What Are the Average Retirement Savings By State?

For many Americans, not having enough saved up for retirement is a real fear. Which state you live in can have a major effect on how much you may need. Research from Personal Capital, a digital wealth manager, shows just how much your state really impacts that savings number: The state with the highest retirement savings has an average of $545,754, while the lowest had $315,160.

And that number can vary even more when you consider factors like age. Currently, the average retirement age in the U.S. is 65 for men and 63 for women, but you may find yourself retiring much later or earlier depending on which state you live in and when you start saving for retirement.

The Average Retirement Savings by State

Looking at the retirement savings average 401(k) balance by state can help you get a better idea of how much money you need to retire in your state. To find that information, Personal Capital, a financial services company, looked at the retirement accounts of its users and took the average balances by state as of September 29, 2021. This is the most recent data available. You can find out more about Personal Capital’s methodology here.

💡 Quick Tip: Did you know that opening a brokerage account typically doesn’t come with any setup costs? Often, the only requirement to open a brokerage account — aside from providing personal details — is making an initial deposit.

Alaska

•   Average Retirement Balance: $503,822

•   Rank (as of 9/29/21): 4 out of 51

Alabama

•   Average Retirement Balance: $395,563

•   Rank (as of 9/29/21): 36 out of 51

Arkansas

•   Average Retirement Balance: $364,395

•   Rank (as of 9/29/21): 46 out of 51

Arizona

•   Average Retirement Balance: $427,418

•   Rank (as of 9/29/21): 31 out of 51

California

•   Average Retirement Balance: $452,135

•   Rank (as of 9/29/21): 17 out of 51

Colorado

•   Average Retirement Balance: $449,719

•   Rank (as of 9/29/21): 19 out of 51

Connecticut

•   Average Retirement Balance: $545,754

•   Rank (as of 9/29/21): 1 out of 51 (BEST)

