The median American approaching retirement age has $89,716 in total retirement savings — less than one-fifth of what most financial planners recommend. The average is $256,244, but that figure is skewed upward by a small number of very large accounts. For the typical worker, the retirement savings shortfall is real and significant at every age.
Quick answer: The median retirement savings across all US households, including those with nothing saved, is approximately $27,000. For specific age groups, medians range from $13,265 at ages 25–34 to $98,853 at ages 65–74. At every age, the median falls far short of recommended targets based on Fidelity’s salary-multiple framework.
Average and Median Retirement Savings by Age (2026)
The gap between average and median is the most important thing to understand when reading retirement savings data. Averages are pulled up dramatically by the roughly 8% of Americans who have $500,000 or more saved. Medians reflect what the typical person actually has.
| Age Group | Average Balance | Median Balance | Recommended (×salary) | Gap vs. Recommended |
|---|---|---|---|---|
| Under 25 | $7,351 | $2,240 | Start saving | — |
| 25–34 | $37,211 | $13,265 | 1× (~$50K) | -$37K median |
| 35–44 | $97,020 | $44,990 | 3× (~$180K) | -$135K median |
| 45–54 | $179,200 | $71,168 | 6× (~$360K) | -$289K median |
| 55–64 | $256,244 | $89,716 | 8× (~$480K) | -$390K median |
| 65–74 | $282,886 | $98,853 | 10× (~$600K) | -$501K median |
| 75+ | $234,960 | $83,442 | Drawing down | — |
Sources: Federal Reserve Survey of Consumer Finances 2022; Vanguard “How America Saves” 2025. Salary-multiple targets based on Fidelity guidelines, assuming $60,000 median household income. The Fed’s SCF is published every three years; the 2022 survey is the most recent available. The 2025 SCF data is expected in late 2026.
The Retirement Savings Gap — By the Numbers
The gap between what Americans have saved and what they need is widest for near-retirees, when there is least time to close it:
| Age | Recommended | Median Saved | Shortfall |
|---|---|---|---|
| 35 | $120,000 (2×) | $13,265 | −$106,735 |
| 45 | $240,000 (4×) | $71,168 | −$168,832 |
| 55 | $420,000 (7×) | $89,716 | −$330,284 |
| 65 | $600,000 (10×) | $98,853 | −$501,147 |
The median 65-year-old has roughly one-sixth of the recommended retirement savings. Social Security fills part of this gap, but most Americans face a meaningful shortfall. The average Social Security benefit of $23,040/year combined with the 4% rule on $98,853 (~$3,954/year) gives total income of just $26,994/year — well below the median household expense level in retirement.
Worked example: Maria is 48 and earns $72,000/year. She has $61,000 in her 401(k) and IRA combined — placing her around the 42nd percentile for ages 45–54. Fidelity’s framework suggests 4× her salary, or approximately $288,000, by now. Her gap is roughly $227,000. Contributing 15% of gross income ($10,800/year) at 7% growth from age 48 would produce approximately $390,000 by 65 — above the median but still below the recommended 10× target. Adding catch-up contributions at 50 ($7,500/year extra) could push her ending balance closer to $550,000.
How You Compare: Retirement Savings Percentiles
Ages 35–44
| Percentile | Retirement Balance |
|---|---|
| 10th | $0 |
| 25th | $10,200 |
| 50th (Median) | $44,990 |
| 75th | $141,000 |
| 90th | $338,000 |
| Source: Federal Reserve Survey of Consumer Finances 2022. |
Ages 45–54
| Percentile | Retirement Balance |
|---|---|
| 10th | $0 |
| 25th | $17,400 |
| 50th (Median) | $71,168 |
| 75th | $220,000 |
| 90th | $520,000 |
| Source: Federal Reserve Survey of Consumer Finances 2022. |
Ages 55–64
| Percentile | Retirement Balance |
|---|---|
| 10th | $0 |
| 25th | $19,000 |
| 50th (Median) | $89,716 |
| 75th | $283,000 |
| 90th | $733,200 |
| Source: Federal Reserve Survey of Consumer Finances 2022. |
Key finding: The bottom 10% at every age group has nothing saved. One in four near-retirees (ages 55–64) has less than $19,000. Reaching the 75th percentile at ages 55–64 requires approximately $283,000 — still well below the recommended 8× salary target for most workers.
