintain your lifestyle. Tracking your spending for a few months before retiring can help you set realistic expectations

3. Investment Strategy - Balancing Growth and Protection

Retirement doesn’t mean you stop investing. In fact, your money may need to last 25–30 years or more. The challenge is finding the right balance between growth and safety:

• Growth Investments - (like stocks) help protect against inflation so your money keeps its buying power.

• Stability Investments - (like bonds or CDs) provide predictable income and reduce volatility.

For example, a retiree with a $1 million portfolio who leaves everything in cash risks losing purchasing power over time. On the other hand, someone who invests too aggressively could face steep losses during a market downturn. The sweet spot is usually a diversified mix that matches your risk tolerance and spending needs.

Taxes - Making Your Money Last Longer

Taxes in retirement can be more complicated than many expect. Withdrawals from traditional IRAs or 401(k)s are taxed as ordinary income, while Roth accounts provide tax-free withdrawals. Social Security benefits may also be taxable depending on your income.

One strategy is to be intentional about which accounts you draw from first. For example:

• Using taxable accounts early may allow your retirement accounts to grow longer.

• Roth conversions before age 73 can reduce future required minimum distributions (RMDs).

Smart tax planning can stretch your retirement savings and help avoid unpleasant surprises come April 15th.

5. Legacy and Long-Term Care - Planning Beyond Yourself

Finally, think about what happens beyond your day-to-day needs. Two areas are especially important:

• Long Term Care: Nearly 70% of retirees will need some form of care at some point. Options include self-funding, long-term care insurance, or hybrid life insurance policies that include care benefits.

Estates and Legacy Planning: Do you want to leave assets to children, grandchildren, or a favorite charity? Having a will, powers of attorney, and beneficiary designations up to date ensures your wishes are carried out smoothly.

Even small steps, like organizing your accounts and documents, can make things much easier for loved ones later on.

Final Thoughts

Retirement isn’t just about reaching a financial number — it’s about having confidence in your plan and clarity in how you’ll spend your time and resources. By carefully considering your income, spending, investments, taxes, and legacy, you can set yourself up for a retirement that’s not only secure but deeply fulfilling.

Every situation is unique, and what works for one person may not fit another. Talking to a financial advisor can help you sort through your options and design a plan that works best for you.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

401(k) Plan Design Tweaks That Can Drive Big Results

As a retirement plan sponsor, you have a powerful role in shaping how well your employees prepare for retirement. The good news? You don’t have to reinvent your 401(k) plan to make a meaningful impact. Sometimes, small design tweaks can drive big results both for your employees’ financial futures and your plan’s overall success.

Here are four proven strategies worth considering:

1. Auto-Enrollment: Helping Employees Get Started

One of the biggest hurdles employees face is simply getting started. Auto-enrollment helps solve this by automatically enrolling eligible employees into the plan unless they choose to opt out.

Why it works:

• Removes inertia. Many employees intend to save but never get around to it.

• Boosts participation. Plans with auto-enrollment often see participation rates jump by 20-30%.

• Supports retirement readiness. The earlier employees start, the more time compounding can work in their favor.

Pro-Tip: Set a default contribution rate high enough to make an impact. While 3% is common, many employers are now starting at 6% or more.

2. Auto-Escalation: Turning Small Starts Into Big Savings

Getting employees into the plan is step one, but helping them build up to meaningful savings levels is step two. That’s where auto-escalation comes in.

How it works:

• Employees are automatically enrolled in annual contribution increases (for example, 1% each year) until they reach a preset cap, such as 10% or 15%.

• The increases are small enough that employees barely notice, but powerful enough to grow balances significantly over time.

Auto-escalation can be the difference between employees retiring on schedule or working years longer than they planned.

3. Roth 401(k) Option: Tax Diversification for the Future

Many employees don’t realize that their retirement tax bill could be just as important as the size of their nest egg. Offering a Roth 401(k) option gives them more control.

Why it matters:

• Tax diversification. Roth contributions are made after-tax, so qualified withdrawals in retirement are tax-free.

• Flexibility. Younger employees, who may be in lower tax brackets now, often benefit most from Roth savings.

• Retention tool. More and more workers expect modern retirement plans to include Roth options.

Encouraging employees to consider both pre-tax and Roth contributions helps them balance tax strategies for their future

4. Re-Enrollment: Giving Employees a Fresh Start

Even the best-designed plan can get stale if employees stick with outdated choices. Re-enrollment is a powerful reset.

