Retirement Account Savings Reality: What Americans Age 70+ Actually Have Set Aside

The Numbers Tell an Unforgiving Story

When you reach your early 70s, retirement account balances become less about aspirations and more about survival. According to data from Empower compiled in October 2025, Americans in their 70s hold a median of ninety-two thousand dollars in their 401(k)s—and that’s not the full picture of how uncomfortable this actually looks.

The aggregate picture across all age groups shows an average of $326,459, but that single number masks enormous disparities. Looking at the breakdown by decade reveals the genuine landscape:

Why Median Matters More Than Average

Here’s where most people get confused: averages get distorted by outliers. If one 70-year-old has $5 million while nine others have $50,000 each, the average jumps to $545,000—worthless as a comparison point. The median—the middle value when all numbers are ranked—tells the real story. For those in their 70s, that median of ninety-two thousand dollars is uncomfortably representative of where most people actually stand.

The Ninety-Two Thousand Dollar Problem

An account balance of ninety-two thousand dollars alone won’t sustain a decade-long retirement, even with modest spending. Social Security helps, but the average monthly benefit sits around $2,013, translating to roughly $24,000 annually. That’s income, yes, but combined with ninety-two thousand in savings, you’re looking at a limited runway.

Building Multiple Income Streams Becomes Essential

Rather than relying on a single account, successful retirees construct layered income strategies:

• Dividend-yielding equities that generate quarterly payouts
• Fixed-income instruments like bonds or CDs that provide steady returns
• Annuity products that convert savings into guaranteed monthly income
• Pension benefits (if available from prior employment)
• Part-time work or consulting that extends earning years

The goal isn’t just to have savings—it’s to have savings working consistently in your favor.

Planning Beyond Assumptions

If you’re approaching or in your 70s, take time now to calculate precisely what your retirement lifestyle requires. Work backward from that number, then identify how each income source contributes. Most Americans fall short because they never do this math in the first place.

Aim to position yourself well above the median. That requires either accumulating more during working years, delaying retirement to allow further growth, or restructuring your retirement lifestyle expectations around what your actual resources will support.