Keep Track Of Your Retirement Planning Progress

You can't simply save and forget. At least once a year, especially when you're within 15 years of your hoped-for retirement date. You need to find out where you stand. That way you can make necessary course corrections before it's too late. This can include cranking up your savings or delaying your planned retirement date. Good planning can give you a rough idea of the milestones that must be hit at various ages if you wish to retire with 80% of your pre-retirement salary (minus what you save now). For a personalized look at your progress, visit the Retirement Planner in the Calculators section of CNNMoney.com. There you'll get a nuanced projection of how large a portfolio you need and your odds of reaching it.

As powerful as a 401(k) is, it isn't always enough, especially if you started late. So don't be surprised if the retirement calculators tell you to save outside your company plan as well. Those non-401(k) savings may also qualify for tax breaks. Miss out on them and you're passing up a powerful way to build wealth quickly. So once you fund your 401(k), see if you qualify for a traditional or Roth IRA. More often than not you can set aside up to $4,000 this year and $5,000 in 2008. If you're 50 or older, you can throw in an additional thousand dollars.