How does your retirement savings compare to your peers — and what do the benchmarks say consider have?
The Median vs. Average Gap: Retirement savings data is highly skewed. A small number of high-balance accounts pull the average up significantly. The median is a better benchmark for most people — it represents the midpoint, where half of people have more and half have less.
| Age Group | Avg 401(k) | Median 401(k) |
|---|---|---|
| Under 25 | $7k | $3k |
| 25–34 | $38k | $15k |
| 35–44 | $97k | $36k |
| 45–54 | $179k | $61k |
| 55–64 | $256k | $90k |
| 65+ | $280k | $88k |
Sources: Vanguard "How America Saves" 2024 (401k data); Federal Reserve Survey of Consumer Finances 2022 (total retirement assets). Total retirement includes 401(k), IRA, and other retirement accounts.
Fidelity recommends saving a multiple of your annual salary by each age milestone, assuming you save 15% of income starting at age 25 and retire at 67.
Age 30
1×
of salary
Age 35
2×
of salary
Age 40
3×
of salary
Age 45
4×
of salary
Age 50
6×
of salary
Age 55
7×
of salary
Age 60
8×
of salary
Age 67
10×
of salary
Example: If you earn $80,000 at age 40, Fidelity suggests having $240,000 (3×) saved for retirement. At $100,000 salary at age 50, the target is $600,000 (6×).
401(k) / 403(b)
$23,500
+$7,500 (age 50+)
Employee contribution limit
Traditional/Roth IRA
$7,000
+$1,000 (age 50+)
Combined limit across both IRA types
SEP-IRA
$70,000
N/A
25% of compensation, whichever is less
HSA (self-only)
$4,300
+$1,000 (age 55+)
Triple tax advantage, invest for retirement
Maximize tax-advantaged accounts first
Before investing in taxable brokerage, ensure you're maximizing 401(k) to at least get the employer match, then max out an IRA, then return to 401(k) up to the limit.
Use catch-up contributions after 50
Workers 50+ can contribute an extra $7,500 to 401(k) and $1,000 to IRAs. These"catch-up" provisions exist specifically to help people who started saving late.
Delay Social Security if possible
Each year you delay Social Security past 62 increases your benefit by up to 8% per year. Delaying from 62 to 70 can increase your monthly benefit by over 75%.
Reduce sequence-of-returns risk
As you near retirement, shift allocation toward more conservative investments to protect against a market crash early in retirement, which can dramatically reduce portfolio longevity.