Retirement Savings by Account Type
Americans save through multiple account vehicles. Total retirement savings across all accounts matters more than any single balance:
| Account Type | Average Balance | % of Workers Participating |
|---|---|---|
| 401(k) / 403(b) | $112,572 | 58% of workers with access |
| Traditional IRA | $120,376 | 17% of households |
| Roth IRA | $44,843 | 16% of households |
| Defined benefit pension | Varies | 15% of private-sector workers |
Sources: Federal Reserve Survey of Consumer Finances 2022; Vanguard “How America Saves” 2025.
Workers who participate in a 401(k) at every employer throughout their career and also maintain an IRA typically accumulate significantly more than those relying on a single account. See average 401(k) balance by age for a detailed breakdown of 401(k)-only figures.
How Retirement Savings Have Changed — Trend Data
The Federal Reserve Survey of Consumer Finances is conducted every three years. The most recent comparison:
| Age Group | Median Balance (2019 SCF) | Median Balance (2022 SCF) | Change |
|---|---|---|---|
| 35–44 | $34,000 | $44,990 | +32% |
| 45–54 | $52,000 | $71,168 | +37% |
| 55–64 | $65,000 | $89,716 | +38% |
| 65–74 | $71,000 | $98,853 | +39% |
2019 figures are approximate from the 2019 Survey of Consumer Finances. 2022 figures from the 2022 SCF (published 2023). The strong growth reflects equity market gains in 2019–2021, partially offset by the 2022 downturn.
Overall median family retirement account balances grew approximately 34% between 2019 and 2022. This growth was broad-based but concentrated — higher-income households saw proportionally larger gains due to greater equity exposure.
Retirement Savings by Gender
Women consistently reach retirement with less saved than men, at every income and age level:
| Age Group | Men (Median) | Women (Median) | Gap |
|---|---|---|---|
| 35–44 | ~$55,000 | ~$35,000 | ~36% |
| 45–54 | ~$88,000 | ~$58,000 | ~34% |
| 55–64 | ~$115,000 | ~$75,000 | ~35% |
Approximate figures based on Federal Reserve SCF 2022 analysis; rounded to reflect data confidence intervals.
The gap is driven primarily by three factors:
- The gender pay gap — lower wages mean lower absolute contributions even at the same percentage rate
- Career interruptions — women are more likely to take time out of the workforce for caregiving, losing years of contributions and employer matches
- Longer life expectancy — women live an average of 5–6 years longer than men, requiring their savings to stretch further
When researchers control for salary and continuous service, women’s contribution rates are similar to or slightly higher than men’s. The balance gap is an income and career-interruption problem, not a savings-behavior problem.
Retirement Savings by Income Level
| Household Income | Median Retirement Savings | Participation Rate |
|---|---|---|
| Under $25,000 | $4,800 | ~40% have anything saved |
| $25,000–$49,999 | $22,000 | ~55% |
| $50,000–$74,999 | $55,000 | ~70% |
| $75,000–$99,999 | $95,000 | ~80% |
| $100,000–$149,999 | $175,000 | ~88% |
| $150,000+ | $450,000 | ~92% |
Source: Federal Reserve Survey of Consumer Finances 2022.
Higher-income earners have a structural advantage: the $23,500 401(k) contribution limit represents 15% of a $150,000 salary versus a much larger fraction of lower incomes — and lower earners have less disposable income to direct toward savings in the first place.
Why the Numbers Are So Low
1. Late Start
Many Americans don’t begin saving seriously until their 30s or 40s, missing the most powerful years of compound growth. A $200/month contribution starting at 22 grows to approximately $548,000 by 67 at 7% annual growth. Starting at 32 produces only $262,000 — less than half — from the same contribution amount.
2. No Access to Employer Plans
Roughly 57 million American workers don’t have access to a retirement plan through their employer, particularly in part-time, gig, and small-business jobs. Without payroll deduction and employer matching, self-directed saving requires significantly more discipline.
