Street Poll: Is Your Retirement Nest Egg Enough?
Fidelity Investments, which handles 401(k) accounts for about 12 million Americans, has released a new formula to answer the most pressing question about saving for retirement: How am I doing?
The new targets recommend that employees should aim to have saved the equivalent of one year of their salary by age 35; three times their salary by 45; and five times their salary by 55.
By age 67, Fidelity says, workers should have eight times their final salary in savings.
Those are some rather ambitious figures when you consider that the average 401(k) account balance is about $73,000. (Related: Widely Held Stocks in 401(k)s)
That brings us to our Street Poll question: Are you on pace to make sure you have enough money in your retirement nest egg?