Moreover, cheap fees among many broad index-based ETFs help keep more returns in investor’s pockets. For instance, the Schwab U.S. Broad Market ETF (NYSEArca: SCHB) is the cheapest ETF offering with a 0.04% expense ratio and Vanguard Total Stock Market ETF (NYSEArca: VTI) has a 0.05% expense ratio. Looking at the dividend ETFs, VIG has a 0.10% expense ratio, SCHD has a 0.07% expense ratio, SDY has a 0.35% expense ratio and NOBL has a 0.35% expense ratio. [Efficiently Save Toward Retirement with Cheap ETFs]

While there is no consensus on how much investors should hold between stocks and bonds upon retirement now, retirees may be better off with a greater tilt toward equities. For example, among target-maturity funds for those retiring in 2015, a Fidelity portfolio showed a break down of a little over half of allocations in stocks and a Vanguard portfolio had an even split between stocks and bonds.

For more information on saving toward retirement, visit our retirement category.

Max Chen contributed to this article.