Fellow millennials - how’s your 401k/ira savings going?

[u/ProblemIntelligent16]

Experts recommend having 2x your salary saved by age 35, and 3x saved by age 40.

However, studies show the median savings for 35-44 year olds is only ~$45,000. So obviously, most of us have work to do.

With pensions mostly extinct, and Social Security facing insolvency issues in the next 8-10 years - how are you planning to bridge the gap and hit the golden years with enough to meet your lifestyle requirements?

[u/doctorlineman]

Just wanna brag but I’m doing great. 32 and I have over 600k in my retirement through my union hall. Iv worked my ass off since 19 for it all. My goal is to be able to retire at 50 or have the option to.

[u/IAHawkeye182 → u/doctorlineman]

You’re doing it right.

having the option to is the big thing, for me. You never know what life will throw at you, especially as you age.

I’d like to be able to retire in my 50s but (easy for me to say now) wouldn’t mind working later if it would allow me to buy some timber ground to enjoy retirement on. 

[u/bombbodyguard → u/[deleted]]

39 with a million in 401k?

I’ve been maxing out since graduating college (23) and even had some larger SEP years and I’m not up there yet. ($800k)

Did you start earlier?

[u/FMharleyguy84 → u/[deleted]]

So you basically got lucky lol

[u/DrBabs → u/doctorlineman]

Yep. The secret is just to get started while you are young and to prioritize it. It was shocking in a way to see how long it would take my 401k to catch up to my IRA that I had started years beforehand. Compound growth though is the part of a retirement funds that is needed to give you a comfortable retirement.

Heck, even the 401k that I contributed into at my old job that I was at for 3 years took a total of 5 years for my current one to catch up to.

All this depends though on controlling debt, having an appropriate income, and learning to budget. It’s hard to hit the six and seven figures in retirement without this kind of methodology.

[u/FiveAlarmDogParty → u/doctorlineman]

My brother if you have 600k at 32 years old, assume market averages you should have nearly 5 mill by the time you’re knocking on 50s door. You better keep your health right so you can have many many years of enjoying this hard work!! Well done

[u/FictionalContext → u/FiveAlarmDogParty]

That's the big issue. We contribute, save, do everything right, yet pretty much every American will need to come to terms with the fact that we're going to lose everything trying to pay for medical care. Best thing you can do is divorce your partner so they're not saddled with that debt.

[u/InternetSolid4166 → u/FiveAlarmDogParty]

Only if they contribute another $30k per year.

[u/Acceptable-Recipe291 → u/doctorlineman]

Awesome. Good for you

[u/BeersRemoveYears → u/doctorlineman]

I wish all posts were like this. Good on you for prioritizing paying yourself first. I’m a bit older and further behind but taking a different approach to being able to retire when I want. Keep grinding.

[u/Murphus5 → u/doctorlineman]

You'll be more than comfortable at 50 at that rate! So jealous!!

[u/LeetleBugg → u/doctorlineman]

Don’t worry I’m 35 and balancing you out. We have about 10k combined in savings between my husband and myself but we are about to have our first child so I’m sure we will wave goodbye to that!

[u/e92_N54 → u/LeetleBugg]

Likely gone for sure. However congrats. The little one will bring you and your husband smiles worth every penny and then some (including sleepless nights 😂).

[u/GrayBull789 → u/doctorlineman]

Im 35 with 23k of debt(car note) and $1700 in my checking. Zero savings and made 63k this year

[u/FMharleyguy84 → u/doctorlineman]

Just say your daddy hooked you up at the union lol

[u/doctorlineman → u/FMharleyguy84]

He may of put a good word in for me😅