Nurturing a Nest Egg

Who among us hasn’t daydreamed about ditching the daily grind for drinking margaritas on the beach? Even if retirement feels far off and full of unknowns (or, frankly, straight-up improbable), it’s never too early to start planning and investing in your future. Focusing on the things you can control is one of the best ways to set yourself up for retirement success.

The good news is you get to decide what success looks like. According to Baltimore’s financial planning experts, it’s not about insider stock picks, get-rich-quick “hacks,” or even how much money you make. What really matters is having a plan and showing up for it consistently, no matter how much you earn.

WHERE TO START

First things first: Planning for the future starts with understanding where every dollar is going today. Taking a clear-eyed look at your spending helps ensure you’re acting in alignment with your priorities,” says Justin Garritt, financial advisor and founder of Garritt Financial Solutions LLC. “The most successful people with money save and spend intentionally in line with their values, not to keep up with other people,” he adds.

Once you know your starting point, you can take small, intentional steps toward hitting your retirement savings goals. While there’s no one-size-fits-all approach, a smart move for a lot of people is contributing to a 401(k), a pre-tax retirement account offered by many employers.

“The specifics of a 401(k) match vary by employer, but the idea is the same: Your employer contributes money based on how much you put in,” Garritt explains. “With a full match, every dollar you contribute is matched dollar for dollar; with a partial match, such as 50 percent, your employer adds 50 cents for every dollar you save.”

The bottom line? Don’t leave free money on the table.

“Definitely check your company’s benefits and make sure you’re contributing enough to get the full employer match,” echoes Philip Snyder, founder of Snyder Asset Management. “In 2026, contribution limits jumped from $23,500 to $24,500, with extra “catch-up” contributions if you’re over 50–or even bigger if you’re 60–63.”

Another retirement account that should be on your radar is the Roth IRA, which allows you to invest money you’ve already paid taxes on. Your money grows tax-free, and you can withdraw the funds without taxes and penalties after age 59 and a half.

“If your income is on the lower side, it can make sense to focus on a Roth IRA and pay taxes now,” says Garritt. “But if you’re in a higher tax bracket—over 22 percent—you might prioritize pretax accounts to reduce your taxable income now, with the hope of withdrawing it later at a lower rate.”

A financial advisor’s dream scenario? You max out both your 401(k) and Roth IRA, then get strategic with any extra savings. A brokerage account can be a smart move because it lets you invest money you can access anytime, without penalties. Don’t overlook your Health Savings Account (HSA) and Flexible Savings Accounts (FSA) either. “These are truly unsung hero accounts,” Garritt says, “because no other investment vehicle is pre-tax going in and out.” If maxing out every account is out of the cards, don’t stress: Focus on diversification instead. “Having a mix of tax strategies matters more than maxing out every account,” says Snyder. “It gives you greater flexibility and control over withdrawals when retirement rolls around.”

PLAN YOUR DAYS, NOT JUST YOUR DOLLARS

No matter what your “ideal” retirement looks like, it’s probably very different from your parents’ or grandparents’ experience, says Kent Pearce, managing director and private wealth manager of The Pearce Group at Merrill Private Wealth Management.

“Instead of walking out of work and never looking back, many people today are easing into a lifestyle transition. They want to stay active, and lifespans keep getting longer,” he says. “That’s why I say the biggest risk isn’t market swings, it’s outliving your money.” Without a plan or budget, retirees are at risk of spending more than they did while working; after all, there are more free hours in the day to shop. That’s why planning how you spend your days is just as important as planning how you spend your dollars. Garritt adds that retiring from full-time work at a younger age while working part-time can be an attractive way to “ease in” to retirement while staying active and engaged.

Another area that’ll affect your retirement spending, of course, is Social Security. According to Snyder, how it fits into your plan depends on your perspective: Is it income you want to spend now, or longevity insurance?

