Target 401k totals by age

CNBC says : LINK

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In general, you should aim to have 10 times your preretirement income saved by the time you reach age 67, according to Fidelity. That means that, theoretically, someone with a $100,000 salary should have $1 million saved by the time they retire.

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Here are Fidelity's age-based milestones you can use to track your progress:

By age 30: 1x your income

By age 40: 3x your income

By age 50: 6x your income

By age 60: 8x your income

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I'll let others chime in but the CNBC link seems low to me. Obviously lifestyle and debt play a large role. If you were retiring at 50, I'd think you need 3x that amount.

401K is one vehicle for investment…it isn’t really reflective of a total financial plan to guide for retirement.

Estimate how much spend you’ll have in retirement annually. That’s the best bet to determine what you’ll need.

Those target retirement calculators are just another estimate!!

Are you going to withdraw with a penalty for 9 years?

A 401k is a funny thing. You spend your entire working life obsessing over it, tracking it and focusing on what the company is putting in as a match. Then, when you reach the age when you can withdraw from it without penalty, you go to extraordinary lengths to avoid taking from it (so as to avoid a taxable event). Many die without having touched it.

By all means, max out your 401k to defer the taxation. But also build after tax wealth that you have the flexibility to actually use.

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I'll let others chime in but the CNBC link seems low to me.

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All of these are based on various assumptions - probably the biggest is that you carry a mortgage on your salary, but retire it before retiring from work.

Regardless, everyone's situation is different. I have a buddy who will get 3 separate government pensions, probably $11k to $12k a month (AND will be eligible for SS). Obviously, that cat, even in sunny Florida isn't going to need as much cash as someone who is looking at a 401k/savings to supplement social security.

I’m in similar position thanks to GOD…military/VA and civilian pensions.

After posting this, I think I failed to calculate pensions properly. Using the 4% formula for withdrawals, I would have to have $2.5 million in investments to pull what I’ll get in annual pension without touching 401k.

Guess 30 years of sacrifice was worth it. Thank you all for helping me dive deeper.

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Meh. I think that many of those calculators and guidelines are just not realistic. Especially when many high earners have huge jumps in salary later in life. Like if you become a surgeon in your early 30's how are you going to have that much at 40 with student loans, starting a practice etc.

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This. I finally hit my peak of earnings in my mid 40's.Could finally afford to Max out 401k. Getting to that peak takes time with family , bills, climbing work ladder etc... Hoping to put 15 more years in and have enough to live comfortably by 65. The only major bill i have is the mortgage 100k left on that but with 26 years left on the loan and a 30 year rate at 2.25% no real rush to pay off. Just got to keep current employer happy for a few more years.

dude

what are your expenses going to be in retirement???

when your income equals or exceeds your expenses you are retired.

going by some sum of money does not mean shite if you have bills that outweigh your passive/portfolio incomes.