Flex Your 401(k): Maximize Your Contributions

These retirement plans may not be for everyone; some people don't need to save for retirement, and others may feel they can't spare the funds. But Schatsky says most should contribute to their 401(k) but don't. "You need to look at your tax bracket, your cash situation and whether or not there is a company match," he says.

The planner notes that for people in a 35% tax bracket, contributing $1,000 to a 401(k) plan will only remove $650 from your paycheck.

At a minimum, he says, you should aim to contribute as much to your plan as your employer will match, since these matching funds are essentially "a pay raise."

But contributing the maximum amount can have a powerful impact on your income in retirement. Adam Meyers, vice president and director of the benefits practice in the New York marketplace for Hay Group, provides the following example: If a 30-year old hired on Jan. 1 at a salary of $100,000 were to contribute 2% of his salary a year, he would have $406,663 in his 401(k) plan by age 65, assuring him a monthly income in retirement of $3,183.

But by raising his contribution to the maximum, the same person could increase the assets in his plan at age 65 to $3.15 million, resulting in a monthly income of $24,663. This assumes he earns 7% a year on his portfolio.