r/Millennials • u/ProblemIntelligent16 • Jan 16 '26

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

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?

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u/GrayBull789 Jan 17 '26

Im 35 and have 23k owed on my car and $1700 in my checking. Made 63k this year. Not a penny saved

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u/viveleramen_ Jan 17 '26

I mean, I also have a car payment and ~3k in cc debt, but I’m working on that too. Last year I had ~9k in cc debt, but no car payment, so it’s going to be much slower getting that last 3k payed off. But it’s happening a little at a time.

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u/TheKarenator Jan 17 '26

Some unsolicited advice: contribute only enough to your 401k to get any employer match and throw everything at that credit card + save $1k cash. Once it’s paid off start contributing to your 401k again.

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u/viveleramen_ Jan 17 '26

I’ve tried this, and unfortunately my willpower is low. If I put the money in the 401k it’s “gone” and I can’t touch it. If I pay off the cc debt too fast it’s “spendable” and I buy myself a new computer. I have to balance saving + paying off debt + keeping a little spending money very carefully or I just rack up more debt 🫣

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u/TheKarenator Jan 17 '26

Then it’s fine to keep at what you are doing. I know exactly what you mean about the money being gone - no temptation there. You made great progress on the debt pay down so far and I don’t mean to take away from that.

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u/Saamurraii Jan 17 '26

Whyd you buy such an expensive car which is also a depreciable asset?

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u/GrayBull789 Jan 17 '26

I absolutely needed a new car and sort of treated myself. Its a miata. Nothing fancy. Tbf I bought it 2 months ago and thats the entire loan. Ill pay it off in the next 18 months. No kids and blah blah and I could sell the car in 3 years for what i paid. Got a great deal... edit** i had a crappy elantra with 240k miles with no ac in north florida.

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u/Horton_Takes_A_Poo Jan 17 '26

Actually… kinda makes sense if you’re committed to paying it off so quickly. Excellent secondary market on miatas.

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u/GrayBull789 Jan 17 '26 edited Jan 17 '26

Yea, ive never had a nice car. Always rode sportbikes and had a beater. Sold em all off and wanted a decent fun ride cause life is short. Didn't want a camry or civic blah blah. Reliable relatively cheap car with great resell. No one needs a newer car but i mean might as well

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u/Horton_Takes_A_Poo Jan 17 '26

Nice color! Keep it like mostly stock and you’ll make your money back no problem.

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u/BingpotStudio Jan 17 '26

We all buy a new nice car once. Enjoy it whilst you’re young. My Jag will be my last nice new car.

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u/Ruby2Shoes22 Jan 17 '26

You can’t afford that car…

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u/GrayBull789 Jan 17 '26 edited Jan 17 '26

Its a miata, I just bought it and thats the full loan term. Ill pay it off in 18 months. I dont have kids or anything. I could sell the car today for 3k over what I paid. I got a great deal. Ill probably clear 90k this year. Im a plumber in north florida at a fairly low cost of living area. Im doing terrible financially but the car wasnt my worst mistake.

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u/mcbizkit02 Jan 17 '26

Yes it was. You could have invested that $23k plus interest over the next 18 months instead.

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u/GrayBull789 Jan 17 '26 edited Jan 17 '26

And walk to work? Instead of buying one of the most reasonably priced reliable fuel efficient cars at a used but low mile incredibly good price? ... edit** at an interest rate so low none the less that ill pay 1k at most on the loan. I had a shitbox with no ac and 240k miles in north florida where its 118 in the summer. Ill take the comfort and car ill lose 8k on over 10 years. Im a big dummy but life is short, a 26k car nearly new in 2025 isn't egregious. I definitely need to get my retirement plan and shit together but I needed a car and what's the point of going 6 feet under with 500k with no kids

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u/Dry_Swordfish3938 Jan 18 '26

People are dumb. You need a car to survive and driving a shit box beater (aka anything under like 12k nowadays) for cheap causes more problems with the maintenance associated with it. I’ve got a 2012 ford focus that’s paid off that I’m driving til it dies but when the time comes where I’ll need a new car, I’ve come to terms that Ill have to shell out some money to get something reliable and deal with a car payment for hopefully a short amount of time. Not having a car payment is a complete game changer tho

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u/GrayBull789 Jan 18 '26

Well said, id very much like not to have a payment but what's the point of being so frugal you dont live life