Average 401(k) Balance in Your 50s: How Do You Compare?

Your 50s are often considered the most important decade for retirement savings. Income is usually at its highest, kids are typically grown, and mortgages are coming off, allowing you to put away more money.

But for some, your 50s are also when savings gaps become impossible to ignore. Let’s look at typical retirement account balances for individuals in their 50s, how those balances measure up, and what you can do if you’re behind.

Typical 401(k) Balances in Your 50s 

Different sources report varying numbers because they’re measuring distinct populations.

Transamerica, for example, reports a median retirement account balance of $112,000 for middle-income workers in their 50s—specifically, households earning between $50,000 and $199,999 annually.

Empower, which provides retirement plans to almost 5 million Americans, reports a higher median 401(k) balance of about $253,000 for savers between ages 50 and 59, with an average of about $635,000.

For the broadest picture, an Investopedia analysis of the Federal Reserve’s 2022 Survey of Consumer Finances, which captures all retirement account types across all income levels, shows a median balance of $162,000 for households headed by someone between the ages of 50 and 59.

Why 401(k) Comparisons Are Complicated

No single balance is “normal” for Americans in their 50s. Your balance reflects decisions and circumstances accumulated over decades.

• When did you start saving?
• How much were you putting away and how consistent were you?
• Did you get an employer match and did you leave any on the table?
• Have you changed jobs and rolled over balances?
• Did you have other financial commitments, such as college savings or health insurance premiums?
• Do you have access to other retirement savings, like a pension?
• How have market returns averaged over your period of saving?

Are You on Track?

Here are Fidelity’s retirement savings targets:

• 6x your salary by age 50
• 7x your salary by age 55
• 8x your salary by age 60

If you’re making $80,000 a year at age 50, you should strive for $480,000 in your retirement account. If you’re making $100,000 a year at age 55, you should have saved $700,000.

Most people in their 50s fall well short of those targets. However, Fidelity’s savings milestones are based solely on the 401(k). Social Security, IRAs, nonretirement savings, and pensions can help fill in the gaps.

In addition, these figures don’t count your home. A recent National Institute on Retirement Security analysis of Census data found that American workers have saved just 4% of what retirement guidelines recommend in their 401(k)s and IRAs. Include the house, and they’re at 41%.

Behind, On Track, or Ahead—Now What?

Below median: Don’t panic. You’re among the many Americans who fall below our aspirational retirement savings targets. You just need to start taking action, and your 50s are a great time to catch up.

On track: If you can increase your contributions by even a small amount, those small increases compound significantly over a decade.

Above average: You have more than most of your peers. Now it’s time to make sure you’re taking steps to keep your savings as tax-efficient and flexible as possible for when you retire.

Three Moves Worth Making in Your 50s

If you find yourself behind, there are ways to improve your savings before retirement.

First, take advantage of catch-up contributions if you can. In 2026, the IRS 401(k) catch-up contribution limit for individuals ages 50 and older is $8,000, bringing the total contribution limit to $32,500 ($24,500 standard limit plus $8,000). If you have an IRA, a catch-up contribution of $1,100 is allowed, bringing the total maximum annual contribution to $8,600.

Next, make sure you’re contributing enough to get any employer match. It’s free money—do your best to take it. If you aren’t already maxing out your IRA contributions outside of your 401(k), consider doing so.

Finally, revisit your asset allocation—you likely need less equity exposure than you did at 30. And try not to tap into your retirement savings early. Avoid early withdrawals: anything before 59½ triggers a 10% penalty plus income taxes.