You may not be as far from average as you think.
IRS increases 401(k) contribution limits for 2026
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It’s normal to want to know how you stack up financially compared to others, especially when it comes to saving for retirement. There are so many variables when it comes to retirement planning that it can be hard to know which goals to aim for, but it may be reassuring to know you’re not far behind others.
However, knowing where you stand compared to the average saver doesn’t tell you everything you need to know. Here’s a closer look at how much assets the average retirement saver has and what that tells you, and what it doesn’t, about your position.
Median retirement savings balance is $87,000
According to the Federal Reserve, the median retirement savings balance in 2022 was $87,000. Although the average was significantly higher at $333,940, the median is usually a better indicator of the typical saver’s level. The average is easily skewed by a small number of high-income earners.
When analyzed by age, a predictable trend can be seen. Older generations tend to have more savings than younger generations, at least until they start living with that money. The following table shows the median amount saved by age group.
Data source: Federal Reserve System.
What this data doesn’t show is that the majority of families (over 45%) have no savings for retirement. Many, many people do far worse than the table above shows.
What these numbers don’t tell us
If you’re above the median age group, that’s a sign you’re off to a pretty good start. But that doesn’t necessarily mean you’re on track to reach your retirement goals. To find out, you need to compare your savings balance to your personal savings goals.
Instead, use this as a benchmark and make adjustments where possible to keep moving in the right direction. That might mean increasing your savings rate if you can afford it. If that’s not possible, you may need to delay your retirement date a bit. This may not be ideal, but it’s better than spending your savings too quickly.
As you approach retirement age, keep an eye on your progress. Check your account balance at least once a year and always look for new opportunities to increase your contribution rate.
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