5 Financial Moves to Make before the End of Summer
Summary
Small financial decisions can have a big impact over time. Before summer ends, take a few minutes to review your 401(k), emergency savings, beneficiary designations, and retirement plan to help keep your long-term goals on track.
Takeaways
- Increasing your 401(k) contribution by just 1% may add tens of thousands of dollars to your retirement savings over time.
- Make sure you’re contributing enough to receive your full employer match, or you could be leaving part of your compensation behind.
- A dedicated emergency fund can help protect your 401(k) from early withdrawals, taxes, and penalties.
- Reviewing beneficiary designations regularly helps ensure retirement assets go to the right people.
- Understanding your retirement income gap can help you determine whether you’re on track to meet future spending needs.
Why the End of Summer Is the Perfect Time for a Financial Check-In
The end of summer is an ideal time to review your finances because there is still enough time left in the year to make meaningful adjustments.
January gets all the attention.
New year, new goals, new financial resolutions. But by July, most of those intentions have faded.
One advantage of a mid-year financial review is that you’re far enough into the year to see what’s working and what isn’t, while still having several months to make improvements.
Why Small Adjustments Now Can Have a Big Impact Later
Small changes made consistently over time are what can build real retirement security.
A 1% contribution increase today may not feel like much.
Updating a beneficiary form takes 10 minutes.
Topping off an emergency fund by $50 a month barely moves your budget.
But here’s what those small moves can actually do: They can protect your savings from an emergency or unexpected bill.
They help to make sure your money goes to the right person when you’re gone.
And they put more dollars to work in your 401(k) – dollars that compound for 20 or 30 years.
The moves that may matter most rarely feel dramatic when you make them.
These 5 moves take less time than you think. And the impact could follow you for decades.
Move #1: Increase Your 401(k) Contribution by 1%
People often set their contribution rate when they first start their job, and never touch it again.
If that sounds familiar, summer may be a good time to fix it.
The 2026 401(k) contribution limit is $24,500 for employees under 50, and $32,500 for those 50 and older with catch-up contributions. If you’re age 60-63, you can contribute a total of $35,750. [1]
Why Small Contribution Increases Add Up over Time
If you earn $60,000 and increase your contribution by 1%, that’s an extra $600 per year going into your 401(k).
And because that money grows with compound interest – earning returns on its returns – the impact multiplies the longer it stays invested.
How Much an Extra 1% Could Be Worth by Retirement
Let’s say you’re 40 years old and you bump your contribution by $50 a month – roughly 1% on a $60,000 salary.
At an average 7% annual return, that extra $50 a month could grow to approximately $40,700 by age 65.
That’s a significant number from a small, nearly painless adjustment.
See if you can increase your contributions by 1%. If you can do it, aim for a 2-3% increase.
If money is tight, see if you can’t cancel a subscription and apply that money toward your 401(k) contribution.
Move #2: Make Sure You’re Getting Your Full Employer Match
If you’re not contributing enough to receive the full match, you may be leaving retirement savings and employer-provided benefits on the table.
Your employer match is essentially free money being offered to boost your retirement savings.
And yet, many investors leave it on the table by not contributing enough to receive the full match.
There are two main types of matches.
- A partial match is where your employer matches a portion of your contributions up to a certain percentage. For example, 50 cents for every dollar you contribute, up to 6% of your salary.
- A full match, also called a dollar-for-dollar match, is where your employer matches your entire contribution up to a set limit, such as 4% of your salary.
Every plan is different.
The key is knowing your plan’s formula and making sure you’re contributing enough to get every dollar your employer is willing to put in.
How to Check Whether You’re Leaving Money on the Table
Log in to your 401(k) account or contact your plan representative and check 2 things: What your employer’s match formula is, and what percentage you’re currently contributing.
If your contribution rate is below the match threshold, you may be leaving part of your compensation behind.
This takes 5 minutes.
And it could be one of the most important things you do for your retirement this summer.
Move #3: Review Your Emergency Fund
Your 401(k) is a long-term account. It was never meant to be an emergency fund.
But when people don’t have cash set aside for unexpected expenses, that’s typically where they turn. And the consequences are real – early withdrawals may trigger taxes and a 10% penalty, plus you lose the future growth on every dollar you take out.
