When it comes to personal and retirement savings, millennials are firmly in the middle of the pack compared to other generations.
Millennials (ages 25 to 40) have an average of $51,300 in personal savings, while their retirement accounts have an average balance of $63,300. That’s according to Northwestern Mutual’s 2021 Planning & Progress Study, which surveyed more than 2,000 American adults.
Gen Xers (ages 41 to 56) are slightly ahead of their younger counterparts, with an average of $67,100 in their personal savings and $98,900 put away for retirement. Both generations trail well behind baby boomers (ages 57 to 75), who have an average of $102,400 in personal savings and $138,900 in their retirement accounts.
The adults of gen Z, the youngest generation whose age range is between 6 and 24, have an average of $35,900 in personal savings and $37,000 saved for retirement.
On the whole, the survey found that Americans’ average personal savings have grown 10% year over year, from $65,900 in 2020 to $73,100 in 2021. Retirement savings have jumped 13% from $87,500 to $98,800.
In order to have enough for a comfortable retirement, retirement-plan provider Fidelity recommends having the equivalent of your salary saved by 30, four times your salary saved by 40, six times your salary saved by 50 and eight times your salary saved by 60.
That means a millennial earning the median income in the U.S. of $34,103, according to the U.S. Census Bureau, should have about $34,000 saved by 30 and $136,000 saved by 40. The generation’s $63,300 in retirement savings puts them on track if they are in …….