While we can’t know exactly how long we’ll live, it helps to be honest with yourself about your situation. Does longevity run in your family? Do you have any health concerns? How might your marital status affect your plans? If you think you’ll live past 78, for example, claiming Social Security at 62 might be too soon.

If retirement is on the horizon and you’re not quite where you’d like to be, Snyder says you have three main levers: save more, work longer, or spend less. While that advice isn’t new, financial planners are now using technology to make these choices more strategic.

“Tools like Monte Carlo simulations model different market scenarios and assign a success score, showing how likely your money is to last. A score of 100, for example, means your savings should outlive you, no matter what the market does,” he explains. “If retirement planning is keeping you up at night, seeing a financial planner can help give you both strategic advice and peace of mind.”

SPENDING IN YOUR RETIREMENT ERA

Once you get to retirement (and a big congratulations if you’re there!), making your savings last doesn’t have to be complicated. One of the most well-known strategies is the four percent rule: in your first year of retirement, withdraw four percent of your total savings—say, $40,000 from a $1 million nest egg— and then adjust that number for inflation each year. Historically, it’s helped retirees stretch their money for about 30 years.

Another approach is the “guardrails” method, which gives retirees who have more discretionary income a good amount of flexibility. Your portfolio has a high and low limit: if it’s doing well, you can spend a little more; if it dips, you pull back. “It takes out the guesswork, giving clear rules for when you can splurge or scale back, so you don’t run out of money,” says Snyder.

These are just two of many ways to budget in retirement. Your strategy ultimately depends on your goals, risk tolerance, and financial situation, which is exactly where a financial planner can help. And no matter your timeline, the experts all agree: What you do now matters.

“One of the biggest powers we have is compounding,” says Pearce. “Never underestimate how important it is to get your money to work for you.”

For many, choosing to sell a home and move to a retirement community is a significant financial decision made in or around retirement. Our annual guide to Continuing Care Retirement Communities (CCRC) follows to provide a starting point for this important search.

BAYWOODS OF ANNAPOLIS
7101 Bay Front Drive
Annapolis, MD 21403
Baywoodsofannapolis.com

BLAKEHURST
1055 W. Joppa Road
Towson, MD 21204
Blakehurstlcs.com

BROADMEAD
13801 York Road
Cockeysville, MD 21030
Broadmead.org

CARROLL LUTHERAN VILLAGE
300 St. Luke Circle
Westminster, MD 21158
Clvillage.org

CHARLESTOWN RETIREMENT COMMUNITY
715 Maiden Choice Lane
Catonsville, MD 21228
Ericksonseniorliving.com/charlestown

EDENWALD
800 Southerly Road
Towson, MD 21286
Edenwald.org

FAIRHAVEN
7200 Third Avenue
Sykesville, MD 21784
Actsretirement.org

GINGER COVE
4000 River Crescent Drive
Annapolis, MD 21401
Gingercove.com

LUTHERAN VILLAGE AT MILLER’S GRANT
9000 Fathers Legacy
Ellicott City, MD 21042
Millersgrant.org

MARYLAND MASONIC HOMES
300 International Circle
Cockeysville, MD 21030
Mdmasonichomes.com

MERCY RIDGE
2525 Pot Spring Road
Timonium, MD 21093
Mercyridge.com

NORTH OAKS
725 Mount Wilson Lane
Pikesville, MD 21208
Northoaksseniorliving.com

OAK CREST VILLAGE
8800 Walther Boulevard
Parkville, MD 21234
Ericksonseniorliving.com/oak-crest

THE RESIDENCES AT VANTAGE POINT
5400 Vantage Point Road
Columbia, MD 21044
Vantagepointresidences.org

RESORTS OF AUGSBURG
6811 Campfield Road
Baltimore, MD 21207
augsburgseniorliving.org

ROLAND PARK PLACE
830 W. 40th Street
Baltimore, MD 21211
Rolandparkplace.org

*Information courtesy of the Maryland Department of Aging, as of February 2026.