Chart source: Fidelity
Here's the breakdown of Fidelity's formula:
Age 30: Have the equivalent of your starting salary saved
Age 35: Have two times your salary saved
Age 40: Have three times your salary saved
Age 45: Have four times your salary saved
Age 50: Have six times your salary saved
Age 55: Have seven times your salary saved
Age 60: Have eight times your salary saved
Age 67: Have 10 times your salary saved
Keep in mind that while this is a good starting point, "it's a generic formula," says Bach. Depending on your lifestyle and how you want your life to look in retirement, "you might need to be saving more than that," and "you definitely don't need to be saving less."
That said, if you don't have the equivalent of your salary saved by age 30 or three times your salary by 40, don't panic.
"If you're looking at these charts and it's depressing you ... here's what I can tell you: It's never too late to start investing and the best time to start is now," says Bach. "We've seen many people who look at these charts at 50 and have zero in savings — maybe they've gone through a divorce or they've lost a job or a business or the recession forced them to take a step back. Well, now you've just got to get back up and get going again."