How to Know if You’re on Track for Retirement

When thinking about the future, one question often comes up: “Am I putting enough aside for retirement?” Gaining a clear picture of your finances at various points in life can ease uncertainty and help you make confident decisions. For those focused on long-term financial well-being, using savings goals based on age can serve as a useful reference point. Whether you're evaluating your progress in your mid-thirties, planning more strategically in your fifties, or fine-tuning your approach as retirement nears, having general targets can offer valuable direction.

By your mid-30s, it's beneficial to have begun building a solid financial foundation—ideally saving an amount that reflects a year or more of your income. This phase often involves juggling multiple priorities like raising a family, managing mortgage payments, or paying off student loans. As you move into your 50s, increasing your savings becomes more important. At this stage, experts often recommend having several times your annual earnings set aside, reflecting the need to boost contributions as retirement approaches. By your early 60s, aiming for a savings level that can sustain your preferred lifestyle and support potential healthcare expenses becomes a priority. These milestones aren’t strict requirements, but flexible guidelines to help you measure progress and make informed adjustments.

If you find that your savings aren't where you'd like them to be, you're not alone—and it’s never too late to revise your strategy. Many individuals work with financial professionals to explore options that can enhance long-term security. This might include contributing to retirement plans with tax benefits, exploring insurance policies that build cash value, or considering income solutions designed to provide stability later in life. A qualified advisor can help tailor a strategy that aligns with your goals, risk comfort level, and personal circumstances.

No matter your age or financial starting point, the key to a secure future lies in staying informed and proactive. Understanding your current position, identifying the right tools, and seeking trusted guidance can empower you to build a retirement plan that grows with you. Whether you’re just getting started, adjusting course, or preparing to transition into retirement, the path forward begins with clear goals and steady action.

Source: https://www.troweprice.com/personal-investing/resources/insights/youre-age-35-50-or-60-how-much-should-you-have-by-now.html