Is your 401(k) balance above average? Find out if you’re outperforming most savers

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We all know that comparing ourselves to others can be a slippery slope, but when it comes to retirement savings, it’s hard not to ask yourself: Am I better or worse than the average saver? Checking where your 401(k) balance is can give you an idea, but remember: Your retirement is its own journey and no two paths are the same.

According to Vanguard’s How America Saves report, the average 401(k) balance in their accounts was $38,176 based on September data.

On the other hand, the average balance is much higher, $148,153, according to the same report. Before you start celebrating (or panicking), remember that averages can be skewed by those with particularly large or small balances.

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The difference between the median and the average is simple: The median shows the middle saver, while a few million-dollar accounts could raise the average. So if you fall somewhere between these numbers, you’re probably in line with many other savers.

20 years (under 25):

Median: $1,948 | Average: $6,899

30 years (25-34):

Median: $16,255 | Average: $42,640

40 years (35-44):

Median: $39,958 | Average: $103,552

50 years (45-54):

Median: $67,796 | Average: $188,643

60 years (55-64):

Median: $95,624 | Average: $271,320

65 years and older:

Median: $95,425 | Average: $299,442

If you’re behind these numbers, don’t worry too much: there’s still time to catch up.

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Saving for retirement is not a short career; It’s more of a marathon. Even if you’re not exactly where you’d like to be, there are steps you can take to increase your savings and feel more secure about your future.

1. Automate contributions

The easiest way to ensure you save consistently is to automate it. Set up direct contributions from your paycheck to your retirement account. This way, you won’t even have to think about it. Automation helps you meet your retirement savings goals by making saving part of your normal routine.

2. Increase your contributions

Try to increase it annually as you feel comfortable with your current contribution rate. Even a small 1% increase can make a big difference over time. Automatically scaled contributions ensure your savings rate grows with your income without manual adjustments.

3. Maximize employer match

If your company offers a 401(k) match, make sure you contribute enough to get the full benefit. This is free money: essentially a 100% return on the portion your employer matches. It’s one of the best ways to increase your retirement savings.

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It may be tempting to seek big returns by investing in high-risk investments, but that strategy can backfire. It’s best to treat retirement savings with patience.

Whether your balance is above or below average, it’s important to consider your financial goals. Saving for retirement isn’t a competition – it’s about ensuring you’re prepared for the lifestyle you want.

It might be worth speaking to a financial advisor if you’re not exactly where you want to be with your savings or just want to make sure you’re on the right track.

Editor’s note: Benzinga previously reported on some elements of this story, which has been updated to reflect current data.

Editor’s note: Some elements of this story were previously reported by Benzinga and have been updated to reflect current statistics in 2025.

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This article Is Your 401(k) Balance Above Average? Find out if you’re outperforming most savers originally appeared on Benzinga.com