Here's the Average 401(k) Balance of 58-Year-Old Americans (How Do You Compare?)

By age 58, it may feel time to floor the gas pedal at the on-ramp of retirement. Retirement's close enough that all that abstract, decades-long planning hits different. And yet it's still far enough away that there's time to make meaningful changes.

For many, this is the first time they take a long, sober look at their 401(k) and ask themselves if they're really on track.

Savings levels vary wildly. Here's a peek at what the average 58-year-old has set aside for retirement. See how your own progress compares.

Average 401(k) balance of 58-year-old Americans

According to a Vanguard report, workers age 55 to 64 have an average 401(k) balance of $271,320

Fidelity's research shows similar figures. Their data reveals that Americans aged 55 to 59 years old have an average workplace retirement balance of $244,900.

Combined, Vanguard and Fidelity figures indicate the average 58-year-old American has an average 401(k) or retirement savings balance of $258,110.

A closer look at the "average" balance

Averages can be deceiving. According to the Congressional Research Service (CRS), most 58-year-olds have far less saved than $258,110.

Among all Americans ages 55 to 64:

• 43% have no retirement savings.
• 88.6% have less than $100,000 saved.

Why age 58 matters so much

Age 58 is a pivotal time in retirement planning.

Many workers are close to qualifying for the Rule of 55, which allows penalty-free withdrawals from a 401(k) or 403(b) before full retirement age – if you leave your job the year you turn 55 or later. For public safety employees, this rule kicks in at age 50.

Such flexibility can shape early-retirement decisions.

On the flipside, age 58 is when many people realize they may need to work longer than expected — sometimes into their 70s — especially if they reach this age with nothing saved.

How much should you have saved by age 58?

There's no one-size-fits-all number, but Fidelity's retirement guidelines offer a rough benchmark. Their financial experts suggest having 6x your annual income saved by age 50 and 8x by age 60.

At 58, most people aim for somewhere in between, especially if they're hoping to maintain the same standard of living.

These ratios are general rules of thumb, but they can offer a directional read to see if you're on track.

58-year-olds should have $412,464 saved

Fidelity's guidelines and average wages for American workers would mean that the average 58-year-old should have $412,264 saved.

Per the BLS, Americans aged 55 to 64 average $68,744 in yearly wages. Multiplying that figure by six, as Fidelity suggests, brings the total target figure to $412,264. (That figure rises to $549,942 if you use the 8x benchmark for 60-year-olds.)

Even with the average $258,110 set aside for retirement, this still leaves a shortfall of $154,354. And when 88.6% have less than $100,000 saved, this suggests that most 58-year-olds are far behind and have some serious catching up to do.

Many with 401(k) plans may not realize they're behind

Most people aren't recklessly spending. Many may not realize they should be saving more in their 401(k) plan – if financially feasible. Experts often recommend setting aside 15% of your pre-tax income each year for retirement.

Talk to a financial planner about your contribution rate and whether it's appropriate to make adjustments or consider other savings vehicles.

58-year-olds who are on track

Not everyone is behind. A lucky few who started saving early – or benefited from dual-income households – often land ahead of schedule at 58.

Some have access to pensions, inheritances, or strong employer matches that helped their balances grow faster.

A survey by Gold IRA Guide finds that gender and geography also play a strong role.

• Women have less retirement savings than men. 49% of women have less than $25K saved compared to 36% of men, and men outnumber women 2:1 among savers with a balance of at least $1M.
• Those in politically "blue" states generally have more savings than those in "red" states.
• States with the highest percentage of big savers, those with more than $1 million in their retirement accounts, are California (21%), Connecticut (20%), and Michigan (18%).
• Residents of Oklahoma (59%), Indiana (53%), and Alabama (52%) are most likely to have saved less than $25K.

Why so many 58-year-olds fall behind

Falling short of retirement goals at 58 is not uncommon. This age group is especially pinched. Many feel the double-squeeze of supporting aging parents, raising older children, or helping adult kids launch into the world.

Even those who contributed regularly may have had to pause contributions during financial hardships, limiting compounding during key years.

What if I'm 58 and I've saved nothing?

While it's not an ideal situation, being 58 with no savings is more common than most people think. Personal finance experts like Pete the Planner emphasize that starting late does not mean you're financially doomed — it just requires a focused, accelerated strategy.

A Yahoo Finance story echoes this, noting that many late starters find ways to rebuild through aggressive contributions, downsizing, or delaying retirement to maximize Social Security.

The key is action: reassessing expenses, maximizing employer matches, picking sustainable investment options, and seeking advice from a financial planner.

How can I accelerate my retirement savings today?

For 58-year-olds hoping to close the gap, several tactics can help.

• Use catch-up contributions that allow workers 50+ to put extra money into a 401(k) or IRA each year, speeding up growth as retirement nears.
• Increase automated contributions every few months
• Pick up part-time or consulting work
• Reduce expenses where able
• Refinance high-interest debt

The goal is to boost your retirement accounts during the years when your income may still be near its peak.

Bottom line

At 58, your 401(k) balance tells only part of the story. Whether you're ahead, behind, or starting from scratch, you still do have meaningful choices available — especially with catch-up contributions, strategic planning, and flexible retirement timelines.

Average savings numbers can be a helpful benchmark, but they don't define your future. Every day, Americans in their 50s build strong retirement foundations, and with the right adjustments, you can still shape a secure and sustainable plan.

And for the lucky few who have oversaved or can retire early, now's a good time to talk with a financial planner about other smart money strategies like tax-sheltered savings or an MYGA annuity.

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