For a 65-year-old American, the average (mean) retirement savings are around $609,000, but the median is much lower, about $200,000, for the 65-74 age bracket, meaning many people have significantly less due to skewed high earners; for 65+, SoFi data shows average savings around $100,000, highlighting a big difference between mean and median figures.
The above chart shows that U.S. residents under 35 have an average of $49,130 in retirement savings; those 35 to 44 have an average $141,520; those 45 to 54 have an average $313,220; those 55 to 64 have an average $537,560; those 65 to 74 have an average $609,230; and those 75 or older have an average $462,410.
A common starting point is to estimate that you'll need about 70% to 80% of your pre-retirement income to maintain your standard of living in retirement. For example, if you earn $150,000 annually while working, you might need between $105,000 to $120,000 as a starting point in retirement.
Only a small fraction of Americans, around 3% to 4.7%, actually retire with $1 million or more in retirement accounts, according to Federal Reserve data, despite many feeling they need that much for comfort. The median savings for those approaching retirement (ages 65-74) is much lower, around $200,000-$609,000, making the million-dollar milestone rare, though "401(k) millionaires" are growing in number.
According to Vanguard, the average retirement balance for those who are 65 and older is $232,710. The best way to determine whether you have enough savings to last through your retirement is to work with a financial adviser; they can run simulation tests based on your assets and spending.
The short answer: to retire on $80,000 a year in Australia, you'll need a super balance of roughly between $700,000 and $1.4 million. It's a broad range, and that's because everyone's circumstances are different.
The top ten financial mistakes most people make after retirement are:
As of 2022, the median household retirement savings for Americans ages 65-74 is $200,000. In 2022, the average (median) retirement savings for American households was $87,000. The recommended retirement savings at age 40 is 3X annual income. As of 2024, 25% of American non-retirees have no retirement savings.
Empower Personal DashboardTM data shows 9.1% of people fall into the category of 401(k) millionaire as of September 30, 2025, having accumulated at least $1 million in retirement savings in employer-sponsored plans and individually controlled IRA savings and investment accounts.
Americans ages 65–74 have a median net worth of $410,000, the highest of any age group. About 76% own a home and 51% have a retirement account, making home equity and savings the biggest drivers of wealth at this stage.
A good retirement nest egg aims to replace 80% of your pre-retirement income, often needing 10-12 times your final salary saved by age 67, but the exact amount varies widely based on lifestyle, desired retirement age, location, and expenses like healthcare. Key benchmarks include saving 1x salary by 30, 3x by 40, 6x by 50, 8x by 60, and 10x by 67, with a 15% savings rate of your income being a strong general goal.
Recommended 401(k) balances often use salary multiples, like having 1x your salary by 30, 3x by 40, 6x by 50, and 10x by retirement (age 67), though averages vary significantly by age group, with younger savers having less and older savers (55-64) often holding over $250k on average, but still needing more for a comfortable retirement. Key benchmarks suggest aiming for 10-15% total savings (including employer match) and increasing contributions as you earn more, using catch-up contributions after 50.
$800,000 can last anywhere from 15 to over 30 years in retirement, depending heavily on your annual spending, investment returns, and additional income (like Social Security). A common guideline, the 4% Rule, suggests withdrawing $32,000 in the first year (adjusting for inflation), potentially lasting 30 years; however, higher spending (e.g., $50k-$60k/year) reduces longevity to 20-29 years, while a lower withdrawal rate or income from other sources significantly extends it.
Using a simple drawdown calculator, $2 million would last about 34 years before running out. That means if you retire at 65, your portfolio could last until age 99 –, enough for most Australians.
Whether you are planning for your future or already retired, here are six hidden retirement costs to factor into your retirement plan and budget.
The average retiree's monthly expenses in the U.S. hover around $4,600 to $5,400, with younger retirees (65-74) spending more, often over $5,000 monthly, while those 75+ spend closer to $4,400 as transportation and entertainment costs decrease, though healthcare costs can rise, with housing, transportation, healthcare, and food being the biggest categories.
4 common 401(k) mistakes to avoid
On average, people aged 65 and 74 have saved $609,230, and people over 75 have an average savings of $462,410. By the time you finally retire, the rule of thumb suggests you want around 10 times your salary.