Maximizing Retirement Savings

A financial planner is working with a client, Lisa, who is 35 years old, earns $100,000 annually, and has expressed an interest in maximizing her retirement savings. Lisa’s employer offers a 401(k) plan with a 100% match up to 5% of her salary. She also has a Roth IRA and an emergency fund covering six months of expenses. Based on her goals, what is the most appropriate next step?

1. Contribute $6,500 to her Roth IRA, assuming she is eligible.
2. Increase her 401(k) contributions to at least 5% to capture the full employer match.
3. Build a taxable investment account to diversify her retirement savings.
4. Purchase a cash-value life insurance policy to supplement her retirement planning.