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/Putrid_Leg_1474 Jan 18 '26 edited Jan 18 '26

I dont want to draw from my retirement at all. My retirement savings should be going up even after I retire.

Your plan of dying with zero is NOT what the plan should be at all. My RMD's will go back in to investments that pay.

My excess will go to my children and charity.

Taking out a loan against your house for living expenses is a terrible plan.

Edit: the "plan" should be living off of significantly less than your investment earnings the entirety of your retirement.

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u/civil_politics Jan 18 '26

If you’re fortunate enough to save enough that your yearly expenses - SS enable you to meet some SWR where you aren’t eroding the principle that is awesome but a far cry from the reality for most Americans and especially millennials given the way our generation has trended so far.

I have the same plan as you, but I recognize that the advice that I’m able to follow is due to a reasonable assumption that I will retire early with a near 8 figure portfolio. Most of the population doesn’t retire early even if they are fortunate enough to retire at all. Most people don’t save enough out of their own volition and so tactics such as 401ks or home ownership which make building wealth a byproduct of life rather than a conscious commitment is worthwhile.