UNDATED (WKRC) – A new study showed people believe they need well over $1 million to retire comfortably but it also revealed the average amount United States adults have saved is not even close to that number.
Financial services company, Northwestern Mutual Financial Planning and Life Insurance Company, does an annual research study that explores the way U.S. adults make financial decisions, including how much Americans actually save.
The 2025 study found that U.S. adults believe they need $1.26 million to retire comfortably by age 65. That projected number has gone up considerably since 2020, when the expected amount to retire then was reportedly $951,000.
Among Americans who have retirement savings, one in four (25%) say they have just one year or less of their current annual income put aside for it. Furthermore, 52% have three-times their current annual income or less saved. The majority (54%) believe they will not be financially prepared for retirement when the time comes.
More than half (51%) of Americans think it’s somewhat or very likely they will outlive their savings, according to the study.