How Much Do People in Their Late 50s and Early 60s Actually Have Saved for Retirement?

💰The average retirement savings for someone in their late 50s to early 60s is around $537,000.

🗝️The median retirement savings for this age group is $185,000, giving a more accurate view of typical savings.

📉The average is skewed by a small number of people with very large retirement accounts, so the median provides a clearer picture.

⏰Remember, retirement spending is not a straight line. It's higher in the beginning and may decrease later, so plan accordingly.

🌟Regardless of your current savings, it's never too late to start saving and planning for a secure retirement.

How much should I have saved by the time I'm 60?

—A general rule of thumb is to aim for 5 times your current income by age 60. However, this can vary depending on factors like retirement expenses, expected rate of return, and Social Security benefits.

What if I'm behind in saving for retirement?

—If you're behind, don't despair. Begin making changes today, such as cutting expenses and saving aggressively. Consider working longer, shifting your investment strategy, or developing additional income streams for retirement.

Are these savings numbers realistic for me?

—These numbers provide a general guideline, but everyone's situation is unique. Work with a financial professional to determine a realistic savings goal based on your individual circumstances and retirement plans.

How can I make up for lost time in saving for retirement?

—Start by creating a budget, cutting unnecessary expenses, and maximizing contributions to retirement accounts. Consider working with a financial advisor to develop a comprehensive plan that aligns with your retirement goals.

What if I can't save as much as recommended?

—Even small savings can make a difference. Start with what you can afford and increase your savings over time. Take advantage of employer matching contributions and explore other ways to grow your retirement savings, such as investing in low-cost index funds.

00:00This video discusses how much people in their late 50s and early 60s have saved for retirement.

03:50The average retirement savings for this age group is around $537,000, while the median is $185,000.

05:59A general rule of thumb is to aim for 5 times your current income saved by age 60.

08:36It's important to consider factors like retirement expenses, expected rate of return, and Social Security benefits when determining your savings goal.

09:59Even if you're behind in saving for retirement, it's never too late to start making changes and saving more.