Retirement Retirement Planning

Here's the Average 401(k) Balance of 72-Year-Old Americans (How Do You Compare?)

If you're 72 and relying on your 401(k), here's what the latest data shows about average balances.

By Kristin Hitchcock

Edited by Calista Headrick

Updated Jan. 29, 2026

By the time you reach your early 70s, your relationship with money usually changes. You're less focused on building and more focused on making what you have last. For many Americans, a 401(k) is still a central piece of that picture, even if it isn't the only one.

If you're 72 and wondering how your savings stack up, understanding the averages can help you set yourself up for retirement with clearer expectations and fewer surprises.

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The average 401(k) balance at age 72

Most 401(k) data is grouped in broad age bands rather than single years. According to Fidelity's latest retirement analysis, people in their 70s typically have an average of $250,000. The median balance is likely to be much lower, though, as a few very wealthy households pull the average up.

The gap between these numbers is important. The average person is likely to be far below the average, while a few individuals are probably very far above it.

If your balance is far below the average, it doesn't necessarily mean you're behind, especially if you have Social Security and other savings.

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Why the median number matters more than the average

When it comes to retirement savings, the median often tells a more honest story than the average.

A small percentage of retirees have very large 401(k) balances, and those accounts can skew the average upward. The median shows the midpoint: half of people have more and half have less. For people in their 70s, that median figure suggests many retirees are living on far less than the headlines imply.

This is also why comparing yourself to a single number can be misleading. Your lifestyle, health, housing costs, and family situation all matter just as much as your account balance.

How 72-year-olds typically use their 401(k) money

At 72, most retirees are no longer in "growth mode." Instead, the focus usually shifts to covering everyday living expenses, supplementing Social Security, paying for health care, and preserving enough savings for later years.

Some people take steady monthly withdrawals. Others use their 401(k) more like a backup fund, pulling from it only when expenses spike. There's no single right approach, but the goal should be stability, not necessarily aggressive growth.

Required minimum distributions (RMDs) start to matter

One big financial milestone at 72 is required minimum distributions, or RMDs.

The IRS required you to start taking money out of most tax-deferred retirement accounts at 73, including traditional 401(k)s. The amount is based on your account balance and life expectancy. These withdrawals also count as income, triggering income taxes.

Even if you don't need the cash, you still have to take the distribution or face steep fines. This can affect your tax bill and even how much of your Social Security is taxable.

How your balance compares doesn't define your retirement

It's easy to look at average numbers and feel either relieved or worried. But a 401(k) balance by itself doesn't tell the whole story. Retirees vary a lot at age 72. Some own their own home, receive a pension or other guaranteed income, have sizable savings elsewhere, or live in very low-cost areas.

These individuals don't necessarily need a large 401(k) balance. Two people with the same 401(k) balance can have completely different levels of financial comfort depending on their situation.

What really determines whether your savings are "enough"

At this stage of life, the better question often isn't "How do I compare?" but "How long might my money need to last?" Factors that matter more than averages include:

Your monthly spending needs
Your health and potential care costs
Whether you have a spouse who also depends on the savings
How much guaranteed income do you receive each month

A smaller balance can still work if expenses are low, and there are other income sources. A larger balance can still feel tight if costs are high and unpredictable.

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If your balance is lower than you hoped

If your 401(k) balance is below the average, you're far from alone. Many Americans reach their 70s with more modest savings than they expected.

At this point, the most impactful moves are usually about:

Tightening up spending where possible
Being strategic about when and how much you withdraw
Coordinating withdrawals with Social Security and other income
Avoiding unnecessary taxes and penalties

Even small adjustments to spending or timing can make a noticeable difference from year to year.

Bottom line

By age 72, the average 401(k) balance is about $250,000, but the typical retiree has much less than that. Those numbers can provide helpful context, but they don't determine whether your own situation is secure. What matters is how your savings and income sources work together to support your expenses.

Don't forget: required minimum distributions increase as you age, which means your taxable income can rise even if your spending doesn't. That makes it especially important to think about how well you've prepared for retirement and whether your withdrawal strategy still makes sense for both your budget and your taxes.

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