Average 401(k) Balance by Age

The average 401(k) balance increased by 10% compared to the previous year, suggesting that Americans are setting aside more for retirement and their account balances are growing.

» Calculate your future balance with our 401(k) calculator

Average 401(k) balance by age

Averages can be helpful, but outliers (very high or very low balances) tend to skew the number. The median often gives a more accurate view of a data set. Vanguard's median balances are quite a bit lower than the averages.

» MORE: How to choose a financial advisor to help with retirement planning

Breakdown of average 401(k) balances by age group

Under 25

• Average 401(k) balance: $6,899

• Median 401(k) balance: $1,948

Many of the participants in this age group are new to working and new to saving for retirement. Yet even at this age, it’s a good rule of thumb to prioritize contributing to your workplace retirement plan, especially if your employer matches a portion of your contributions.

These numbers don’t reflect what younger investors may have saved elsewhere, in taxable brokerage accounts or individual retirement accounts, such as Roth or traditional IRAs.

Age 25-34

• Average 401(k) balance: $42,640

• Median 401(k) balance: $16,255

At this point, whether measured by the average or the median, participants have increased their balances quite a bit. As people age and spend more time in the workforce, they’re more likely to hold more than one 401(k), especially if they’ve changed jobs without rolling over or combining accounts.

Age 35-44

• Average 401(k) balance: $103,552

• Median 401(k) balance: $39,958

Another solid jump by this age range, with both figures more than doubling — the last time we’ll see a percentage jump that large between age ranges. That’s likely at least partially a product of peak earning years. According to compensation research company Payscale, women hit their peak earnings on average at age 44. For men, that age is 55^[0]

Age 45-54

• Average 401(k) balance: $188,643

• Median 401(k) balance: $67,796

This group has hit the age at which catch-up contributions begin to be allowed by the IRS. In 2025, participants age 50 and older can contribute an additional $7,500, and those age 60 to 63 can contribute an extra $11,250^[0]

Age 55-64

• Average 401(k) balance: $271,320

• Median 401(k) balance: $95,642

Growth has slowed here, which makes sense, as people may start to withdraw the money they've been saving for retirement.

After this age group, 401(k) balances can begin to fall, or at least grow at a slower pace, as even more people start tapping their accounts.

Age 65+

• Average 401(k) balance: $299,442

• Median 401(k) balance: $95,425

People in this cohort may begin withdrawing money or pivot more of their investments to cash, both of which may decrease balances or flatten growth.

» Learn more: How much should I contribute to my 401(k)?

How many people have over $1 million in their 401k?

Of the 54.3% of U.S. households that have any money in retirement accounts, only about 5% have $1,000,000 or more in retirement savings such as 401(k)s or individual retirement accounts (IRAs)^[0]

» MORE: How to use your 401(k) to do a mega backdoor Roth

How long will $500,000 in 401(k) last at retirement?

Determining how long a $500,000 401(k) balance will last isn’t an exact science. There are many variables at play — investment returns, inflation, unforeseen expenses — and all of them can dramatically affect the longevity of your savings.

» How long will your savings last? Try our free calculator

Average 401(k) contribution rates

People contribute 12% of their pay to 401(k)s on average, including matching employer contributions. The median contribution rate is 11.5%^[0]

If you want to beef up your account balance, one way to do it is to contribute at least enough to get the employer match if there's one offered. Another is to evaluate your 401(k) plan regularly and increase your contributions over time.

Average 401(k) match

• The average employer match is 4.6% (the median is 4%), according to Vanguard.

• Most plans (68%) follow a single-tier match formula, which means the employer matches a specific amount on a set percentage of pay. For example, the employer might contribute 50 cents for every dollar the employee contributes on the first 6% of the employee's pay.

What to know about average 401(k) balances

Information about average 401(k) balances can generally speak to how workers are doing when it comes to saving for retirement, but it does little to help you analyze your own situation. It’s also limited to people who have a defined contribution plan at work, and not everyone does.

A better approach to benchmarking your efforts: A retirement calculator, which will give you a more personalized recommendation for how much you’ll need at the end of the line. (If you don't think you're saving enough, you might find our guide to retirement planning helpful.)

You may or may not want to put all your retirement eggs into a 401(k) basket. Should you max out your 401(k)? Maybe. But it isn't the best choice for everyone. Once you’ve earned your employer match, there can be benefits to spreading your money around among other retirement accounts, such as an IRA, before returning to max out your 401(k) contribution.