3. Cashing Out Early
About 40% of workers who change jobs cash out their 401(k) rather than rolling it over, losing years of compound growth and paying a 10% early withdrawal penalty plus income tax.
4. Low Contribution Rates
The average 401(k) contribution rate is about 7% of salary. At that rate, many workers won’t accumulate enough by retirement even with employer matches. Financial planners recommend 15% of gross income as a minimum — including the employer match.
5. Debt Competing for Dollars
Student loans, credit card debt, and housing costs compete directly with retirement savings, particularly for workers in their 20s–40s. Paying off high-interest debt first is rational, but it delays compounding.
What Social Security Provides — And What It Doesn’t Cover
| Recipient Type | Monthly Benefit | Annual |
|---|---|---|
| Retired worker (average) | $1,920 | $23,040 |
| Retired worker (maximum at age 67) | $3,822 | $45,864 |
| Retired couple (average) | $3,400 | $40,800 |
For most middle-income retirees, Social Security replaces 30–40% of pre-retirement income. The gap typically needs to come from personal savings. A retiree needing $60,000/year who receives $23,040 from Social Security needs their savings to generate $36,960/year — which requires approximately $924,000 using the 4% rule.
Delaying Social Security to age 70 (rather than claiming at 62) increases the monthly benefit by approximately 76%. For workers with adequate savings to bridge the gap, delayed claiming is widely considered among the most impactful financial decisions available for workers who can afford to wait.
How to Catch Up — Strategies by Decade
In Your 20s–30s
- Start now — even $200/month at 7% for 35 years grows to more than $400,000
- Capture 100% of any employer match — it is an immediate 50–100% return on those dollars
- Open a Roth IRA for tax-free growth ($7,000 limit in 2026 if income eligible)
- Set automatic 1%/year contribution increases so raises go directly to savings
In Your 40s
- Target 15–20% of gross income toward retirement accounts
- Max the employer match, then max the 401(k) ($23,500 in 2026), then fund an IRA
- Pay off high-interest debt to free up future savings capacity
- Roll over old 401(k)s from previous employers — high fees in legacy plans drag returns
In Your 50s–60s
- Use catch-up contributions: extra $7,500 for 401(k), extra $1,000 for IRA
- Consider delaying Social Security to 70 for a ~76% higher monthly benefit
- Run a retirement income projection — not just a savings balance total
- Consider part-time work in early retirement to reduce drawdown rate
- Reduce expenses and eliminate debt before your retirement date
Are You on Track? Checking Your Progress
The salary-multiple framework gives a quick benchmark — but comparing your balance to the percentile table above tells you where you actually stand versus peers:
| Age | Target (×salary) | On $60K | On $90K | How Most Americans Compare |
|---|---|---|---|---|
| 30 | 1× | $60,000 | $90,000 | Median at 25–34 is $13,265 — far behind |
| 40 | 3× | $180,000 | $270,000 | 75th percentile at 35–44 is $141,000 — still behind |
| 50 | 6× | $360,000 | $540,000 | 90th percentile at 45–54 is $520,000 — near target |
| 60 | 8× | $480,000 | $720,000 | 90th percentile at 55–64 is $733,200 — above target |
| 67 | 10× | $600,000 | $900,000 | — |
Most Americans at the median are not on track at any age. Reaching the recommended targets requires starting early, maintaining high contribution rates, and compounding uninterrupted over 30–40 years.
What’s Next
- Average 401(k) Balance by Age — 401(k)-only breakdown with percentile tables for every age group
- 401(k) Balance Percentile Calculator — See where your balance ranks vs. peers your age
- How Much Do I Need to Retire? — Full retirement number calculator and planning framework
- Average Cost of Retirement — What Americans actually spend in retirement by age
- Social Security Benefits by State — What the average retiree receives and how to maximize it
- 401(k) Contribution Limits 2026 — $23,500 standard limit; $31,000 with catch-up at 50+
- How Much Do I Need to Retire? Hub — Full retirement planning resource center
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