Median 55-64-year-old holds $205,341, just 13% of the $1.6 million retirement goal for 2025.
Charles Schwab’s latest survey sets the 2025 retirement savings target at $1.6 million, down from $1.8 million in 2024, but the median 55-64-year-old has only $205,341 saved. The gap highlights persistent underfunding despite rising disposable income.
Personal savings rates fell to 3.7% from 6.2% as spending outpaced earnings growth. Workers who contributed continuously for 15 years averaged $613,200, underscoring the impact of long-term investing. Fidelity’s Q4 2025 data shows average 401(k) balances at $146,400 and IRAs at $137,095, though medians remain far lower.
The disparity reflects broader savings challenges, with high earners skewing averages upward while most savers lag behind retirement benchmarks.