This Is the Average 401(k) Balance for Ages 35 to 44

Being proactive with retirement savings is one of the best ways to ensure you're financially prepared to take on your golden years with as little stress as possible. That's why ages 35 to 44 can be a crucial period for retirement savings; it gives your savings more time to grow and compound.

During those years, many Americans have jobs that offer a 401(k), the country's most popular retirement account. There's no set amount you should have, but having a sense of what people have saved within your age range can help you gauge your progress and set future goals.

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Based on Vanguard's How Americans Save 2024 report, the average 401(k) balance for someone aged 35 to 44 is $91,281. The median balance at that age range is $35,537.

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How much should someone save for retirement?

How much you need for retirement varies because location, retirement plans, and overall lifestyle all vary from person to person.

That said, one rule of thumb has been around for a while, called the "80% rule." The 80% rule says you should aim to have 80% of your last working year's income annually in retirement to maintain a similar lifestyle.

For example, if you made $100,000 in your last year working, you'd aim to have $80,000 annually if you wanted to maintain your lifestyle. If you want to downsize your lifestyle, you can lower the percentage and vice versa.

The 80% rule isn't perfect and shouldn't be taken as an absolute. However, it's a good baseline to start at to determine what your retirement savings goal should look like.

This income doesn't all have to come from your 401(k), either. Ideally, you have other sources of retirement income, such as investments in a brokerage account, IRAs, and Social Security.

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