How much in retirement @ age 30?

[LivingAlmostLarge]

At 30 we had I think maybe 75k and now it's around $475k. Compounding and saving the maximum and company match. So according to base salary it's 3.6x income. But my DH didn't finish graduate school and start saving until 28. And I had little saved before then when I was 26 since we had bought a condo and paid for cars, school loans and a wedding. I wouldn't worry. Keep Savin no steadily is most important.

I figure if we continue we'll have a ridiculous amount shortly. In 2008 my DH started at his job with zero 401k and rolled his old one into a rollover ira. 2008 was when he was 31 and I was 29 so basically zero in a 401k. And today there is $262k in there. Good returns and just saving. So I think people really underestimate what saving early and hard does.

[Gina23]

I've always found it difficult to measure my retirement against my salary. Mainly because it's changed so drastically over the past 4 -5 years. Also, I am maxing out all of my retirement options and am on to after tax savings at this point. I have been doing so regardless of what my salary has been throughout the last few years, so my contribution to my before-tax retirement accounts stays the same due to IRS contribution limits as my salary rises. By no means am I complaining, but we live on roughly about a third of what we make and plan to do the same retirement. With that said, it's hard for me to imagine that I'll actually need my current income in retirement as we aren't even living on that now.

Ages: 34 & 34
Saved according to above rules: 2.3 x's
Saved according to my rules(what I think we'll actually need): 5.6 x's

[Eagle]

At 31 I have 2 x my annual salary between 401k and mutual funds. Every paycheck put 8% towards 401k and get a 4% company match.

[breathemusic]

I'm 28 and have about 80% of my salary saved (in my defense, I just got a promotion at the beginning of the year so my salary went up a good bit).

I save about 15% now (10% TSP + maxing my Roth IRA) and get a 4% match. My first few years I believe I only had a 5% match with no Roth IRA but I bumped that up as my salary increased.

Once I've finished saving up for a house downpayment I'll likely bump up my contribution to around 15% TSP plus maxing out the Roth IRA.

Since I started contributing so early in life I'm really hoping that I might reach a point where I'm able to retire earlier than planned (not that I really have a plan date yet).

[Weird Tolkienish Figure]

I hear the rule of thumb is to have 1 years salary in retirement by age 30 (some sources say 35 but I'm trying to be conservative). Since I'm closing in on the big 3-0 in a few months, I took a look and my husband and I are at approximately 60% of a years salary.

I was wondering how everybody elses finances looked at 30 and if they met that milestone. Currently we're contributing 8% to retirement (since ages 22/23) but I'd like to bump that number up over the next few years and hopefully make up for not doing more sooner.

As much as possible, but 8% is excellent. I just contribute my employer's match (5% although employer matches 4.5%). I figure you need to live in the here and now too. You may not live to retirement after all.

But really, as much as possible is a good answer.

[autoxer]

I've always found it difficult to measure my retirement against my salary. Mainly because it's changed so drastically over the past 4 -5 years. Also, I am maxing out all of my retirement options and am on to after tax savings at this point. I have been doing so regardless of what my salary has been throughout the last few years, so my contribution to my before-tax retirement accounts stays the same due to IRS contribution limits as my salary rises. By no means am I complaining, but we live on roughly about a third of what we make and plan to do the same retirement. With that said, it's hard for me to imagine that I'll actually need my current income in retirement as we aren't even living on that now.

Ages: 34 & 34
Saved according to above rules: 2.3 x's
Saved according to my rules(what I think we'll actually need): 5.6 x's

That's an excellent point. Your retirement goal should be based around your expenses, not your income. If you are careful to avoid lifestyle inflation as your salary increases, then you can achieve financial independence much much earlier.

[amarowsky]

This standard of savings is new to me. I never heard that you were supposed to have 1 year of salary saved by the time your 30 (or 35 for that matter). I suppose I'm doing pretty well then, I think. I'm not sure what counts solely as retirement, because I have a 401k I put 6% into (with a horrible horrible match that my company offers) and then I put 25% of my net check into an investment brokerage account.

1)Currently 27, and In my 401k I have 45% of my annual wage saved in there. (growing at appreciation plus 6% of my own contributions).
2)And I have (if this counts) an additional 46% of my total annual wages in an ING brokerage account. If you can count them both together, although one is not necessarily reserved for only retirement, then I'm at 91% with 3 years to go to the target deadline.

I was lucky in a weird way though, I was fortunate to get a pretty good paying job with no college experience on the railroad. Its not a job you get rich at, but it allowed me to save a lot of the surplus that I earned because I did not have school debt and was able to work at a heightened pay compared to my peers starting at age 20. Although now im back in school finishing up my degree so I don't have to breath diesel fumes and coal for the rest of my life.

[witchkizzle]

Right now I'm 27, so three years to go.

My situation is probably a little different though. For 2 years my wife (who is 26) worked as a nurse and we were saving from her income as well. She now works as a stay-at-home mom (since last October).

So some of our retirement savings are due to her having a previous income, but now she doesn't have that income.

Anyway, the specifics:

Salary 87k+bonus (bonus is discretionary but typically ranges between 6-10k)
Retirement accounts 104k

So 1.1x to 1.2x depending on bonus for the year.

It was looking like a much better ratio before I was promoted in November with a 12k raise.

We have been focused on paying down our mortgage lately or it would be higher, but it is what it is.