Average Retirement Savings by Age

Wondering if you’re saving enough for retirement? You’re not alone. One of the most common personal finance questions is:
“What’s the average retirement savings by age in the USA?”

Understanding how your savings stack up against national averages can help you gauge your progress and plan your financial future more effectively.

In this blog, we’ll break down:

• Average retirement savings by different age groups
• Retirement savings goals
• Tips to boost your savings—no matter your age

Why Retirement Savings Matter More Than Ever

With rising inflation, longer life expectancy, and uncertainty around Social Security, building a solid retirement nest egg is more important than ever.

Experts recommend having enough saved to replace 70% to 80% of your pre-retirement income. But where do most Americans actually stand?

Let’s find out.

Average Retirement Savings by Age (USA)

Here’s a breakdown based on recent Fidelity and Federal Reserve data, reflecting the average and median retirement savings per age group:

Age Group	Average Savings	Median Savings
Under 35	$37,200	$13,000
35–44	$97,000	$36,000
45–54	$179,200	$61,200
55–64	$256,000	$89,000
65+	$280,000+	$105,000

🔹 Average values are skewed by higher earners.
🔹 Median values offer a more realistic picture of what most people have saved.

What These Numbers Mean

• Under 35: Most are just starting out. If you’re here, your focus should be on starting early, even with small contributions.
• 35–44: This is when you should aim to ramp up savings, ideally saving at least 2x your annual income by age 40.
• 45–54: Your peak earning years. Experts suggest having 4–6x your income saved by 50.
• 55–64: The final stretch. Aiming for 7–8x your income saved by 60 can help you maintain your lifestyle in retirement.
• 65+: You’re likely either entering or already in retirement. How long your savings last depends on your lifestyle, health, and expenses.

Retirement Savings Benchmarks (Fidelity Guidelines)

Age	Suggested Savings
30	1x your salary
40	3x your salary
50	6x your salary
60	8x your salary
67	10x your salary

These benchmarks assume you’ll retire around 67 and want to replace about 45–50% of your pre-retirement income from savings.

How to Boost Your Retirement Savings at Any Age

1. Start Early and Stay Consistent

Thanks to compound interest, even small amounts saved early can grow significantly. Automate your savings through employer-sponsored plans or IRAs.

2. Maximize Employer Matches

If your job offers a 401(k) match, take full advantage—it’s essentially free money.

3. Increase Contributions Annually

Even a 1% increase each year can lead to major gains over time.

4. Invest Strategically

Don’t just save—invest. Diversify across stocks, bonds, and index funds to minimize risk and maximize returns.

5. Cut Unnecessary Expenses

Review your spending habits regularly and redirect those savings into your retirement fund.

Common Retirement Accounts in the U.S.

• 401(k): Employer-sponsored, with pre-tax contributions.
• Roth 401(k): Contributions made after-tax; withdrawals are tax-free.
• IRA/Roth IRA: Individual accounts with tax advantages.
• SEP IRA/Solo 401(k): Great options for self-employed individuals.

Final Thoughts: Don’t Just Compare—Prepare

It’s natural to compare your savings to national averages, but don’t let the numbers discourage you. The most important thing is to start where you are and take steps forward.

Every dollar saved is a dollar that brings you closer to financial freedom. Whether you’re 25 or 55, the best time to plan for retirement is now.

FAQs About Retirement Savings in the USA

Q: What is a good amount to retire with?
A: Many experts recommend $1 million to $1.5 million, or 10x your annual salary by age 67, depending on your lifestyle.

Q: Is the average American behind on retirement savings?
A: Yes, most Americans are behind. But it’s never too late to start or improve your plan.

Q: What’s the difference between average and median savings?
A: Average is the total divided by the number of savers, while median represents the middle value. Median is often more realistic.

Q: Can I retire with $500,000?
A: It depends on your living expenses, retirement age, and investment strategy. Downsizing or moving to a lower-cost area can help stretch your savings.