Financial Experts: 4 Ways Middle-Class Retirees Can Grow Their Nest Eggs Safely
Written by
Laura Beck
Edited by
Molly Sullivan
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Retirement shouldn’t mean your money stops working. But when you’re living on a fixed income, taking big risks isn’t an option. The question becomes how to keep growing your nest egg without gambling on market swings or complicated investments.
Two financial advisors shared their strategies for middle-class retirees who want steady growth without the stress. The answer isn’t sexy, but it works.
1. Choose the Boring Strategy That Actually Works
Aaron Cirksena, CEO at MDRN Capital, emphasized that safe growth means abandoning the idea of getting rich quick. “For most retirees, the smartest growth strategy is boring on purpose,” he said.
His first recommendation was laddering CDs and Treasuries. This approach locks in good interest rates while keeping money accessible when you need it. You’re not chasing high returns, but you’re also not watching your savings get eaten by inflation.
Cirksena also pointed to dividend-paying ETFs as a smart option. “Dividend-paying ETFs help cash flow without taking on big risks,” he explained. These funds generate regular income without requiring you to sell investments or time the market.
For retirees who still have decent income and aren’t in the lowest tax bracket, Cirksena suggested small Roth conversions each year. “Small Roth conversions each year can stretch future income further,” he said. This strategy means paying some taxes now to avoid bigger tax bills later when required minimum distributions kick in.
His bottom line was simple: “You don’t need Wall Street wizardry to grow your savings — just consistency, balance and patience. The goal isn’t hitting home runs anymore. It’s making sure you never strike out when it matters most.”
2. Delay Social Security for Bigger Payments
Ben Waterman, CEO of Strabo, a global consumer wealth management platform, focused on strategies that compound over time without adding risk.
His first suggestion was delaying Social Security benefits. “By keeping working and deferring full retirement, you can increase your benefit,” Waterman said. “Each year you delay increases this by about 8%.”
That 8% annual increase is guaranteed money you can’t get anywhere else without taking on investment risk. Waiting from 62 to 70 can nearly double your monthly benefit for life. For middle-class retirees worried about running out of money, that’s hard to beat.
3. Let Your Money Make More Money
Waterman’s second strategy was reinvesting dividends and interest instead of spending them. “This rapidly increases the compounding that happens over time, while preserving the principal,” he explained.
When you reinvest dividends, you buy more shares that generate more dividends. The snowball effect grows your account without you adding new money. And because you’re not touching the principal, your base investment stays intact.
This works especially well in tax-advantaged accounts where reinvested dividends don’t trigger immediate tax bills.
4. Optimize Taxes To Keep More Money
Waterman’s final recommendation focused on tax efficiency. “Use Roth conversions in lower-income years and draw from taxable accounts first to reduce lifetime drag,” he said.
The strategy here is managing which accounts you pull from and when. By converting traditional IRA money to Roth during years when your income drops, you pay taxes at a lower rate. Then in retirement, those Roth withdrawals come out tax-free.
Drawing from taxable accounts first lets your tax-advantaged accounts keep growing longer. It’s not flashy, but over decades it can save tens of thousands in taxes.
Why Safe Beats Fast
Neither advisor mentioned crypto, hot stock tips or day trading. That’s intentional. Middle-class retirees can’t afford to lose big chunks of savings chasing quick wins.
The strategies they outlined — CDs, Treasuries, dividend ETFs, delayed Social Security, tax optimization — won’t make you rich overnight. But they also won’t wipe out your savings in a market crash.
Retirement money needs to last 20 or 30 years. Growing it safely means you’ll actually have it when you need it. Getting aggressive might work or it might leave you broke at 80 with no way to rebuild.
As Cirksena put it, the goal shifted from hitting home runs to never striking out. That mindset matters more than any specific investment when your working years are behind you.
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