Last updated: August 22, 2026
How Much Should You Have Saved for Retirement by Age?
This article is educational and general in nature, not personalized financial advice. The benchmarks here are general reference points, not a specific recommendation for your situation — see our Editorial Process for more on how we approach this kind of content.
Age-based savings benchmarks get cited constantly, almost always as a single multiple of your salary with no context for what income level it assumes. Here's the same framework broken down into actual dollar amounts across a few income levels, plus what to actually do if your own number falls short.
The Benchmark Framework
A commonly referenced guideline suggests these multiples of your annual salary as milestones on the way to a roughly 10x-salary target by full retirement age:
| Age | Benchmark (× annual salary) |
|---|---|
| 25 | ~0.5× |
| 30 | ~1× |
| 35 | ~2× |
| 40 | ~3× |
| 45 | ~4× |
| 50 | ~6× |
| 55 | ~7× |
| 60 | ~8× |
| 67 | ~10× |
What This Actually Looks Like in Dollars
A multiple of salary means something very different depending on what your salary actually is. Here's the same benchmark converted to real dollar amounts at three income levels:
| Age | $50k Income | $75k Income | $100k Income |
|---|---|---|---|
| 25 | $25,000 | $37,500 | $50,000 |
| 30 | $50,000 | $75,000 | $100,000 |
| 35 | $100,000 | $150,000 | $200,000 |
| 40 | $150,000 | $225,000 | $300,000 |
| 45 | $200,000 | $300,000 | $400,000 |
| 50 | $300,000 | $450,000 | $600,000 |
| 60 | $400,000 | $600,000 | $800,000 |
| 67 | $500,000 | $750,000 | $1,000,000 |
If your income has changed significantly over your career (a big raise, a career change, a period of part-time work), use your current salary as the basis rather than an average across your whole career — the benchmark is meant to reflect what multiple of your current lifestyle you're on track to replace.
A Worked Example: Catching Up From Behind
Say you're 40, earning $75,000, with $100,000 saved — below the $225,000 benchmark for your income at this age. Here's what closing that gap by 67 actually requires, assuming 7% average annual growth on existing and future savings:
| Amount | |
|---|---|
| Current savings grown to age 67 (27 years, no new contributions) | $621,387 |
| Target at 67 (10x current salary) | $750,000 |
| Remaining gap to close | $128,613 |
| Required additional contribution | ~$144/month ($1,727/year) |
The gap looks intimidating as a lump sum, but the additional monthly contribution required to close it — thanks to 27 years of compounding still ahead — is far more manageable than the raw dollar gap suggests. This is exactly why starting to close a gap sooner rather than later matters more than the size of the gap itself: the same $128,613 shortfall would require a much larger monthly contribution to close in 10 years than in 27.
What Matters Most at Each Decade
The benchmark number matters less than the specific action that actually moves it at each stage of a career.
| Decade | Primary Focus |
|---|---|
| 20s | Capture the full employer match and build the habit of automatic contributions, even at a modest rate — the dollar amount matters less than starting the compounding clock as early as possible |
| 30s | Increase your contribution rate as income grows, ideally directing at least part of every raise toward retirement before lifestyle spending absorbs it |
| 40s | Reassess whether your current trajectory realistically reaches your target, and adjust contribution rates or investment allocation if a gap is emerging |
| 50s | Use catch-up contributions if eligible, and start thinking concretely about expected retirement age and Social Security claiming strategy |
| 60s | Shift toward a more specific withdrawal plan, coordinate Social Security timing, and confirm your asset allocation reflects a shorter time horizon |
Someone behind the benchmark in their 30s has very different, more flexible options than someone behind in their late 50s — which is exactly why an honest check-in earlier rather than later matters more than the specific number itself.
A Note on Investment Growth Assumptions
Every example in this article assumes a 7% average annual growth rate, a commonly used long-term historical average for a diversified stock-heavy portfolio — but actual returns vary significantly year to year, and a portfolio that shifts toward more conservative investments as retirement approaches (as most target-date funds do automatically) will generally see a lower average return than an all-stock portfolio held the entire time. Treat every dollar figure in this article as an illustration of the mechanics, not a guarantee of what your own specific portfolio will produce.