D.C., Washington

•   Average Retirement Balance: $347,582

•   Rank (as of 9/29/21): 49 out of 51

Delaware

•   Average Retirement Balance: $454,679

•   Rank (as of 9/29/21): 14 out of 51

Florida

•   Average Retirement Balance: $428,997

•   Rank (as of 9/29/21): 28 out of 51

Georgia

•   Average Retirement Balance: $435,254

•   Rank (as of 9/29/21): 26 out of 51

Hawaii

•   Average Retirement Balance: $366,776

•   Rank (as of 9/29/21): 45 out of 51

Iowa

•   Average Retirement Balance: $465,127

•   Rank (as of 9/29/21): 11 out of 51

Idaho

•   Average Retirement Balance: $437,396

•   Rank (as of 9/29/21): 25 out of 51

Illinois

•   Average Retirement Balance: $449,983

•   Rank (as of 9/29/21): 18 out of 51

Indiana

•   Average Retirement Balance: $405,732

•   Rank (as of 9/29/21): 33 out of 51

Kansas

•   Average Retirement Balance: $452,703

•   Rank (as of 9/29/21): 15 out of 51

Kentucky

•   Average Retirement Balance: $441,757

•   Rank (as of 9/29/21): 23 out of 51

Louisiana

•   Average Retirement Balance: $386,908

•   Rank (as of 9/29/21): 39 out of 51

Massachusetts

•   Average Retirement Balance: $478,947

•   Rank (as of 9/29/21): 8 out of 51

Maryland

•   Average Retirement Balance: $485,501

•   Rank (as of 9/29/21): 7 out of 51

Maine

•   Average Retirement Balance: $403,751

•   Rank (as of 9/29/21): 35 out of 51

Michigan

•   Average Retirement Balance: $439,568

•   Rank (as of 9/29/21): 24 out of 51

Minnesota

•   Average Retirement Balance: $470,549

•   Rank (as of 9/29/21): 9 out of 51

Missouri

•   Average Retirement Balance: $410,656

•   Rank (as of 9/29/21): 32 out of 51

Mississippi

•   Average Retirement Balance: $347,884

•   Rank (as of 9/29/21): 48 out of 51

Montana

•   Average Retirement Balance: $390,768

•   Rank (as of 9/29/21): 38 out of 51

North Carolina

•   Average Retirement Balance: $464,104

•   Rank (as of 9/29/21): 12 out of 51

North Dakota

•   Average Retirement Balance: $319,609

•   Rank (as of 9/29/21): 50 out of 51

Nebraska

•   Average Retirement Balance: $404,650

•   Rank (as of 9/29/21): 34 out of 51

New Hampshire

•   Average Retirement Balance: $512,781

•   Rank (as of 9/29/21): 3 out of 51

New Jersey

•   Average Retirement Balance: $514,245

•   Rank (as of 9/29/21): 2 out of 51

New Mexico

•   Average Retirement Balance: $428,041

•   Rank (as of 9/29/21): 29 out of 51

Nevada

•   Average Retirement Balance: $379,728

•   Rank (as of 9/29/21): 42 out of 51

New York

•   Average Retirement Balance: $382,027

•   Rank (as of 9/29/21): 40 out of 51

Ohio

•   Average Retirement Balance: $427,462

•   Rank (as of 9/29/21): 30 out of 51

Oklahoma

•   Average Retirement Balance: $361,366

•   Rank (as of 9/29/21): 47 out of 51

Oregon

•   Average Retirement Balance: $452,558

•   Rank (as of 9/29/21): 16 out of 51

Pennsylvania

•   Average Retirement Balance: $462,075

•   Rank (as of 9/29/21): 13 out of 51

Rhode Island

•   Average Retirement Balance: $392,622

•   Rank (as of 9/29/21): 37 out of 51

South Carolina

•   Average Retirement Balance: $449,486

•   Rank (as of 9/29/21): 21 out of 51

South Dakota

•   Average Retirement Balance: $449,628

•   Rank (as of 9/29/21): 20 out of 51

Tennessee

•   Average Retirement Balance: $376,476

•   Rank (as of 9/29/21): 43 out of 51

Texas

•   Average Retirement Balance: $434,328

•   Rank (as of 9/29/21): 27 out of 51

Utah

•   Average Retirement Balance: $315,160

•   Rank (as of 9/29/21): 51 out of 51 (WORST)

Virginia

•   Average Retirement Balance: $492,965

•   Rank (as of 9/29/21): 6 out of 51

Vermont

•   Average Retirement Balance: $494,569

•   Rank (as of 9/29/21): 5 out of 51

Washington

•   Average Retirement Balance: $469,987

•   Rank (as of 9/29/21): 10 out of 51

Wisconsin

•   Average Retirement Balance: $448,975

•   Rank (as of 9/29/21): 22 out of 51

West Virginia

•   Average Retirement Balance: $370,532

•   Rank (as of 9/29/21): 44 out of 51

Wyoming

•   Average Retirement Balance: $381,133

•   Rank (as of 9/29/21): 41 out of 51

Why Some States Rank Higher

Many factors are involved when determining why some states have higher rankings than others. For the sake of simplifying the data, different tax burdens and cost of living metrics weren’t considered in the analysis, which can make the difference between the highest and lowest ranking state retirement accounts look far wider than they may actually be.

Likewise, not considering the average cost of living by state could explain why states like Hawaii, D.C. and New York aren’t in the top five states for retirement. These states have some of the highest costs of living.

So, when planning your retirement and determining where your retirement savings may stretch the furthest, you may also want to consider tax burdens and cost of living metrics by state instead of just considering the average retirement savings by state.

💡 Quick Tip: Distributing your money across a range of assets — also known as diversification — can be beneficial for long-term investors. When you put your eggs in many baskets, it may be beneficial if a single asset class goes down.

How Much Do You Need to Retire Comfortably in Each State?

How much you need to retire comfortably is largely determined by a state’s cost of living, but it will vary even more based on your own personal financial situation, the retirement lifestyle you’re aiming to pursue, and anticipated retirement expenses.

As such, you may want to use a retirement calculator or even talk with a financial advisor to help you determine just how much you should be saving for retirement based on your lifestyle, what you expect to spend in retirement, where you want to live, your current and projected financial situation, and a slew of other factors.

Recommended: How to Choose a Financial Advisor

By Generation Breakdown

Unsurprisingly, the amount Americans have saved for retirement varies a lot by generation. Personal Capital’s report reveals that generally, younger generations have less saved up for retirement than older ones.

Gen Z

•   Total Surveyed: 121,489

•   Average Retirement Balance: $38,633

•   Median Retirement Balance: $12,016

Millennials

•   Total Surveyed: 742,108

•   Average Retirement Balance: $178,741

•   Median Retirement Balance: $75,745

Gen X

•   Total Surveyed: 375,718

•   Average Retirement Balance: $605,526

•   Median Retirement Balance: $303,663

Baby Boomers

•   Total Surveyed: 191,648

•   Average Retirement Balance: $1,076,208

•   Median Retirement Balance: $587,943

Recommended: Average Retirement Savings by Age

The Takeaway

The average 401(k) balance by state varies quite a bit, and myriad factors can affect how much you’ll personally need to retire comfortably. Your state’s costs of living, the age you start saving for retirement, and your state’s tax burdens will all play a role.

As you’re taking a look at your retirement savings, you may want to explore additional options beyond a 401(k), such as opening an IRA or setting up a brokerage account. Taking the time now to see what options might be right for you could be time well spent when it comes to reaching your financial goals.

Ready to invest in your goals? It’s easy to get started when you open an investment account with SoFi Invest. You can invest in stocks, exchange-traded funds (ETFs), mutual funds, alternative funds, and more. SoFi doesn’t charge commissions, but other fees apply (full fee disclosure here).

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FAQ

Have more questions about retirement? Check out these common concerns about retirement and retirement savings.

How much do Americans have saved up for retirement?

How much the average American has saved for retirement varies greatly by state and age. Connecticut has the highest average retirement savings, $545,754, and Utah has the lowest, $315,160. In general, younger generations have far less saved up than older generations, with Gen Zers averaging $38,633 and Boomers averaging $1,076,208.

What’s the average retirement age in the US?

The average retirement age in the U.S. is 65 for men and 63 for women. Alaska and West Virginia have the lowest average retirement age, 61, and D.C. has the highest, 67.

What can I do now to help build my retirement savings?

To help build your retirement savings you could take such actions as participating in your workplace 401(k) and taking advantage of the employer 401(k) match if there is one. You might also want to consider opening an IRA or investing in the market. Weigh your options carefully and consider the possible risk involved to help determine what savings and investment strategy is best for you.

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