To-Dos For Every Life Stage
No matter where you are in life, you can take smart steps toward a happier, healthier retirement.
Early Career Savers (Age 20 To Early 30s)
Start smart money habits now. Focus on the fundamentals and you’ll set up yourself for financial success.
Build a budget. Learn to live on less than you make and still have money set aside for saving. Get tips on how to budget here.
Eliminate or pay down existing debt. Try the debt snowball or debt avalanche approach to tackle debt. Don’t forget… as a Conduent associate, you can access MetLife’s free app from Upwise to help you learn how to budget and deal with debt.
Create a separate emergency fund. Aim for three to six months of living expenses.
Start saving in the Conduent Savings Plan. A small amount now can add up to a lot down the road. Schedule slow and steady increases to your contribution rate as time goes by.
Know your risk tolerance. Before you can choose your investments, understand your risk tolerance. Risk tolerance simply means how comfortable you are with investment risk.
Mid-Career Savers (Age 30 To 40s)
Now that you're more established in your career and contributing to the Conduent Savings Plan, look at the big picture. What are your saving goals?
Save for college. Start a 529 plan for your kids, even if college is still years down the road. When you're dealing with diaper changes, higher education is probably not top of mind. But saving for college should start early. Consider setting up a 529 plan to help cover college costs. A 529 plan is a tax-advantaged college savings plan sponsored by a state or state agency. The money can be used for tuition, books, and other education expenses at most accredited two- and four-year colleges/universities and vocational-technical schools. Talk to your financial planner or tax advisor for more information.
Avoid 401(k) loans or withdrawals. Look for other sources of money first before you raid your retirement account.
Plan for just in case. Write a will and make sure your beneficiary is up to date. Name your executor, the person who will carry out your wishes upon your death. Ask your executor ahead of time if he or she is willing to take on this responsibility. In the will, appoint a guardian for minor children and describe how to distribute your assets. Tell your executor where to find your will. Better yet, provide a copy.
Designate a power of attorney (POA). Who will make decisions for your financial or health care choices if you’re incapacitated? You can designate the same person to be your durable POA for financial affairs and your health care, or you can choose two different people. Meet with your health care provider to discuss what forms you might need to fill out and discuss with your POA. Then check with your financial institution on how to submit the forms.
Make your health care wishes known. Create a living will (also called an advanced care directive), which outlines what type of medical treatment you want to receive if you can no longer give consent. This document will help your family members make health care decisions for you. Give your doctor written permission to discuss your health care with designated family members or friends.
Get organized. Gather all important account information and planning documents including financial documents, deeds, mortgages, insurance policies, recent income tax returns, and your Social Security card. You may want to keep these in a safe deposit box, but also keep copies. Tell your executor where these documents are located.
Check on your investments. Review your investment strategy and risk tolerance.
Late-Career Savers (Early 50s)
You’re probably in your peak earning years now. Put that money to work by saving as much as you can.
Increase your contributions. Aim to save at least 15% in the Conduent Savings Plan. The IRS allows you to save up to $23,500 in 2025.
Play catch up. If you’ll be age 50 or older in 2025, you can contribute an additional $7,500 to the Conduent Savings Plan.
Look at other ways to save. In addition to the Conduent Savings Plan, you may also want to set aside savings in a Roth or traditional Individual Retirement Account (IRA).
Work to eliminate debt. If you still have debt, pay it down. How good would it feel to have that mortgage paid off before retirement? All Conduent associates have access to MetLife’s free app from Upwise that can help you deal with debt.
Nearing-Retirement Savers (Age 55 and Up)
As you near the retirement finish line, make the most of your remaining earning years.
Step up your savings dramatically. Put as much as you can into the Conduent Savings Plan. By doing so, you’ll add more to your nest egg and learn how to live on less take-home pay. When you retire, you’ll move from accumulating to spending. Generally, the IRS allows you to save up to $23,500 in 2025. If you’ll be age 50 or older, you can contribute an additional $7,500 to your retirement plan.
Add it up. What income sources will you have in retirement? Will Conduent’s Savings Plan and Social Security be enough? Or do you need to consider working part-time?
Estimate your Social Security benefit. Figure out what your benefit will be and what’s the best age to start claiming it. Visit ssa.gov.
Know how to access your money. Review the distribution rules and options for your account in the Conduent Savings Plan.
Consider all the factors. Think about where you want to live when you retire and what you want to do. What kinds of hobbies/interests will you pursue? Are you an avid hiker who wants to be near the mountains? Or would you rather be in an area with a thriving entertainment district? How close do you want to be to your family? If you won’t have family close by, do you have a support network of friends that you’ll be able to turn to if you need help? Buy or rent? Big yard or zero lot line? Condo or single-family home? These decisions will help drive where you decide to live.
Don’t forget about health care. Health care is one of the biggest costs in retirement, so plan ahead. A healthy 65-year-old retiring in 2022 will spend on average between $137,000 and $300,000 on health care over their remaining lifetime. Learn more about those numbers here.