"Fidelity reports that as of the third quarter of 2025, the average IRA balance was $137,902, while the average 401(k) balance was $144,400. If you have $150,000 saved for retirement, it means that your balance is slightly ahead of the average. And if you're in your 30s or 40s, you may be in pretty good shape. But if you're 55 or older with $150,000 saved for retirement, you may be starting to panic."
"Take the time to assess your company and industry to see if working a bit longer than planned is feasible. If you're able to work until age 67 or 68 instead of 62 or 63, that gives you a big opportunity to do some extra saving. Plus, waiting to retire could make it possible to put off your Social Security claim a few more years. That could result in larger monthly benefits, which could help make up for a smaller savings balance."
"It also means you can make catch-up contributions in an HSA if you're saving in one of those accounts. Now if you're 55 or older with $150,000 saved, chances are, maxing out a 401(k) won't be in the cards - at least not right away. But if you can't max out your retirement account, at least try to boost your savings rate."
Average IRA and 401(k) balances are $137,902 and $144,400 respectively as of third quarter 2025, so a $150,000 balance is slightly above average. A $150,000 balance can be reasonable for people in their 30s and 40s but may be insufficient for those 55 or older approaching retirement. Working longer can enable additional saving and higher Social Security benefits from delaying claiming. Workers age 55+ can make catch-up contributions to IRAs, 401(k)s, and HSAs. If maxing accounts is not possible, increasing the savings rate and cutting expenses can help boost retirement preparedness.
Read at 24/7 Wall St.
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