By age 40, most people should have two to three times their annual income saved for retirement. By 50, four to five times. By 60, six to eight times. By 70, around ten times. These retirement goals by age are guideposts, not rigid rules. They assume a saver who started in their 20s, invests through tax-advantaged accounts, and plans for a 30-year retirement horizon.
For high-net-worth households, the multiples shift higher. Lifestyle expectations, multi-generational planning, and longer life expectancy all push the target upward. At Keen Capital, an independent fiduciary firm based in Chapin, SC, we work with families across the Midlands and beyond on long-term retirement income planning. The benchmarks below frame the conversation. Your plan customizes them.
Educational content only. Past performance does not guarantee future results.
How Much Should You Have Saved by Age 40?
By age 40, you should have saved two to three times your annual income for retirement. So, if you earn $200,000, you would ideally have around $400,000 to $600,000 set aside in retirement and investment accounts.
At this stage, the most important thing isn’t perfection, it’s momentum. You still have decades of compounding ahead of you, so consistent investing will work in your favor. Aim to save around 15% of your gross income, including any employer match, and focus on growth-oriented investments that align with your risk tolerance.
If you’re behind, don’t panic. Many people spend their 20s paying off student loans or building families. The key is to use your 40s to catch up, automate your savings, and make sure your money is working efficiently in tax-advantaged accounts.
Benchmark — Age 40: 2x to 3x annual income. Save 15% of gross income, including employer match. Fidelity’s age-40 target is 3x. T. Rowe Price uses 2x.
How Much Should You Have Saved by Age 50?
By age 50, your retirement savings should equal four to five times your annual income. For someone earning $300,000 a year, that means having at least $1.2 million saved.
This is also when retirement starts to feel more tangible. You may be thinking about where you’d like to live, what kind of lifestyle you want, or how to wind down from a busy career. It’s a great time to revisit your plan and make sure your investments still reflect your long-term goals.
If you can, take advantage of catch-up contributions in your retirement accounts, which allow you to put away more each year once you hit 50. And if your kids are nearing independence, redirect some of the cash flow that previously went to education or family expenses into your own future.
The focus in your 50s should be balance: protecting the wealth you’ve built while continuing to grow it steadily. Investment mistakes start to matter more, so it’s time to buckle down and invest wisely.
Benchmark — Age 50: 4x to 6x annual income. Catch-up contributions kick in at 50: an extra $7,500 to a 401(k) and $1,000 to an IRA in 2026 (IRS Notice 2024-80).
How Much Should You Have Saved by Age 60?
By age 60, you should have six to eight times your annual income saved for retirement. Retirement is no longer a distant goal; it’s right around the corner.
What matters most now is how you’ll turn your savings into income. This is the time to start running scenarios: What will your monthly expenses look like? How will you cover healthcare? When will you start drawing from retirement accounts or Social Security? You can sketch out the numbers using our retirement income calculator before refining the plan with an advisor.
It’s also a good idea to think through your withdrawal strategy. Many people use the 4% rule as a general guide, meaning you withdraw 4% of your portfolio in the first year of retirement, then adjust that amount for inflation each year. But for high-net-worth individuals, tax efficiency is just as important as withdrawal rate. Consider strategies like Roth conversions or charitable giving to reduce your future tax burden.
Most importantly, use this decade to fine-tune your plan. You still have time to make adjustments, but your focus should shift from accumulation to preservation.
Benchmark — Age 60: 6x to 8x annual income. The 4% rule (Bengen, 1994) suggests a $2M portfolio could support roughly $80,000 of first-year retirement income, adjusted for inflation thereafter. Current research on safe withdrawal rates in 2026 varies.
How Much Should You Have Saved by Age 70?
By age 70, you should have approximately ten times your annual income saved. For high earners, that number may need to be even higher, especially if you plan to travel extensively, maintain multiple homes, or leave a substantial legacy for your family.
At this stage, the conversation isn’t just about saving. It’s about distribution and legacy. You’ll need to plan when and how to start drawing from your various accounts, including required minimum distributions (RMDs) from tax-deferred accounts. You should also review your estate plan, ensuring that trusts, beneficiaries, and charitable intentions are structured the way you want. Coordinating account distributions with generational wealth planning can preserve more of what you’ve built.
The key is to have flexibility. Maybe you’re still earning income from consulting or a business, or maybe you’ve chosen to slow down and enjoy the freedom you’ve worked so hard to build. Either way, your savings should give you the confidence to live comfortably while protecting your long-term goals.
Benchmark — Age 70: 10x annual income. Required minimum distributions begin at age 73 for most retirees (SECURE 2.0 Act). South Carolina residents 65 and older receive a retirement income deduction on their state return.
