Fidelity Sets 401(k) Targets at 1x Salary by 30 and 10x by 67
Updated
Updated · AOL · Sep 1
Fidelity Sets 401(k) Targets at 1x Salary by 30 and 10x by 67
3 articles · Updated · AOL · Sep 1
Summary
Fidelity said workers should aim to hold 1 times salary by age 30, 3 times by 40, 6 times by 50, 8 times by 60 and 10 times by 67.
Empower data in the report showed typical balances trail headline averages: median 401(k) savings were $44,627 in workers' 20s, $81,314 in their 30s, $160,899 in their 40s, $252,501 in their 50s and $191,372 in their 60s.
Average balances were far higher—reaching $642,696 in workers' 50s before slipping to $582,546 in their 60s—because large accounts skew the mean upward.
Fidelity said the benchmarks are only a guide because retirement income can also come from Social Security, IRAs, HSAs, rental income or businesses, while workers aged 60 to 63 can add $11,250 in super catch-up contributions.
Can employer match, super catch-up contributions, and avoiding early withdrawals realistically rescue workers who are behind Fidelity’s retirement benchmarks?
If median 401(k) balances trail far behind averages, what does that reveal about who is truly prepared for retirement in 2026?
Are Fidelity’s 401(k) age targets useful reality checks—or misleading shortcuts if your real retirement picture includes Social Security, IRAs, taxes, and spending needs?