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The Average Net Worth of Americans at 55, And The 5 Assets Separating the Comfortable From the Struggling

Find out how your net worth compares to what peers have saved.

By Chris Kissell , Edited by Laura Hohenstein

Updated Nov. 10, 2026

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Your 55th birthday is a great time to take stock of where you stand financially.

Odds are good that you are still working, but retirement is right around the corner. Now is the time to ensure you are prepared for your golden years.

Find out how your net worth compares to others in your age group, and learn about the assets that separate the comfortable from those who struggle.

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How much have 55-year-olds typically saved?

The average net worth of U.S. families headed by someone ages 55 to 64 is about $1.57 million, according to the Federal Reserve's latest Survey of Consumer Finances.

If you have fallen short of that benchmark, there are two good reasons not to panic. Because the data covers a 10-year age range, it does not reveal the average specifically for people who are exactly 55.

More importantly, the richest 55-year-olds in America skew the average much higher. So, "average" is not the most realistic gauge of how much the typical person this age really has saved.

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What is the median net worth of a typical 55-year-old?

By contrast to the average, the median measures the precise midpoint in a dataset. That means half the values are above that number, and half below.

According to the Federal Reserve, the median net worth of U.S. families headed by someone ages 55 to 64 is $364,500. That figure may provide a more realistic comparison point, although the amount you need depends on your expenses, debt, retirement plans, and other circumstances.

If you are below that figure, you may want to review your savings rate, debt, and expected retirement expenses.

What separates the comfortable from those who struggle?

Everybody's financial journey is different, but there are some common characteristics that separate those who are comfortable from those who struggle to get ahead.

People who have a solid financial foundation often have the following assets.

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1. A lot of home equity

A home is likely the biggest purchase you will ever make. Having substantial equity in your home can put you in a stronger financial situation.

Paying off your mortgage completely is even better, as it eliminates your biggest source of debt as your golden years begin.

If your home is paid off, you may not need quite as large a pool of savings to see you through your golden years.

2. Large retirement savings

A large nest egg can make the difference between fully enjoying retirement and merely getting by.

Fidelity suggests aiming to save about seven times your annual income by age 55, although the appropriate target can vary depending on your retirement timeline and financial goals.

$50,000: $350,000
$100,000: $700,000
$150,000: $1.05 million

If you are behind this guideline, consider increasing your contributions where possible and reviewing your retirement strategy.

3. Freedom from high-interest credit card debt

High-interest credit card debt is like an anchor that keeps you tied down during retirement.

Compounding may help investments grow over time, but it can also cause high-interest credit card balances to grow quickly. So, try to eliminate all credit card debt before you enter retirement.

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4. Investments outside retirement accounts

The federal government places caps on how much you can contribute annually to retirement accounts such as IRAs and 401(k) plans.

Those who are really doing well max out on these contributions, then look for other places to put their additional money.

After contributing to retirement accounts, some households may also build assets in taxable brokerage accounts, health savings accounts, or college savings plans.

Having money in various types of accounts also provides you with more flexibility, which is another hallmark of financial success.

5. A real emergency fund

Financial emergencies appear when you least expect them. And while you cannot forecast their arrival, you can prepare for them well in advance.

People with strong money habits have built an emergency fund of savings that can see them through tough times.

Experts typically recommend that you keep enough money in this account to cover the cost of your expenses for at least three to six months.

With a solid emergency fund, you will not need to turn to high-interest credit cards to get you out of financial jams.

Bottom line

At the end of the day, achieving the right net worth at age 55 isn't about hitting one magic number. This doesn't have to be a perfect process.

Building a modest, diversified net worth while paying down debt may put you in a stronger position than reaching a larger number that is concentrated in an asset you cannot easily access.

In short, your retirement goals may differ from those of your neighbor, and that is OK. If you need more guidance, consider meeting with a financial advisor for professional advice.

FAQs

How do I calculate my net worth?

Add up everything you own, then subtract everything you owe. Assets include cash, bank accounts, retirement accounts like 401(k)s and IRAs, brokerage balances, your home, vehicles, and any business equity. Liabilities include your mortgage, credit card balances, auto loans, and student loans. The number left over is your net worth. It can be negative, which is common for younger adults carrying student debt, and it is a snapshot rather than a measure of income.

Does home equity count toward your net worth?

Yes, your home's market value counts as an asset and your remaining mortgage balance counts as a liability, so the equity between them is part of your net worth. For most households in their 50s and 60s, home equity is the single largest piece of the total. The catch is that equity is not liquid the way an investment account is. Reaching it generally means selling, downsizing, or borrowing against it, which is why some planners also track investable net worth with the house excluded.

Can you take money out of a 401(k) at 55 without a penalty?

Sometimes. Under what is commonly called the rule of 55, if you leave your job during or after the calendar year you turn 55, you can take distributions from that employer's 401(k) or 403(b) without the usual 10% early withdrawal penalty. You still owe regular income tax on whatever you take out. Two limits matter: it only applies to the plan at the job you just left, not to old employers' plans or IRAs, and if you roll that money into an IRA you lose the exception permanently. Some plans also only allow a single lump sum rather than partial withdrawals.

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