Posted on 02/10/2026 6:40:28 AM PST by Diana in Wisconsin
New data from the National Institute of Retirement Security shows that the average American worker has less than $1,000 saved for retirement. This stark figure highlights the financial strain that millions of Americans could face as they approach their later years.
The figure of less than $1,000 saved includes workers with retirement savings accounts such as 401(k) plans, as well as approximately 56 million U.S. workers who currently lack access to any employer-sponsored retirement plan.
Americans say they need roughly $1.5 million to retire comfortably, and the average savings for all employed adults aged 21 to 64 is just $955. For those who do have retirement savings, the average balance stands at about $40,000—far below the amount many consider necessary for a secure retirement.
Millions of seniors rely heavily on Social Security benefits, which provide about half of the typical senior's annual income. However, Social Security faces a significant funding shortfall. If Congress does not act, beneficiaries could face a cut of roughly 20% starting in 2034.
Meanwhile, the Trump administration is introducing "Trump Accounts" aimed to help millions of children save money over time to eventually buy a home, fund education, or start a business. The accounts could also be used for retirement savings.
While "Trump Accounts" may benefit future workers, the current retirement system continues to exclude millions of Americans who lack access to 401(k)s and similar employer-sponsored plans.
The "National Institute On Retirement Security" is a nonprofit charity, tax-exempt since 2007. Here's an interesting tidbit about this charity, aside from the oddity that their stated directors work ZERO hours......
An examination of its Form 990 filings shows ZERO income and expenses over some years. The most recent available (2024): National Institute on Retirement Security — 2024 990EZ
How about a year earlier: National Institute on Retirement Security — 2023 990EZ
Maybe 2022, when the spent themselves to "zero"? -- National Institute on Retirement Security — 2022 990EZ
See? It really is President Trump's "fault" that "the current retirement system continues to exclude millions of Americans who lack access to 401(k)s and similar employer-sponsored plans."
Except that they don't. Millions of Americans who "lack access" to employer-sponsored plans are those who do not work as employees are either 1) self-emplolyed who have savings plans available to them, and 2) the unemployeed -- usually reliant on GOVERNMENT -- who do not work.
Young Michelle Renee Quinn is "messaging" for the political Left.
That’s a good point about 21-45 but it’s still low. My daughter is 32 now but had a lot more that $1000 by the time she was 23. I didn’t have $1000 saved until I was close to 30.
Yup.
I am skeptical about how this average is being arrived at. I suspect they took all Americans of retirement age 65, and took their average off of that.
Also, I view the organization that produced this with a skeptical eye. They are the National Institute of Retirement Security.
The guy in charge, Dean Kenderdine sounds like a total leftist (note the reference to his role with Sen. Barbara Mikulski) Here is his history from a web search:
Mr. Kenderdine has dedicated his career to public service. Most recently, Dean served over 14 years as the executive director of the Maryland State Retirement Agency, which administers the Maryland State Retirement and Pension System, the defined benefit plan for more than 412,000 state and local public servants, including over 146,000 teachers and school personnel. During his service to his system, Dean was a very active member NCTR, and other national organizations dedicated to preserving retirement security for public employees. Dean has served in a leadership capacity for NCTR, the National Association of State Retirement Administrators, National Institute on Retirement Security and the International Foundation of Employee Benefit Plans. Dean’s previous responsibilities have included serving as Chief of Staff for the Comptroller of Maryland, as Assistant Secretary of Tourism, Film and the Arts for the Maryland Department of Business and Economic Development, as District Director and State Director for United States Senator Barbara A. Mikulski, and as Program Director for the Maryland Department of Human. Resources. Over his career, Dean has served as a member of the board of directors for a number of non-profit organizations, and presently serves on the board of Goodwill Industries of the Chesapeake.
I am skeptical of any financial or retirement advice from any Leftist, especially one so entrenched in the retirement affairs of teachers and government employees, and especially one that served the needs of Leftist non-profits and the likes of the former Senator Mikulski.
I have absolutely zero doubts this study was presented with a purpose to serve the Left.
