10 Signs You’re Doing Better Than the Average American Over 50

Most people wonder where they stand financially as they approach their 50s. And if you’re feeling unsure about your money moves, you’re not alone. However, you may be doing better than you think.

Are you on track for a secure retirement? Do you need to make adjustments to your budget? If you check off multiple boxes on this list, you’re likely in a stronger financial position than the average 50-year-old.

The median salary for Americans ages 55 to 64 is $65,936 annually, according to data from SmartAsset. If your income surpasses this, you have a financial edge over many of your peers.

If you earn more than this, you’ll likely have greater flexibility to save for retirement, pay down debt, and invest for the future. A higher income also improves your ability to weather financial emergencies without derailing your long-term plans.

Experian reports that the average credit card debt for Americans in their 50s is $9,255. If you owe less than this — or, even better, have no revolving balance — you’re ahead of the curve.

Carrying less debt means you’re paying less in interest, which frees up more of your income for savings and investments. Managing credit card debt wisely is a key factor in long-term financial stability.

According to Credit Karma, the average monthly mortgage payment for people in their 50s is $1,718. If your payment is lower, it likely means you secured a lower interest rate, put down a larger initial payment, or refinanced it strategically.

A manageable mortgage gives you more breathing room to fund other financial goals, including retirement savings.

By your mid to late 50s, financial experts suggest you should have at least six times your salary saved for retirement. SmartAsset estimates that to be around $537,560 for an average earner.

If your retirement savings exceed this, you’re on track to have more financial freedom in your golden years. A well-funded retirement account allows you to maintain your lifestyle and cover unexpected expenses as you age.

According to Chase Bank, the average credit score for Americans in their 50s is 706. If yours is higher than this, you’re in good shape when it comes to borrowing power. A strong credit score leads to lower interest rates on mortgages, car loans, and credit cards. It also makes it easier to qualify for new credit, should you need it.

The Federal Reserve indicates that only 54% of those aged 45 to 59 have at least three months of emergency savings. If you’ve already saved enough to sustain yourself for more than three months, you’re ahead of many middle-aged Americans.

A well-funded emergency account will provide you peace of mind and financial stability in case of job loss, medical bills, or unexpected repairs.

Credit Karma data shows that the average car loan balance for people in their 50s is $26,765. If you owe less — or have no car loan at all — you’re likely in a stronger financial position than others your age. Lower auto debt means fewer monthly payments and more cash flow for savings or discretionary spending.

Many Americans in their 50s are still paying off student loans. In fact, those aged 50 to 61 have the highest average federal student loan debt at $45,159.

If you’ve eliminated this debt, you’re ahead of those who still face monthly payments. Being student-loan-free allows you to allocate more money toward retirement savings, travel, or other financial goals.

For 2025, the 401(k) contribution limit is $23,500, with an additional $7,500 catch-up contribution allowed for those over 50. For IRAs, the contribution limit is $7,000, with an additional $1,000 catch-up contribution allowed for those over 50.

If you’re maxing out your contributions, you’re making the most of tax-advantaged savings opportunities. This strategy helps you grow your nest egg and ensures you’re financially prepared for retirement.

The most recent Federal Reserve Board’s Survey of Consumer Finances reports that the median net worth for Americans in their mid to late 50s is $364,500. If your net worth is above this threshold, you’re probably wealthier than half of your peers. Your net worth includes savings, investments, real estate, and other assets minus any outstanding debts.

If you recognize several of these signs in your financial situation, you’re likely on solid ground compared to many of your peers. If you’re falling short in some areas, there’s still time to make adjustments and prepare yourself financially.

Building wealth and financial security isn’t just about income — it’s also about managing debt, saving consistently, and making smart financial choices. Whether it’s increasing retirement contributions, reducing expenses, or diversifying investments, small improvements can add up over time.