Why Different Sources Give Slightly Different Numbers
If you've seen a different set of benchmarks elsewhere, that's normal — several major financial firms publish their own version of this framework, and they don't all use identical assumptions. Some assume a specific retirement age (67 versus 65), some assume a specific savings rate throughout a career, and some assume a different expected investment return. The multiples in this article represent a commonly cited middle-ground version, but the underlying purpose is the same across all of them: give you a rough sense of whether your current trajectory is in a reasonable range, not a precise pass-fail test. Two benchmark frameworks that both put you in the "roughly on track" zone, even if the exact numbers differ by 10-20%, are both telling you the same practical thing.
Using This Alongside a Calculator
A benchmark table gives you a quick sanity check; a full retirement calculator lets you model your specific numbers — your actual savings rate, expected retirement age, and current balance — rather than relying on an age-based rule of thumb. Running both is a reasonable approach: use the benchmark table for a fast gut check, then run your real numbers through a calculator when you want a more specific answer.
What Changes the Right Number for You
- Expected retirement age. Retiring earlier means fewer years to save and more years the savings need to cover, pushing the needed multiple higher; working longer does the opposite.
- Other income sources. A pension or a larger expected Social Security benefit relative to your spending needs can reasonably lower how much personal savings you need, since these benchmarks are meant to supplement Social Security, not replace it.
- Expected retirement spending. Someone planning a significantly lower-cost retirement (a paid-off home, a lower cost-of-living area) needs a smaller multiple than someone planning to maintain an expensive lifestyle.
- Health and longevity expectations. A longer expected retirement, whether due to family longevity or retiring earlier, means savings need to stretch further.
See our full 4% rule guide for a complementary way to estimate your target based on planned annual spending rather than a multiple of salary — the two approaches can be used together as a sanity check on each other.
If You're Behind, Here's What Actually Helps
- Capture your full employer match first, if you aren't already — it's the single highest-return action available regardless of how far behind you are.
- Use catch-up contributions once you're eligible (age 50+), which allow contributing beyond the standard annual limit specifically to help later starters close the gap faster.
- Increase your contribution rate with every raise, rather than letting a raise fully convert into higher spending — even directing half of each raise increase toward retirement compounds meaningfully over a decade or more.
- Consider working a few additional years if feasible, which both extends your saving window and shortens the retirement period those savings need to cover.
Frequently Asked Questions
What if I have nothing saved by age 40?
It's a real gap, but not an unrecoverable one — the levers that matter most are increasing your contribution rate now, capturing any employer match in full, and giving compounding as much remaining time as possible. Starting seriously at 40 with consistent contributions can still build a meaningful retirement balance by traditional retirement age, even without reaching the benchmark multiple along the way.
Do these benchmarks include my home equity?
No — these multiples typically refer to investable retirement savings (401(k)s, IRAs, brokerage accounts), not home equity, since a home isn't a liquid source of retirement income unless you sell or borrow against it.
Does Social Security count toward these targets?
No — these savings multiples are meant to work alongside Social Security, not include it. Someone expecting a larger Social Security benefit relative to their spending needs may reasonably need a smaller personal savings multiple than someone who won't have that income replacement.
Are these benchmarks the same for everyone?
No — they're a general reference point, not a personalized target. Your actual number depends on your expected retirement age, expected spending, other income sources like a pension, and how long you expect retirement to last. Treat these multiples as a starting sanity check, not a precise goal.
What growth rate should I use to plan my own numbers?
7% is a commonly used long-term average for a diversified stock-heavy portfolio, but it's an illustration, not a guarantee — actual returns vary meaningfully year to year, and a more conservative allocation closer to retirement typically produces a lower average return than an all-stock portfolio.
Should I prioritize retirement savings or paying off debt first?
Contribute enough to get any full employer match first regardless of other debt, since that's an immediate guaranteed return. Beyond the match, prioritizing high-interest debt (like credit cards) ahead of additional retirement contributions is usually the better move, since few investments reliably outperform high double-digit interest rates.
You Might Also Like
Where to Go Next
Related guides on ClearCents: