Smart Money Milestone #7 is a big one — and if you’re here, you’re doing incredibly well.

This milestone is about maxing out all available retirement accounts and using them intentionally as a powerful, long-term wealth-building tool. Reaching this point means your financial foundation isn’t just solid — it’s strong enough to support aggressive, tax-efficient investing for the future.

What It Means to Be at Milestone 7

Before diving into the numbers, it’s worth pausing to recognize what you’ve already accomplished.

If you’re at Milestone 7, that means:

• You have a fully funded emergency fund

• You’re getting the employer match — and then some

• You’re already maxing out special accounts like Roth IRAs and HSAs

• Your income may be high enough to require advanced strategies, such as a backdoor Roth

• Your Boomerang goals are in motion — you’ve likely purchased a home or reached other major life milestones

• You’re investing consistently in non-retirement accounts, giving you flexibility before retirement age

In short: you’re crushing it.

That’s why Milestone 7 exists where it does. This step is designed for households that truly have excess dollars available and are ready to deploy them in the most mathematically efficient way possible.

Why Maxing Out Retirement Accounts Matters

When you start to unpack Milestone 7, the numbers can get big — quickly.

For 2026, an employee under age 50 can contribute $24,500 per year to a workplace retirement plan such as a 401(k), 403(b), or similar account.

If you and your spouse are both working, that means:

• $49,000 per year across two employer plans

Now layer in Roth IRAs:

• Another $15,000 combined (or more if you’re over age 50)

At this milestone, six-figure annual savings rates are no longer theoretical — they’re realistic.

The reason Milestone 7 focuses so heavily on retirement accounts is simple:

• The tax advantages are hard to ignore

• Long-term compounding becomes incredibly powerful

• You’ve already built the flexibility needed to support it

Yes, retirement accounts generally require waiting longer to access funds. But because the Smart Money Milestones are intentionally sequenced, that delay shouldn’t create stress or liquidity issues.

By this point, you already have:

• Emergency reserves

• Non-retirement investments

• Goal-based savings

So when you ask, “Where should the next dollar go?” the answer often becomes clear.

Maxing out retirement accounts doesn’t happen in isolation.

This milestone works because of what came before it:

• Milestones 4 and 5 ensured liquidity and stability

• Milestone 6 ensured flexibility for major life goals

With those pieces in place, allocating aggressively to retirement accounts becomes a smart, intentional choice — not a risky one.

At this stage, you’re no longer choosing between:

• Today vs. tomorrow

• Flexibility vs. efficiency

You’re building both.

Customization Matters at This Stage

Milestone 7 is not one-size-fits-all.

Many factors influence how this milestone is executed, including:

• Income level

• Employer plan options

• Tax bracket

• Age

• Business ownership

• Family goals and timelines

The strategies involved — contribution sequencing, coordinating plans between spouses, and advanced Roth planning — can become complex. And the dollar amounts involved are meaningful.

That’s why this milestone benefits greatly from personalized planning.

The Bottom Line

Milestone 7 is about playing offense with your money.

You’ve stabilized your finances. You’ve built flexibility. Now you’re intentionally harnessing:

• Tax efficiency

• Long-term compounding

• A high savings capacity

All in service of future freedom and choice.

If you have questions about how to approach this milestone — or whether you’re ready for it — we encourage you to reach out. These are big decisions, and thoughtful guidance can make all the difference.

Have questions? You can contact me below anytime!