If You're 50 and Have More Than This Number in Your 401(k), You're Ahead of the Average

By the time you turn 50, you're hopefully in a more stable place financially than when you were younger. At that point, you may be earning a higher salary, and you may have less debt as a result.

But it's important to make sure you're on track for retirement, especially since you may only have a limited number of years left in the workforce. And part of that means assessing your 401(k) plan balance to see how you're doing.

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You may also find it helpful to know how much your peers have saved for retirement at this point. Here's what that number entails.

What the average 401(k) balance for 50-year-olds looks like

As of mid-2026, the average 401(k) balance among savers ages 50 to 54 was $215,700, according to Fidelity. So, if your 401(k) balance is higher, you're ahead of the game.

Now, $215,700 is not a particularly large amount of money over the course of what could be a 20-year retirement or longer. However, if someone aged 50 continues to contribute $500 a month to a 401(k) and their portfolio grows 8% a year (which is a bit below the stock market's average), they could end up with $1 million. That paints a more promising picture.

How to catch up on savings if you're behind

The nice thing about being 50 is that you're allowed to make catch-up contributions in a retirement plan. But the limit for 401(k) contributions this year for people under 50 is $24,500.

If your 401(k) balance is lower than the average for people your age at 50, it means you're probably not going to be able to take advantage of catch-up contributions. So, a better bet is to focus on making smaller changes that allow you to boost your savings rate modestly but meaningfully.

Start by assessing your spending. You may have a few expenses you can trim. From there, that saved money can go into your 401(k).

Next, see how your 401(k) is invested. If you're losing a lot of money to fees, you may want to shift into low-cost index funds.

Finally, make sure you're claiming your workplace match in full. Giving up even a small portion of your employer match means leaving free money on the table.

With changes like these, you may be able to get your 401(k) to a better place by the time retirement rolls around. And remember, there's also the option to work longer if necessary. So, if you find that you're unable to boost your savings rate in the coming years, that's something to fall back on.

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