According to the Employee Benefit Research Institute, many Americans are slow to recognize how the U.S. retirement system is changing, and those who are aware of these changes, may not be adapting to them in ways that are likely to help them secure a comfortable retirement.

When it comes to actionable insight into the U.S. retirement system, I immediately turn to Dan Wiener, Editor of The Independent Adviser for Vanguard Investors who helped thousands understand the top tax strategies for retirement investing.

Now, your individual retirement account, the tax-deferred savings vehicle commonly known as the IRA, continues to improve in 2007, and will do so for several more years to come.

As I'm sure you're well aware, the pre-2002 limit was set at $2,000 a year for IRAs, $6,500 a year for SIMPLE plans and $10,500 a year for 401(k), 403(b) and 457 plans. Well, according to Dan, the limits keep going up: They are now $4,000 for IRAs, $10,500 for SIMPLE plans and $15,500 for the 401(k), 403(b) and 457 plans.

Will these increased contribution limits make a difference? Without a doubt!

Remember that every additional dollar you add to a tax-deferred account is a dollar that can compound on itself—and on its gains—for as long as you keep it within that tax-avoiding wrapper.

Catch-Up Contributions

Those of us in the Sandwich Generation can now save more than ever before. We can now contribute an extra $1,000 a year to our IRAs in 2007, for a total of $5,000, and the numbers are even higher for other retirement plans.

So for those of you who are turning 50 in 2007, take advantage of the option. And if you didn't do so in 2006, you still have until April 15, 2007, to make the most of it.

In fact, if you don't think you'll have the full amount to contribute for 2007 available right away, make sure you take advantage of the maximum 2006 contribution limit before adding money for 2007. This way you won't lose the option should a sudden spot of financial luck or a raise give you additional money later in the year that can be contributed to your tax-deferred account.

There is one catch to these catch-up contributions, however: Companies are not required to allow you to make them, so make sure you visit your Human Resources or employee benefits person and tell them that you want your company to permit these payments.

Companies would be foolish to prevent it, since they are very wary of liability issues surrounding employees' retirement plans. And, quite frankly, any company or benefits department that hasn't caught up with the catch-ups by now, should have its director tossed out for not staying on top of this great option.

If you want to boost your retirement savings with more smart strategies like these, along with proven wealth-building recommendations from one of the leaders in the mutual fund industry, then you'll want to subscribe to Dan Wiener's Independent Adviser for Vanguard Investors, where on average, subscribers earn 136% more than unguided Vanguard investors, with 20% less risk! Start right away with your RISK-FREE trial subscription to The Independent Adviser for Vanguard Investors, and you'll get immediate access to Dan's current recommendations. Confident Investor readers will also receive two of his brand-new reports: 25 Vanguard Funds to Sell Now and Action Plan for Vanguard Investors absolutely free! Click here now.

For more information on tax-deferred way to build wealth and save for retirement, visit:

• "How to Retire Faster & Richer" by Richard Band, Editor, Profitable Investing
• "Where the Grass Is Greener in Retirement" by Richard Young, Editor, Intelligence Report