How Much Should You Save for Retirement? (By Age Benchmarks)
By Jorge Sanchez · April 20, 2026 · 7 min read
Retirement Savings Benchmarks by Age
Fidelity's widely-cited guidelines (based on retiring at 67 with 45% income replacement from savings + Social Security):
| Age | Savings Target (× salary) | Example ($80k salary) |
|---|---|---|
| 30 | 1× | $80,000 |
| 35 | 2× | $160,000 |
| 40 | 3× | $240,000 |
| 45 | 4× | $320,000 |
| 50 | 6× | $480,000 |
| 55 | 7× | $560,000 |
| 60 | 8× | $640,000 |
| 67 (retire) | 10× | $800,000 |
How Much Do You Actually Need? The 4% Rule
The 4% rule: withdraw 4% of your portfolio in year 1 of retirement, then adjust for inflation each year. Research (the Trinity Study) shows this has historically lasted 30+ years in almost all market scenarios.
Or: Annual Retirement Spending × 25
Examples:
| Annual Spending Need | Portfolio Required (25×) |
|---|---|
| $40,000/yr | $1,000,000 |
| $60,000/yr | $1,500,000 |
| $80,000/yr | $2,000,000 |
| $100,000/yr | $2,500,000 |
Note: Social Security typically covers $15,000–$25,000/yr, so subtract that from your spending need first.
How Much to Save Per Month?
Assuming 7% annual return (real, inflation-adjusted):
| Start Age | Target: $1M at 67 | Target: $2M at 67 |
|---|---|---|
| 22 | $365/month | $730/month |
| 30 | $650/month | $1,300/month |
| 35 | $980/month | $1,960/month |
| 40 | $1,520/month | $3,040/month |
| 45 | $2,450/month | $4,900/month |
Starting at 30 instead of 22 nearly doubles the required monthly contribution. That's 8 years of compounding you can't get back.
2026 Contribution Limits
- 401(k): $23,500/year ($31,000 if 50+)
- IRA / Roth IRA: $7,000/year ($8,000 if 50+)
- SEP-IRA (self-employed): Up to 25% of compensation, max $70,000
- HSA: $4,300 individual / $8,550 family (triple tax advantage)
What If You're Behind?
- Catch-up contributions: At 50+, you can contribute $7,500 extra to your 401(k)
- Delay retirement: Every year past 67 lets your portfolio grow and reduces years needed
- Reduce retirement spending target: If you can live on less, you need less saved
- Maximize Social Security: Delaying from 62 to 70 increases your benefit by ~76%
- Part-time work in early retirement: Even $15,000/year in income dramatically reduces portfolio draw-down
401(k) Retirement Calculator
Project your retirement balance based on current savings, contributions, and expected return.
Calculate My Retirement →Jorge Sanchez · Live Event Production Specialist · CalQpro