Here's the Net Worth of the Average Retiree (How Do You Compare?)

If you're feeling anxious about your retirement savings and find yourself playing the comparison game when it comes to finances, know that you're not alone. According to a national opinion poll in 2024, over 50% of Americans reported feeling concerned about security in retirement. When considering your "net worth," understand that this term encapsulates more than just your savings; this includes all of your personal assets, like investments, property, and equities.

When looking at statistics, understand that the median retirement savings are often more helpful and realistic than the "average." Not only are these numbers attainable, but they should make you feel more confident in entering your golden years and set you on the right track to build wealth.

According to data from the Federal Reserve Board's Survey of Consumer Finances, the average net worth for retired persons aged 65 to 74 is $1,794,600.

However, the median is $409,900, which is a more realistic figure. If you are over the age of 75, your average net worth is $1,624,100, while your median net worth is $335,600.

When calculating your net worth, remember that it includes more than just the cash in your bank account.

Your home, pensions, investments, car, and other real estate play a major role in making up your net worth, including intangible objects like trademarks or patents. You can either calculate this yourself or pay a personal financial management company to do it for you.

If you're looking to increase your net worth during retirement, there are a few solutions you can try that don't involve taking on a part-time job. One option is to downsize your home, which can not only make life easier but also save you cash in the end.

Another option is to reduce your debt or liabilities, things as car loans and credit card balances. You can also opt to delay Social Security, which will increase your eventual monthly income when you begin taking the benefits.

If your net worth is below the average for your age group, there is no need to panic over your finances. Note that while the average is every income together divided by the count, the median is the middle value when the incomes are listed smallest to largest.

While there may be a few individuals with high net worths, which can drive the average to the millions, the median remains in the hundreds of thousands. Chances are, you're closer to the median than the average, and these numbers are much more realistic and accessible.

If you're active on social media, you may have noticed creators posting about their "super-saving" habits and how they add to their retirement funds, making it look way simpler than it actually is.

In reality, a lot of these individuals are influencers being paid to make their content. Realistically, their saving methods are not going to be those of the average person. It's important not to play the comparison game and do what works best for you and your situation.

If you're in your early 60s and you're still working, you could benefit from the "super catch-up" contribution limits, which allow older employees to set aside more money towards retirement funds like their 401(k).

As of 2025, employees who turn 60 to 63 can put aside an additional $11,250 more than the typically allotted $23,500 towards their 401(k) or other retirement funds, depending on your specific plan. Traditional IRA and Roth IRA deposits are limited to $7,500 for the year.

If you are someone who enjoys working, starting a part-time job or consulting firm could be a wonderful way to boost your savings while giving you the opportunity to do what you love. You don't even have to stay in the same field as your previous career.

You can use this time as an opportunity to explore other industries you've never had the chance to try, such as retail, finance, transportation, or education. This way, you can also delay your Social Security benefits, which will help you accumulate more money in the long run.

While planning and saving for retirement may be overwhelming, know that it's never too late to start. According to a survey by Clever, 57% of retired Americans wished they had started the process sooner.

Whether you decide to pick up a small part-time job or downsize your home, you should feel reassured in the fact that you aren't alone in this predicament. It's essential to avoid the comparison game and opt for what works best for you, your family, and your financial situation.