Retirement Retirement Planning

How Much Should You Have in Your 401(k) at 60? The Average Balance Might Concern You

These numbers may surprise you.

By Catherine Collins , Edited by Laura Hohenstein

Updated May 12, 2026

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For many people, reaching their 60s suddenly makes retirement feel much closer. No longer is retirement a faraway concept that you save for one day. Rather, once you turn 60, retirement is likely just a few years away. However, many Americans wonder whether or not they're on track with their retirement savings.

Recent data from Fidelity shows that average 401(k) balances have increased compared to previous years. However, many workers still fall short of the recommended balances by age. Here is more information about how much experts suggest you have in your 401(k) retirement plan by this point in your life.

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The average 401(k) balance for all American workers

According to data from Fidelity, the average 401(k) retirement balance for all Americans is $146,400, and the average IRA balance is $137,095. This number represents the average for workers of all ages as of Q4 in 2025. So, that includes all generations from Gen Z through Baby Boomers. It also represents an increase of 11% from Q4 2024.

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The latest 401(k) balance data for workers in their 60s

When you look at the data specifically for workers in their 60s, the numbers tell a different story. The average 401(k) balance for employees in their 60s is $249,300, and the average IRA balance is $257,002. Given that many people retire from their jobs in their 60s, these numbers are a bit concerning. After all, many financial experts recommend that people save more than this in order to comfortably retire.

How much experts recommend you save to successfully retire

Fidelity recommends having eight times your current salary saved by age 60. By that measure, a person earning $65,000 per year should aim to have $520,000 saved, and a person earning $100,000 should have $800,000 in retirement savings. That means that many Baby Boomers, unfortunately, have not saved enough in order to comfortably retire and maintain the lifestyle they had while working.

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Why 401(k) averages may be misleading

If you want to know how you compare against other 401(k) account holders in your age bracket, looking at the median 401(k) balance is likely a better indicator than the average 401(k) balance. That's because average 401(k) balances include those with extremely high balances, which can skew the numbers.

For example, data from Empower shows the average 401(k) balance for someone in their 60s is $576,755, while the median is $187,249, a much lower number. That means that more likely than not, most employees have a 401(k) retirement savings somewhere below the average reported.

What to do if you have a retirement savings gap

If you have a gap between what experts say you need in retirement versus what's in your account, there are a few ways to fill a retirement savings gap. The first and most common way is to factor in Social Security checks. While Social Security was not meant to fund retirement completely, it can be an important additional stream of income.

Another option is to work part-time or develop a business income stream. In fact, research shows one in eight retirees plan on returning to work. Some retirees plan on returning to work full-time, while others consider part-time work.

Take advantage of "Super Catch-Up" Contributions from age 60 to 63

Workers age 60 to 63 can take advantage of a "Super Catch-Up" contribution. This allows workers to contribute an extra $11,250 annually in addition to the $24,500 401(k) maximum. Those who are able to fully take advantage of this benefit can contribute a total of $35,750 to their 401(k), which can give a retirement portfolio a much-needed boost.

One caveat is that those who make over $150,000 per year must make catch-up contributions as Roth contributions, which is a new policy as of 2026. So, that means high earners will not be able to lower their taxable income using 401(k) catch-up contributions as they have in previous years.

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Where to get advice about your retirement strategy

If you feel behind on your retirement plan, one option is to get advice from a financial planner. A financial planner can review your 401(k) progress thus far and make recommendations on how to maximize your final years of working. Additionally, a financial advisor can provide important advice about your withdrawal strategy to ensure you don't get a tax bill that's bigger than you expect in retirement.

Bottom line

The data shows that many people in their 60s are behind on their retirement savings. However, age 60 to 63 is also the time when workers can take advantage of catch-up contributions. Using catch-up contributions combined with other income streams like Social Security can help many workers achieve the stress-free retirement they've been dreaming of for years.

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