Planning for retirement requires thoughtful money management, whether that involves seeking guidance from a financial advisor, focusing on catch-up contribution limits or just opening a high-yield savings account. With so many moving pieces, everyone’s saving plan is different.
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While it helps to start saving as early as possible to let your money grow and weather market fluctuations long-term, not everyone has the foresight to start retirement planning in their 20s. Regardless of your age, it’s important to review where your savings are right now and determine where you want them to be by the time you quit your 9-to-5.
Curious glances at what other Americans are doing to prepare can help you assess your own level of preparedness. And thanks to research from the Federal Reserve, you can see how you stack up against others in your age bracket.
While retirement savings by age can vary, here’s a quick look at what the average American has saved for their golden years at every age.
Money saved in your retirement accounts is the foundation for how comfortable you’ll be as a retiree. It’s not about just thinking about retirement planning once you hit age 65, it takes years of saving and investing.
As averages can be skewed by extreme over and under outliers, it’s also good to look at the median retirement savings. To see how you compare to other Americans’ retirement savings, both in median and mean approximations, here are some estimations from the Federal Reserve Board:
|
Age Range |
Average Retirement Savings |
Median Retirement Savings |
|
Under 35 |
$49,130 |
$18,880 |
|
35 to 44 |
$141,520 |
$45,000 |
|
45 to 54 |
$313,220 |
$115,000 |
|
55 to 64 |
$537,560 |
$185,000 |
|
65 to 74 |
$609,230 |
$200,000 |
|
75 and older |
$462,410 |
$130,000 |
Every generation has its own financial trials and tribulations having gone through everything from the Great Depression to the Great Recession. However, it’s important to track the finances of these specific age groups to not only compare your own progress but to also factor in what economic or global events have affected them at large.
Here are some key takeaways:
-
Average Savings of Gen Z: $29,000
-
Average Savings of Millennials: $49,000
-
Average Savings of Gen X: $82,000
-
Average Savings of Boomers: $289,000
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If you’re still scratching your head at just how much you need to save in order to retire at the age you want and achieve your retirement goals, there are some helpful goals to meet.
