5 Ways to Automate Your Retirement Savings
If you're thinking about retirement—and let’s face it, we all should be—now’s the perfect time to get strategic. The earlier you set up the right systems, the less you’ll have to worry later. Automating your retirement savings is one of the smartest ways to build wealth without stressing over every financial decision.
Whether retirement is 5 or 25 years away, these five actionable tips can help you build a strong financial foundation this year and keep you on track for decades to come. Let's talk about how you can automate your retirement savings in 2025, so future you can enjoy more freedom, flexibility, and peace of mind.
1. Automate Your Retirement Plan Contributions
The first—and perhaps easiest—step is to ensure you’re contributing to your employer-sponsored retirement plan. This could be a 401(k), 403(b), or 457 plan, depending on your job. If you’ve been at your company for a while, chances are you’re already enrolled. If not, now is the time to fix that.
Most employers offer a matching contribution, which means they give you free money just for saving. But you only receive it if you’re actively contributing. So if you’re in the group that hasn’t started contributing yet—maybe because you’ve been focused on debt or other financial goals.
Tip: Get the Full Match
Find out what percentage your employer will match and contribute at least that amount. For example, if they match 100% of the first 5% you contribute, make sure you’re putting in 5% from your paycheck.
Want to go further?
For 2025, the contribution limits are:
$23,000 for those under 50
$30,500 for those 50 and over (includes a $7,500 catch-up)
If your goal is to max out your plan, check your current contribution percentage and adjust accordingly. And if you work somewhere like the State of Connecticut, where some employees have access to both a 403(b) and a 457 plan, you might even be able to double up on retirement savings!
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2. Contribute to a Health Savings Account (HSA)
If you’ve enrolled in a High Deductible Health Plan (HDHP), don’t miss out on the opportunity to contribute to a Health Savings Account (HSA). HSAs are often overlooked, but they are incredibly powerful retirement tools with triple tax advantages:
Contributions are tax-deductible
Growth is tax-free
Withdrawals are tax-free when used for qualified medical expenses
2025 HSA Contribution Limits:
$4,300 for individuals
$8,550 for families
Additional $1,000 if you’re 55 or older
How to Automate It:
Decide how much you want to contribute annually (hint: aim for the max if you can).
Divide that number by your pay periods to calculate how much to contribute each paycheck.
Set up automatic deductions through your employer or directly from your checking account if you’re using an independent HSA provider.
If your employer contributes to your HSA, remember to subtract that from your personal contribution so you don’t exceed the IRS limit.
Not only are HSAs great for healthcare costs today, but they’re also fantastic retirement tools. After age 65, you can even use HSA funds for non-medical expenses without penalty—you’ll just pay ordinary income tax, similar to a traditional IRA.
Peace of mind through trusted advice - Check out this week’s episode on: Education Planning After the One Big Beautiful Bill Act: Key 529 Plan Changes
3. Open (and Fund) a Roth IRA
After maximizing your workplace plan and HSA, the next step is to consider a Roth IRA. This account allows your investments to grow tax-free, and you can withdraw your contributions at any time, making it more flexible than many other retirement options.
Roth IRA Contribution Limits for 2025:
$7,000 if you’re under 50
$8,000 if you’re 50 or older
If your income is within the eligibility limits, the Roth IRA is a no-brainer for long-term savings.
How to Automate It:
Open a Roth IRA with a provider like Fidelity, Schwab, or Vanguard.
Choose an investment—usually a mutual fund, ETF, or target-date fund.
Set up monthly contributions from your bank account (e.g., $583/month if you're maxing out $7,000 annually).
Don’t forget to automate your investment as well—just depositing money into the account isn’t enough. You’ll need to select and purchase investments to put that cash to work.
Too many people open an IRA but forget to invest the funds, leaving money sitting in cash. Automation helps prevent that.
4. Use High-Yield Savings Accounts for Extra Cash
If you’re keeping large amounts of cash in a traditional savings or checking account, you’re likely missing out on valuable interest. Most big banks offer near-zero rates, but high-yield savings accounts (HYSAs) can earn you 4% or more annually right now.
What to Do:
Open a high-yield savings account through an online bank or compare rates at sites like Bankrate.com.
Alternatively, open a brokerage account and invest in a money market fund.
For example:
Schwab Value Advantage (SWVXX) – ~4.18% 7-day yield
Fidelity Government Money Market (SPAXX) – ~3.98% 7-day yield
*Keep in mind that these yields are from April 14th, 2025. Depending on when you are reading this article, they could be higher or lower.
Automate It:
If you find yourself with a consistent surplus—say, $500/month—set up an automatic transfer from your checking to your HYSA or brokerage account. That way, your money keeps growing even while it’s on standby.
And if you’re sitting on a large emergency fund (say, $20,000–$30,000 or more), make sure it’s earning interest.
5. Automate Debt Payments
While saving is crucial, managing debt is just as important. One of the easiest ways to stay on top of debt is by automating your payments. This not only ensures you don’t miss a due date (and rack up fees) but helps you build a consistent debt payoff plan.
Start with:
Credit cards – Set to auto-pay the full balance or a fixed amount above the minimum
Student loans and personal loans – Schedule regular payments aligned with your budget
HELOCs or high-interest lines of credit – Make extra payments when possible and automate those
If you’re trying to aggressively pay down a specific debt, use online tools or calculators to set a goal—like paying off your balance in 3 years—then automate that monthly payment.
Already automated your mortgage? Great! You’re ahead of the game. If not, consider setting it up now. Some lenders even offer incentives for automated payments, such as small interest rate reductions.
Closing Thoughts
One of the biggest benefits of automating your retirement savings is peace of mind. You don’t have to remember to move money each month. You don’t have to second-guess yourself. You’ve already made the smart decision—and the systems keep working in the background.
If you have a question or topic that you’d like to have considered for a future episode/blog post, you can request it by going to www.retirewithryan.com and clicking on ask a question.
As always, have a great day, a better week, and I look forward to talking with you on the next blog post, podcast, YouTube video, or wherever we have the pleasure of connecting!
Written by Ryan Morrissey
Founder & CEO of Morrissey Wealth Management
Host of the Retire with Ryan Podcast