Here is what the average worker has stored in a 401 (k)
When it comes to saving for pensions, everyone's situation is different. While a person can survive on a few hundred thousand dollars over decades, another person may need well over a million dollars just to make ends meet throughout the pension.
Therefore, you compare 401 (k) your balance to others' is to compare apples and oranges. That said, it's hard not to be curious about what your friends, neighbors, and coworkers have been saving for retirement.
401 (k) in gold letters
Image Source: Getty Images.
The average 401 (k) participant has about $ 92,000 stashed in a retirement account, a new report from the Vanguard found. But this figure is skewed by savers with a lot of money in their 401 (k), so a more narrative figure is the median amount of workers have saved – it's just $ 22,000.
Another important factor to consider when looking at these numbers is age. For example, a 25-year-old with $ 22,000 inventory is a good start, for example, but a 60-year-old with $ 90,000 may be in trouble. The Vanguard report also broke down average and median savings by age groups and found that the savings varied widely:
| Age | Average 401 (k) Balance | Median 401 (k) Balance |
|---|---|---|
| Below 25 | ] $ 4,236 | $ 1,427 |
| 25 to 34 | $ 21,970 | $ 8,126 |
| 35 to 44 | $ 61,238 | $ 22,123 |
| 45 to 54 | $ 115,497 19659014] $ 40,243 | |
| $ 40,243 | ||
| ] 55 to 64 | $ 171,623 | $ 61,739 |
| 65 and older | $ 192,877 | $ 58,035 Source link |
