How much do I need to save to retire at 65?

A common target is 25x your annual retirement expenses (the 4% rule). If you need $60,000/year in retirement, you need $1.5 million. If you need $80,000/year, you need $2 million. Social Security replaces 30-40% of pre-retirement income for most, reducing how much you need from savings.

How much should I have saved for retirement by age 40?

Common benchmarks suggest 3x your salary by 40. If you earn $85,000, aim for $255,000 saved. More aggressive targets (for early retirement): 5-6x salary by 40. Even if you're behind, catching up is possible with increased contributions and time.

Retirement Savings Calculator: How Much Do You Need to Retire? (2026)

The most important question in personal finance: do you have enough to retire? Here’s how to calculate your number.

How Much You Need to Retire

By Desired Annual Income (4% Rule)

Annual Retirement Income	Savings Needed (4% Rule)	Savings Needed (3.5% Rule)	Savings Needed (3% Rule)
$30,000	$750,000	$857,000	$1,000,000
$40,000	$1,000,000	$1,143,000	$1,333,000
$50,000	$1,250,000	$1,429,000	$1,667,000
$60,000	$1,500,000	$1,714,000	$2,000,000
$75,000	$1,875,000	$2,143,000	$2,500,000
$80,000	$2,000,000	$2,286,000	$2,667,000
$100,000	$2,500,000	$2,857,000	$3,333,000
$125,000	$3,125,000	$3,571,000	$4,167,000
$150,000	$3,750,000	$4,286,000	$5,000,000
$200,000	$5,000,000	$5,714,000	$6,667,000

4% rule = 25x expenses. 3.5% = 28.6x. 3% = 33.3x (most conservative). Social Security income reduces the amount needed from savings.

Pre-Retirement Income	Social Security (est.)	Income Gap	Savings Needed (4% Rule)
$50,000	$18,000/yr	$32,000	$800,000
$75,000	$24,000/yr	$51,000	$1,275,000
$100,000	$30,000/yr	$70,000	$1,750,000
$125,000	$34,000/yr	$91,000	$2,275,000
$150,000	$37,000/yr	$113,000	$2,825,000
$200,000	$40,000/yr	$160,000	$4,000,000

Assumes retirement spending = 80% of pre-retirement income. Social Security estimates based on full retirement age claiming.

Retirement Savings Benchmarks by Age

Fidelity’s Rule of Thumb: Multiples of Salary

Age	Savings Target	If Salary = $60K	If Salary = $85K	If Salary = $120K
25	0.5x salary	$30,000	$42,500	$60,000
30	1x salary	$60,000	$85,000	$120,000
35	2x salary	$120,000	$170,000	$240,000
40	3x salary	$180,000	$255,000	$360,000
45	4x salary	$240,000	$340,000	$480,000
50	6x salary	$360,000	$510,000	$720,000
55	7x salary	$420,000	$595,000	$840,000
60	8x salary	$480,000	$680,000	$960,000
67	10x salary	$600,000	$850,000	$1,200,000

Monthly Savings Needed to Reach $1 Million

Current Age	Years to 65	Current Savings	Monthly Needed (7% return)	Monthly Needed (10% return)
22	43	$0	$340	$155
25	40	$0	$415	$200
25	40	$25,000	$345	$140
30	35	$0	$620	$325
30	35	$50,000	$430	$155
35	30	$0	$920	$530
35	30	$100,000	$520	$150
40	25	$0	$1,400	$885
40	25	$150,000	$620	$150
45	20	$0	$2,200	$1,540
45	20	$200,000	$700	$230
50	15	$0	$3,700	$2,870
50	15	$300,000	$800	$320
55	10	$0	$7,200	$6,100
55	10	$500,000	$750	$470

Monthly Savings Needed to Reach $2 Million

Current Age	Years to 65	Current Savings	Monthly Needed (7% return)
25	40	$0	$830
25	40	$50,000	$690
30	35	$0	$1,240
30	35	$100,000	$860
35	30	$0	$1,840
35	30	$150,000	$900
40	25	$0	$2,800
40	25	$250,000	$1,060
45	20	$0	$4,400
45	20	$400,000	$1,030
50	15	$0	$7,400
50	15	$500,000	$2,160

Where to Save: Account Priority

Priority	Account	2026 Limit	Why This Order
1	401(k) to employer match	Match amount	Free 50-100% return
2	HSA (if eligible)	$4,300/$8,550	Triple tax advantage
3	Roth IRA	$7,000/$8,000 (50+)	Tax-free growth forever
4	401(k) to max	$23,500/$31,000 (50+)	Tax-deferred growth
5	Mega backdoor Roth (if available)	Up to $70,000 total	Tax-free growth
6	Taxable brokerage	No limit	Flexible, lower capital gains rates
7	I Bonds	$10,000/year	Inflation protected, safe

Retirement Spending Reality Check

What Retirees Actually Spend (Average by Category)

Category	Average Monthly	Annual
Housing (including property tax, insurance)	$1,573	$18,876
Healthcare (premiums, copays, prescriptions)	$720	$8,640
Transportation	$667	$8,004
Food (home + dining)	$612	$7,344
Insurance (non-health)	$344	$4,128
Utilities	$308	$3,696
Entertainment	$235	$2,820
Personal care & services	$112	$1,344
Clothing	$95	$1,140
Gifts/donations	$250	$3,000
Total average	$4,916	$58,992

Healthcare Costs in Retirement

Item	Annual Cost (est.)
Medicare Part B premiums (2026)	$2,200
Medicare Part D premiums	$400-$1,200
Medigap/supplement policy	$1,800-$4,800
Out-of-pocket costs	$2,000-$5,000
Dental/vision (not covered by Medicare)	$1,000-$3,000
Total healthcare cost	$7,400-$16,200
Lifetime healthcare cost (couple, Fidelity est.)	$315,000+

Are You on Track? Quick Assessment

Your Age	Your Savings	Status
30	Less than 0.5x salary	Behind — increase contributions now
30	0.5x-1x salary	On track — maintain current savings rate
30	More than 1x salary	Ahead — great position
40	Less than 1.5x salary	Behind — need to catch up significantly
40	1.5x-3x salary	On track — keep it up
40	More than 3x salary	Ahead — early retirement possible
50	Less than 3x salary	Behind — maximize catch-up contributions
50	3x-6x salary	On track — stay the course
50	More than 6x salary	Ahead — very comfortable retirement
60	Less than 5x salary	Behind — consider working longer or reducing expenses
60	5x-8x salary	On track — refine withdrawal strategy
60	More than 8x salary	Ahead — plan legacy and tax optimization

Catching Up If You’re Behind

Age	Strategy	Impact
30-40	Increase savings rate by 5%	Adds $300K-$500K by 65
40-50	Max 401(k) + Roth IRA	$30,500/year → $500K+ by 65
50+	Use catch-up contributions ($7,500 401(k) extra)	$175K+ additional by 65
60-63	Super catch-up ($11,250 extra in 401(k))	Significant boost in final years
Any age	Delay Social Security to 70	24-32% higher monthly benefit
Any age	Reduce expenses by $500/mo	Need $150K less in savings
Any age	Work 2 more years	2 more years of saving + 2 fewer years of withdrawals