How Much Should You Save for Retirement by Age?
Fidelity says 1x salary by 30, 3x by 40, 6x by 50. But these benchmarks hide important nuances.
The Fidelity benchmarks (1x salary at 30, 3x at 40, 6x at 50, 10x at 67) are the most widely cited retirement savings targets. But blindly following them can be misleading.
Why the Benchmarks Exist
They assume: 15% savings rate starting at 25, 67 retirement age, moderate investment returns, spending 55-80% of pre-retirement income in retirement. Change any assumption and the numbers shift dramatically.
The Real Calculation
What matters is not a multiple of salary — it is a multiple of SPENDING. Retirement spending × 25 = your number (the 4% rule). Salary is a poor proxy because two people earning $100,000 might spend $40,000 or $90,000. The frugal one needs $1M. The spender needs $2.25M.
By Age (If Starting at 25)
Age 30: 1x annual EXPENSES saved. 35: 2x. 40: 4x. 45: 7x. 50: 11x. 55: 16x. 60: 21x. 65: 25x (FIRE number reached). These are aggressive but achievable with a 20-25% savings rate and 7-8% returns.
Behind? What to Do
40 with zero saved? Not ideal but not hopeless. Saving 25% from 40-65 at 8% returns still builds 15-18x expenses. The best time to start was 20 years ago. The second best time is today.
Calculate your retirement target with our FIRE calculator, track progress with net worth calculator, and optimize with the 401(k) calculator.