How much Americans have saved for retirement at every age — and why the gap is growing

While the wealthiest 10% of American households have nearly $1 million saved for retirement, the typical family has just $87,000 — and half have even less, according to the Federal Reserve.

That gap matters. How much Americans have put aside varies by age, income, and access to employee-sponsored plans. Those differences determine whether retirement is comfortable or a financial struggle.

The Survey of Consumer Finances, conducted by the Federal Reserve every three years, provides the most reliable snapshot of where Americans stand. And while a new survey is underway, the latest data reflects both the comfortable nest eggs of top earners and the precarious position of average households.

Breaking it all down by age reveals the reality for most households — and why the gap between on-track savers and everyone else is widening.

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Why the ‘average’ can be misleading

Understanding retirement data means knowing the difference between average and median.

The average includes all savings across an age group, which means a small number of millionaires can inflate the number dramatically. The median shows what the typical household has saved. In many age groups, the average can be two to four times higher than the median.

That’s why the median is a clearer picture of how most Americans are actually preparing for retirement. The average still matters for understanding broader trends — especially among high earners with access to employer plans — but it’s the median that shows where the majority stands.

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The retirement savings gap by age

Here’s a look at the average and median retirement savings by age, based on NerdWallet’s analysis of the latest Federal Reserve Survey of Consumer Finances.

✅ Under 35

• Average balance: $49,100

• Median balance: $18,800

The average retirement balance for those under age 35 is about $49,100, but the median sits at just $18,800.

Young workers are often laying down financial foundations, paying down student loans while building emergency funds. Many also work jobs without retirement benefits, which slows early retirement planning.

✅ Ages 35 to 44

• Average balance: $141,500

• Median balance: $45,000

The average climbs to roughly $141,500 for ages 35 to 44, while the median reaches about $45,000.

This marks the first major leap in savings as careers stabilize and more workers get access to workplace plans. Even so, the wide gap between average and median shows how uneven savings habits are at this age — even as earning power grows.

✅ Ages 45 to 54

• Average balance: $313,200

• Median balance: $115,000

Savings accelerate during these peak earning years, with an average balance around $313,200 and a median of roughly $115,000.

Many workers are juggling mortgages, child care and other major expenses that compete with retirement contributions. Financial planners call this the “catch-up decade” — when savings finally begin gaining real momentum.

✅ Ages 55 to 64

• Average balance: $537,600

• Median balance: $185,000

Approaching retirement, the average balance jumps to roughly $537,600, while the median lags far behind at about $185,000.

This is a pivotal stage, and the gap shows how unprepared many households as retirement looms.

These years offer some of the greatest saving potential, but they also come with higher medical costs and pressure to support aging parents or adult children.

✅ Ages 65 to 74

• Average balance: $609,200

• Median balance: $200,000

Among households nearing or entering retirement, the average balance reaches about $609,200, with the median rising slightly to $200,000.

Many retirees work part-time or delay withdrawals until required minimum distributions (RMDs) kick in at age 73. Even so, the median balance can fall short of covering a retirement that spans 20 or 30 years.

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How private retirement data compares

The Federal Reserve offers the broadest national snapshot, but private firms like Fidelity and Vanguard also publish retirement reports based on millions of active 401(k) and IRA participants.

The numbers look better, but they tell a narrower story. Fidelity’s most recent data shows households saving an average $144,400 in 401(k)s and $137,902 in IRAs. Those figures only reflect households already enrolled in retirement plans, which means they exclude millions of Americans with no workplace savings at all.

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Why some workers fall so behind

Access to employer-sponsored plans is one of the strongest predictors of retirement readiness. Workers without a 401(k) or 403(b) — especially those in small businesses, part-time roles or gig work — save far less, even when they earn similar incomes.

Income volatility compounds the problem. Job changes, layoffs or gaps in health coverage force workers to stop contributing or dip into their accounts early. Rising costs for housing, child care and health care can derail retirement planning for years at a time.

For many Americans, consistent retirement saving doesn’t really begin until their mid-30s or later — once income stabilizes and early career pressures ease.

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What to do if you’re behind (or ahead)

These benchmarks offer useful guideposts, but they’re not pass-fail grades. Savings grow at different rates for different people, and many build most of their nest egg later in life. What matters most is consistent contributions, leveraging any employer match and adjusting your approach as your circumstances change.

Check in on your progress at least once a year — or after major life events, like a job change, marriage or a new home purchase. And when new survey data comes out every three years, revisit where you stand to make sure your strategy still aligns with your goals.

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Bottom line: Progress matters more than perfection

The median retirement balance reveals what these averages obscure: Most households are still playing catch-up. But retirement savings typically grow faster as income rises, and nearly everyone builds their nest egg gradually over decades — not all at once.

If you’re behind these benchmarks, you’re not alone — consistency matters more than perfection. Increase your contributions when raises or windfalls come through, capture your full employer match and check in on your plan regularly.

Bookmark this page for updates as new Federal Reserve and provider data becomes available.

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About the writer

Michael Kurko is a finance writer and editor who covers investing, real estate, personal budgeting and financial literacy. His expertise has been featured in FinanceBuzz, The Balance, Investopedia, U.S. News & World Report and Forbes Advisor, among other top financial publications. In addition to his work in finance, Michael is also a freelance book editor and fiction writer. He strives to make complex money topics clear and approachable so readers can make informed decisions and build lasting financial confidence.

Article edited by Kelly Suzan Waggoner

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