Retirement Savings Benchmarks by Age — Quick Reference
| Age | Savings Target | Annual Save Rate |
|---|---|---|
| 30 | 1x annual income | 15% |
| 40 | 2x to 3x annual income | 15% |
| 50 | 4x to 6x annual income | 15% + catch-up |
| 60 | 6x to 8x annual income | Maintain + catch-up |
| 67 | 9x to 10x annual income | Full Social Security eligibility |
| 70 | 10x+ annual income | RMDs at 73 |
Customizing These Benchmarks to You
These retirement savings benchmarks assume average earners. High-net-worth households often need higher multiples because lifestyle costs, longer life expectancy, and multi-generational planning all push the target upward.
Some people may need less than these multiples because they have rental income, pensions, or other sources of cash flow. Others may need more if they expect higher expenses or want to provide for family members. The most effective approach is to review your plan every few years and make adjustments as your lifestyle and goals evolve. For families with concentrated wealth, dedicated high-net-worth investment strategies can sharpen the benchmark into a real number.
How South Carolina Residents Plan for Retirement Differently
South Carolina residents have several state-level advantages that affect retirement planning. The state does not tax Social Security benefits. Residents age 65 and older qualify for a retirement income deduction. The top marginal income tax rate is phasing down. For Midlands retirees moving to Lake Murray, Chapin, or the Columbia metro, these tax features can extend portfolio longevity by months or years compared to higher-tax northern states.
Geography also matters. Lake-community lifestyles, healthcare access in Columbia, and proximity to family across the Carolinas all shape how local HNW households model retirement spending. Tax-aware retirement planning coordinates federal, state, and account-type decisions in one plan.
If You’re Behind on Retirement Savings, What Should You Do?
If you are behind on your retirement goals by age, you have three primary levers: save more, work longer, or spend less in retirement. Most households use a combination.
It’s common to reach one of these milestones and feel like you haven’t saved enough. The good news is that it’s never too late to improve your plan. You can increase your savings rate, work a few extra years, or reduce spending expectations in retirement, all of which can make a meaningful difference.
Even small changes can have a big impact over time. The most important step is to take action now rather than waiting for the perfect moment.
Plan Your Retirement Goals With Keen Capital
Knowing your retirement goals by age gives you a clear sense of direction, but the multiples are only the starting point. Your plan reflects your income, location, family structure, tax situation, and time horizon.
At Keen Capital, we help clients build wealth with intention. Whether you’re just starting to think seriously about retirement or refining the final details of your legacy, our fiduciary advisors can help you align your investments, taxes, and estate plan so that your money truly supports the life you want.
Build the plan that turns the benchmark into your number. Explore our high-net-worth investment strategies or run a quick projection in our retirement income calculator before booking a call.
If you’d like a clearer picture of where you stand and how to get where you want to be, schedule a call with us. We’ll help you make confident, informed decisions about your future.
This article is educational and does not constitute personalized investment advice. Past performance does not guarantee future results. Keen Capital is an investment adviser registered with the U.S. Securities and Exchange Commission. Registration does not imply a certain level of skill or training. Please review our ADV disclosures for additional information.
Common Questions
Frequently asked questions on this topic.
How much should I have saved for retirement by age 40?
By age 40, the common benchmark is two to three times your annual income. For a high-net-worth household earning $200,000, that means roughly $400,000 to $600,000 across retirement and investment accounts. The number is a planning anchor, not a hard rule.
How much should I have saved for retirement by age 50?
By age 50, the planning benchmark moves to four to five times your annual income. For a household earning $300,000, that is roughly $1.2 million to $1.5 million. Catch-up contributions to 401(k) and IRA accounts become available at age 50.
How much should I have saved for retirement by age 60?
By age 60, the benchmark is six to eight times your annual income. At this stage, planning shifts from accumulation to distribution: how to convert savings into reliable retirement income, when to claim Social Security, and how to coordinate withdrawals across taxable and tax-deferred accounts.
How much should I have saved for retirement by age 70?
By age 70, plan for ten times your annual income. For HNW retirees with longer horizons or higher discretionary spending, the multiple may need to be higher. Required minimum distributions begin at age 73 under SECURE 2.0 for those born between 1951 and 1959.
What if I’m behind on retirement savings at my age?
Three levers help close a savings gap: increase the contribution rate (especially with catch-up contributions after age 50), extend the working years by two to five years, and adjust the lifestyle target downward. The combination is usually more effective than any single lever.
Are these retirement benchmarks adjusted for high earners?
The standard multiples (2x by 40, 5x by 50, 8x by 60, 10x by 70) work as a starting frame but assume a roughly 70 to 80 percent income replacement rate. HNW retirees who plan to maintain higher discretionary spending, multiple residences, or large charitable giving may need 12x to 15x by retirement age.
About the Keen Capital Team
This article was prepared by the Keen Capital team in Chapin, SC. Keen Capital is a fee-only fiduciary wealth advisory firm registered with the SEC (CRD 145023), serving high-net-worth families across Chapin, Columbia, Lake Murray, Lexington, and the broader Midlands. Our team includes CFP®, CFA, CPA, and EA credentials. Meet the team.
This content is for educational and informational purposes only and does not constitute investment advice. Past performance does not guarantee future results. Investing involves risk, including possible loss of principal.
