What to do after maxing out

Good Morning! Looking for some advice and not finding much when Googling

My husband and I make a combined income of $278k (gross). Since we are behind on retirement I would like to save 25% of our gross or $69500. If I max out my 401k ($22500), max out my employers HSA ($7500) and max out a back door Roth IRA ($6500) that only gets me to $36500. How do I save the remaining $33k? My husband has a pension so there isn’t an opportunity on that end with him. Is there a cap on how much I can save annually in a Traditional IRA?


If you have a situation where you can create a side business that can show a profit, a SEP IRA allows up to 25% of employee compensation to a max of $66K.

When you say your husband has a pension, I presume you mean his only income is receiving a pension, not that he is working in a job that funds a pension as its only retirement plan. If he’s working, then he can also contribute to a back door Roth IRA. If not, and if you can’t have a side business, a regular brokerage account that holds tax-efficient funds (i.e., not a lot of buying and selling, which tends to create taxable income) is probably where the rest of your money should go.

Edit: by the way, if you’re over 50, those contribution limits go up to $30,000 and $7,500.
$6,500 or $7,500 is the cap on annual Traditional and Roth IRA contributions (and you’re using that for the backdoor Roth).


We also maxed out our tax advantaged accounts and invested in index funds in our brokerage accounts. Some considerations about taxable accounts: dividends at taxed at the lower dividend tax rate, the tax efficient index funds limit capital gains, tax loss harvesting can be done, and there is a step-up basis at passing for any remaining funds that go to heirs.

That’s good to now as a future option. Right now we both work for an employer and have small kids so there isn’t much extra time for a side business. But that may change when the kids are grown

We are no over 50 yet. I am 42 and my husband is 35 but once we are both 50 we definitely will up on contributions to the max. My husband is not receiving a pension yet his employer is only contributing as part of his retirement. So since he is working he can also contribute $6500 to a back door Roth IRA? I wasn’t sure if the cap was the total cap for us a married couple filing jointly or an individual cap.

Okay I was thinking that the index funds post tax investing might be the final option we have. I will look into doing this as well.

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The "I’ in IRA stands for individual, so the $6,500/yr limit across all IRAs applies to each of you separately.

You might want to try an extended vacation. My wife and I relly enjoyed long treks in the South Pacific and Asia.

Exactly the right thought.