I’ll sell Apples and Pencils on the Corner holding on to My Sturdy Walker.
The last one was stolen my a one-Legged hooked on her way to Bible Study.
.
(I’ll check my Meds)
I know a bunch that are that stupid. I have a 50 year old grand son that has cable and high speed iternet but no retirement savings.
Modified slightly to: it's more like the complete lack of actual 'investing'.
At least 50 years ago, I began saying payroll tax should increase to 8%.
Such BS. I get bombarded on work machines (thanks W11) with news bits on the average and median retirement savings by age band. They’re not great but neither are they catastrophically low like this.
This yellow journalist must have really strained to find a definition of people to dive this article. Probably included babies and illegals or some similar rot.
Modified slightly to: it’s more like the complete lack of actual ‘investing’.
Compound Interest is the 8th Wonder of the World
Right, and savings don’t have to be in a retirement account. Very little of my net worth is such accounts. There are other legal ways to avoid high taxes.
Huh ... that's interesting.
How much retirement savings would one reasonably expect a 21 year old person to have? Do you suppose that maybe including people who have worked only a handful of years in the same cohort as people who have worked for many decades might produce some skewed statistics? Is it possible that perhaps someone is lying with statistics?
Hey FReepers! What did your retirement savings look like when you were 21?
Summarizing:
1) Illegal Aliens at 30,000,000 are almost all working age and send all excess cash back to their families in their home country. $0 in savings.
2) School Debt: Virtually nobody with college debt should have retirement savings. Their financial priority should be paying off their debt. $0 in savings.
3) The Profligate: Some fraction of people are wired to spend everything and more all of the time. There is no saving these people that does not involve theft from the thrifty. Let their penury in retirement be a warning to others. $0 in savings.
4) Preppers: They buy beans, rice and lead. $0 in savings. ;-)
5) Future Trust Funders: They know they get a lump sum in the millions, so why bother? $0 in savings.
Etc.
Sadly for THEM (not me, unless they later steal mine), The Profligate are probably the largest bunch. Tough Shiite.
I suspect millions of welfare queens spend their loot every month knowing there will be fresh loot next month.
I think there a lot of people that have a couple hundred thousand in savings. But, if you start with the following statistic you can see there is a wide gap;
“There are 70 million Americans Medicaid eligible and probably another 20 million who would be eligible but for citizenship issues.
Medicaid total net worth must be less than $2,000 per person.
6) Small Holding Landlords: They plow every last red cent into their buildings, the future rents from which they can live on forever. $0 in savings.
7) Entrepreneurs and Business Owners: See #6, but with a different form of business. Like farming massively valuable dirt, which when sold represent the retirement savings.
8) Some Homeowners: Some people weirdly put all their money into the most lavish home they can afford with all their cash. This is perhaps not a wise long term investment compared to stocks, but it does tend to keep up with the rate of inflation. When you retire penniless with a $1.5M house, you are not poor. You can trade out of that house and live well for a solid decade or more.
(To be continued by me and others who wish to chime in…)
Poorly researched article. Average includes people who’re just starting in the workforce and soon to be retirees. Somebody who’s between 22 and 26 and just starting will begin with nearly nothing and gradually build his or her net worth from there, just as I did. By age 60, with compounding earnings, it can be a lot. The arricle would have been far better if it had focused on people 50 and over.
9) Gold Bugs: They have theirs in untaxed bars buried in the back yard. ;-)
10) The terminally ill: They should probably gift everything immediately upon a terminal diagnosis to avoid confiscatory estate taxes.
11)
11) Current Students: While some make strategic mistakes by over educating themselves in Trans-Womyn-BIPOC-LessAbled-MaleMenstruation-Kathmandu Studies for an 8 year PhD, I was still a student until 22 or 23. $0 in savings.
12) Welfare Recipients: They purposefully avoid accumulating capital so that they can continuously qualify for my money. $0 in savings.
There is a 19 trillion inheritance that’s going to be handed down the next twenty years. People will be fine.
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