The annual investment review checklist for ages 30-39

Step 1: Savings rate and contribution tracking (15 minutes)

• What percentage of gross income went to savings and investment accounts year-to-date?
• Is the 401(k) on track to hit the annual limit ($23,500 in 2026)?
• Has the Roth IRA or backdoor Roth been funded ($7,000 in 2026)?
• Has the HSA been maxed if eligible ($4,300 individual / $8,550 family in 2026)?
• Are 529 contributions on track if children exist?
• If any account is behind, can the contribution rate be increased before year-end?

Step 2: Beneficiary designations (20 minutes)

• Log into every retirement account (401(k), IRA, HSA) and confirm the primary and contingent beneficiary.
• Log into all life insurance policies and confirm the same.
• Did any life event occur this year (marriage, divorce, birth, death) that requires an update?
• Are contingent beneficiaries named? An account with a primary beneficiary who predeceases the account holder and no contingent beneficiary goes to the estate (probate).

Step 3: Asset allocation review (20 minutes)

• What is the current equity/bond/other split across all accounts combined?
• How does this compare to the target allocation?
• Has any single asset, sector, or holding drifted above 10% of total portfolio due to market movement?
• Are employer stock (RSUs, ESPP) positions creating concentration risk? Diversify on vest schedules.
• Rebalance by directing new contributions to underweighted assets before selling anything (avoids taxable events in taxable accounts).

Step 4: Insurance review (20 minutes)

• Is life insurance coverage still adequate for current income and debt (10-12x annual income is a common starting point)?
• Has there been a new child, new mortgage, or income increase that changes the coverage need?
• Does employer-provided disability insurance replace enough income (typically 60%; consider supplemental if fixed expenses exceed that)? When does it start (elimination period)?
• When does the current term life policy expire? If the policy term ends before dependents are self-sufficient, consider renewing or purchasing a new term.

Step 5: 529 plan review (15 minutes)

• What is the current 529 balance?
• What is the target education cost estimate (4-year college cost adjusted for inflation)?
• Is the 529 on track to meet that target?
• Is the investment allocation appropriate for the child's current age? An age-based fund handles this automatically; a custom allocation should be reviewed.
• Does the state plan offer a state income tax deduction for contributions? If so, has the optimal contribution amount been reached?

Step 6: Tax efficiency review (30 minutes)

• Does the taxable brokerage account hold tax-inefficient assets (bond funds, REITs, actively managed funds) that should be in tax-advantaged accounts?
• Are there unrealized losses in the taxable account that can be harvested to offset gains?
• Is the 401(k) split between traditional (pre-tax) and Roth optimally for your projected tax rate at retirement?
• Should you convert any traditional IRA to Roth this year if taxable income is below normal (low-income year, large deductions)?
• Has the FSA (Flexible Spending Account) balance been used? FSA funds typically expire at year-end (with a short grace period or $610 rollover in 2026; plan rules vary).

Step 7: Next year setup (15 minutes)

• Will you receive a raise next year? Plan to increase retirement contribution rate by at least half the raise amount.
• Are 2026 contribution limits the same as 2025? IRS adjusts limits annually for inflation. Check IRS.gov each November when new limits are published.
• Set calendar reminders for: January (Roth IRA contribution), each quarter (net worth snapshot), and next October-November (annual review).

Frequently Asked Questions