In our experience, the best protection for your 401(k) is a separate cash cushion.
Most financial experts recommend 3 to 6 months of living expenses in an accessible savings account.
If your emergency fund is low, or empty, redirecting even $25 to $50 a month into a high-yield savings account can be a good start.
Summer is a good time to build that buffer before the higher-spending holiday season arrives.
Move #4: Check Your Beneficiaries and Account Information
Your beneficiary designation controls who inherits your 401(k), IRA, and life insurance when you die. It overrides your will entirely. [2]
Not your will. Not your trust. Not what you told your family.
That means if you filled out a beneficiary form during a rushed HR onboarding years ago and never updated it – a former spouse, an ex-partner, or an unintended heir could legally receive your retirement savings.
It does not matter what your will says.
Note that a divorce decree does not automatically remove an ex-spouse as your beneficiary. You must update the form yourself. [2]
According to a 2025 survey, only 24% of American adults have a will. [2]
Beneficiary forms are often even less top of mind.
The Accounts Worth Reviewing Right Now
It’s not just your current 401(k) you need to review. While you’re at it, check:
- Any old 401(k)s from previous jobs
- IRAs – both traditional and Roth
- Life insurance policies
Log in, find the beneficiary section, and confirm that the names are current. If you’ve had a marriage, divorce, birth of a child, or death of a named beneficiary since you last looked, update it now.
It takes 10 minutes and could save your family years of legal headaches.
Related Read: What Happens to Your 401(k) When You Die?
Move #5: Review Your Retirement Income Gap
Retirement planning often focuses on one number…the savings balance.
But saving money is not the same as having a retirement strategy.
Start with Social Security.
The average benefit for a retired worker in 2026 is approximately $2,071 per month, about $24,852 per year. [3]
Now look at what retirement actually costs.
According to the Bureau of Labor Statistics, households headed by someone 65 and older spend an average of around $62,000 per year. [3]
That’s a gap of roughly $37,000 per year that has to come from somewhere.
Why We Refer to Your 401(k) as The Bridge
Your 401(k) is often the primary bridge between what Social Security pays and what retirement actually costs.
But a growing balance alone doesn’t mean you’re on track.
Financial advisors are seeing costly planning mistakes show up even in households with healthy savings. [1]
The mistakes that hurt the most are not about saving too little – they’re about planning too little.
Tax strategy, withdrawal sequencing, healthcare costs, and Social Security timing all interact with each other.
There is often no room for do-overs.
Take time this summer to run the numbers.
Project your Social Security benefit at ssa.gov.
Look at your current 401(k) balance and contribution rate.
Ask yourself honestly: Am I on track to close that gap?
If the answer is no, or you’re not sure, a second opinion on your plan may be one of the smartest moves you can make.
Vanguard’s Advisor’s Alpha research estimates that working with a qualified advisor could add meaningful net value for retirees – primarily through better tax decisions and behavioral coaching during market downturns. [4]
At 401(k) Maneuver, we help 401(k) investors like you grow and protect your 401(k) account.
Our professional account management services are designed to:
- Increase long-term performance
- Reduce downside risk
- Help you avoid unnecessary fees
- Keep your investments aligned with your goals
No meetings. No moving your account. No new accounts to open.
Just better management…done for you.
Have questions or concerns about your 401(k) performance? Book a complimentary 15-minute 401(k) Strategy Session with one of our advisors.
Sources
[1] Internal Revenue Service. 401(k) Limit Increases to $24,500 for 2026; IRA Limit Increases to $7,500. IRS News Release, Notice 2025-67. November 13, 2025. https://www.irs.gov/newsroom/401k-limit-increases-to-24500-for-2026-ira-limit-increases-to-7500
[2] Avior Wealth Management. Align Beneficiary Designations With Your Estate Plan. April 6, 2026. https://avior.com/insights/wealth-management/retirement-planning/beneficiary-designations-estate-plan-alignment/
[3] Social Security Administration. What is the average monthly benefit for a retired worker? SSA.gov.
https://www.ssa.gov/faqs/en/questions/KA-01903.html
[4] MoneyTalksNews. 5 High-Impact Retirement Planning Strategies Most People Never Use. April 2026. https://www.moneytalksnews.com/high-impact-retirement-planning-strategies-most-people-never-use
