What Are the General Guidelines for Saving for Retirement?

Whether you’re nearing retirement age or planning ahead, understanding general retirement savings guidelines can help you prepare for a financially secure future. It’s important to determine how much you’ll need for retirement and how much you should aim to save each year. Being aware of where your savings should be at key milestones in your life can help you stay on track and figure out sooner, rather than later, whether you are behind.

A financial advisor can also help you assess your retirement needs and goals, and then develop a plan to help you get there.

Retirement Saving Guidelines: How Much Do I Need?

One of the first steps in planning for retirement is determining how much money you will need to live comfortably once you retire. Experts often recommend aiming to replace 70-80% of your pre-retirement income to maintain your standard of living during retirement. 

However, the actual percentage may vary anywhere from 55% to 90% depending on, among other factors, your income. Lower-earning savers may need 90% of their pre-retirement income to cover retirement living expenses. On the other hand, people with higher incomes may require lower percentages for basic needs.  

For example, if you earn $70,000 annually before retirement, you are bringing in somewhat above the average income for 65-year-olds. In this case, you might aim for an annual retirement income equal to 75% of pre-retirement income. That would come out to around $52,500. 

Bear in mind, this is a projection based on a guideline. And this amount includes income from savings, investments, Social Security and other sources. The amount you’ll actually need in retirement savings will depend on your lifestyle, healthcare costs, retirement age, various sources of income and other factors. Online retirement calculators can help you determine a more personalized savings target based on these variables.

Retirement Saving Guidelines: How Much Should I Save?

Saving for retirement isn’t accomplished in a day. To reach a long-term retirement savings goal, you’ll need to consistently set aside a portion of your income throughout your working years. Financial advisors often recommend starting to save by about age 25 and putting away 15% of your annual pre-tax income for retirement, including employer contributions, such as a 401(k) match.

If you start saving in your 20s, saving 15% of your income could help you comfortably build up your retirement fund over time. However, if you start saving later in life, you may need to increase that percentage to make up for lost time.

You’ll also want to make sure to take advantage of tax-advantaged retirement accounts, which allow your investments to grow tax-free or tax-deferred. This will help your savings accumulate more quickly. Regularly reviewing your contributions and adjusting them based on your financial situation can also help ensure you’re saving enough for retirement.

For 2026, you can contribute up to $24,500 to a 401(k), 403(b), governmental 457 plan or federal Thrift Savings Plan. Workers age 50 and older can generally make an additional $8,000 catch-up contribution. Meanwhile, those ages 60 through 63 can make a higher $11,250 catch-up contribution. The IRA contribution limit is $7,500, plus a $1,100 catch-up contribution for those 50 and older. ¹

Retirement Saving Guidelines: How Much Should I Have Saved?

To stay on track, there are general retirement savings milestones you should aim to hit by certain ages. These benchmarks are based on recommendations from financial experts to help you save enough at different stages of your life. One widely used set of 2026 benchmarks recommends the following:

• Age 30: Aim for about one times your annual salary in retirement savings.
• Age 40: Aim for about three times your annual salary.
• Age 50: Aim for about six times your annual salary.
• Age 60: Aim for about eight times your annual salary.
• Age 67: Aim for about 10 times your annual salary.

For example, someone earning $100,000 at age 50 would have a benchmark of about $600,000 in retirement savings. At age 60, the comparable benchmark would rise to about $800,000 if income remained at $100,000.

These benchmarks serve as a general guideline, but your exact savings goals may vary depending on your personal circumstances. Important variables include your planned retirement age and any other income sources you expect to have in retirement.

5 Strategies to Save for Retirement

Saving for retirement requires careful planning and discipline. Here are some strategies to help you stay on track:

1. Set up automated savings. Many employers offer the option to automatically deduct a percentage of your salary into a 401(k) or similar plan. By automating your savings, you ensure that money is consistently set aside for your future without needing to think about it.
2. Use a retirement calculator. A retirement calculator can provide a personalized savings target based on factors like your current age, income and retirement goals. Using this tool allows you to adjust your savings plan and see how different variables, such as increasing your savings rate or delaying retirement, could affect your retirement nest egg.
3. Increase contributions over time. As your income increases over the years, consider raising the percentage of your income that goes toward retirement savings. This can help you maximize your retirement contributions, especially during peak earning years. Some retirement plans allow for automatic contribution increases, making it easier to boost your savings over time.
4. Update your retirement plan regularly. Life changes, such as getting married, having children or changing jobs, can impact your retirement goals. It’s a good idea to review and update your retirement plan regularly to ensure that you’re on track. Meeting with a financial advisor can also help you reassess your goals and make adjustments based on your evolving needs.
5. Take advantage of employer matching. If your employer offers a 401(k) matching program, contribute enough to take full advantage of it. Employer matches are essentially free money that can significantly boost your retirement savings. If possible, aim to contribute at least enough to receive the full match, as it can make a big difference in the long term.

What to Do If You Are Behind on Retirement Savings

If your balance falls below an age-based benchmark, start by calculating the gap between what you have saved and what your target is. For example, let’s say you earn $100,000 at age 50 and have $400,000 saved. The six-times-income benchmark would put your target at $600,000, leaving a $200,000 gap. This does not mean you have make up the entire difference immediately, but it gives you a specific amount to plan around and aim for.

Next, review how much of your income is currently going toward retirement. If you’re saving less than the 15% guideline, increasing your contribution rate by one or two percentage points at a time can move you closer to the target. Raises and bonuses can also provide opportunities to increase contributions without reducing your existing take-home pay as sharply.

Workers age 50 and older can also use catch-up contributions to put more into tax-advantaged accounts. In 2026, eligible workers age 50 and up can contribute up to $32,500. That increases to $35,750 for workers ages 60 through 63.

You can also revisit your planned retirement age. Working longer gives your existing savings more time to grow and allows you to make additional contributions. It also reduces the number of years your portfolio needs to support you. Plus, delaying Social Security can increase your monthly benefit up to age 70.

Bottom Line

Saving for retirement is a lifelong project, and starting early can make a significant difference in how much you’ll have saved. By following savings guidelines and staying disciplined, you can feel confident you’re on the right path. Regularly reviewing your progress, making adjustments as needed and utilizing strategies like automated savings and employer matches will help you reach your retirement goals.

Tips for Retirement Planning

• If you want to create a retirement plan, a financial advisor could help you identify investment opportunities and manage risks. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with financial advisors in your area. From, there you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
• SmartAsset’s Social Security calculator could help you estimate how much your monthly benefit payment will be when you retire.

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