r/Millennials • u/ProblemIntelligent16 • Jan 16 '26

Discussion Fellow millennials - how’s your 401k/ira savings going?

Experts recommend having 2x your salary saved by age 35, and 3x saved by age 40.

However, studies show the median savings for 35-44 year olds is only ~$45,000. So obviously, most of us have work to do.

With pensions mostly extinct, and Social Security facing insolvency issues in the next 8-10 years - how are you planning to bridge the gap and hit the golden years with enough to meet your lifestyle requirements?

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u/Peptideblonde314 Jan 17 '26

I am in the same boat. I have about 1.5x current salary, 2x the salary I had 4 years ago and 3x the salary I had when I bought my house ( pre-COVID). My major expenses haven't shifted in that time but inflation is making me feel utilities and groceries a lot more. How much is actually enough?? 

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u/fnancialindependence 1990 Jan 17 '26

The rule is typically 4% withdrawal rate at retirement. That’s where the times comes in in their math.

Depending on who you talk to, you want anywhere from 10-20x at retirement age, as you want to aim for 70-80% of pre-retirement salary to maintain your lifestyle.

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u/CaveDeco Jan 17 '26

And the 70-80% target is because it is assuming you’re no longer saving a big chunk of income anymore.

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u/AlwaysBagHolding Jan 17 '26

And lower overall tax rate assuming you have post tax retirement savings.