How it works:

• Employees are automatically moved into the plan's Qualified Default Investment Alternative (QDIA), often a target-date fund, unless they actively opt out or select a different investment.

• This can correct old allocation mistakes, like employees sitting in cash or overly conservative funds.

Re-enrollment helps ensure that participants’ investments align with their retirement goals, not just decisions they made years ago.

Small Tweaks, Big Impact

When it comes to retirement plans, sometimes the smallest adjustments can create the biggest improvements. By adopting tools like auto-enrollment, auto-escalation, Roth options, and re-enrollment, you not only help employees build stronger financial futures, you also strengthen your plan’s performance and demonstrate your commitment as a fiduciary.

Bottom line: These are not just “nice-to-haves.” They are proven levers that can increase participation, improve savings rates, and put employees on track for retirement readiness.

Click HERE to access our Checklist for Plan Sponsors

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

Beyond the Numbers: Envisioning Your Retirement Lifestyle

When people think about retirement planning, the first question is often, Do I have enough money? While financial readiness is crucial, an equally important, yet often overlooked, aspect is the emotional side of retirement.

What will our days look like? How will you find purpose and fulfillment? Who will you spend your time with? These are questions that can shape your retirement just as much as your savings balance.

The Emotional Side of Retirement

For decades, work has provided structure, social connections, and a sense of purpose. When you retire, that daily rhythm changes. Many retirees experience a honeymoon phase filled with travel and relaxation, but after a while, some feel restless, lonely, or even lost. The key to a fulfilling retirement is planning not just for your finances, but for your life.

1. Purpose and Identify: Who Are You Without Work?

Your career likely provided a sense of accomplishment. In retirement, it's important to replace that with meaningful activities.

Action Steps:

• Explore your passions. What activities have you always wanted to try?

• Volunteer: Giving back can provide a renewed sense of purpose.

• Consider part-time work or consulting. This can keep you engaged while offering flexibility.

2. Social Connections: Who Will You Spend Time With?

Work naturally creates social interactions. Without it, some retirees struggle with loneliness. Studies show that social isolation can impact both mental and physical health.

Action Steps:

• Strengthen existing relationships. Plan regular meetups with friends and family.

• Join groups or clubs. Book clubs, fitness groups, or hobby clubs can help build new connections.

• Stay involved in your community. Places of worship, senior centers, or volunteer organizations can provide a sense of belonging.

3. Health and Wellness: How Will You Stay Active?

Your health is your most valuable asset in retirement. Without the structure of a work schedule, it's easy to fall into a sedentary lifestyle.

Action Steps:

• Create a fitness routine. Walking, yoga, or strength training can keep you active.

• Prioritize prevention care. Schedule regular checkups and screenings.

• Focus on mental wellness. Try meditation, learning new skills, or engaging in activities that keep your brain sharp.

4. Daily Routine: How Will You Structure Your Time?

Without a work schedule, days can feel long or unproductive. Having a sense of structure can make retirement feel more fulfilling.

Action Steps:

• Establish a morning routine. A consistent start to your day sets a positive tone.

• Plan weekly activities. Schedule time for exercise, hobbies, and social outings.

• Set goals. Whether it's reading a certain number of books, learning a new skill, or traveling, having goals keeps life exciting.

Start Envisioning Your Retirement Now

A fulfilling retirement doesn't happen by accident, it requires planning beyond just the numbers. Take some time to reflect:

1. What excites you about retirement?

2. What hobbies or interests do you want to pursue?

3. Who will be part of your daily life?

4. How will you maintain your physical and mental health?

Final Thought: Retirement is a New Beginning

Retirement isn't the end of something, it's the start of a new chapter. By thinking about your life in retirement as much as your finances, you can create a future that is not only financially secure but also deeply fulfilling.

What does your ideal retirement look like? Start shaping it today.

Scott Higgins | AIF ®, CFP®, CPFA®, NSSA®

Financial Advisor

Since 2012 at Rose Street, Scott has been responsible for helping the firm’s individual wealth management clients with income strategies for retirement and consulting with employers with their employee retirement plans. In free time, he enjoys golf, biking, skiing, cooking, and traveling. Fun Fact, Scott has a hobby of filling growlers with coins!

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