Is there ultimately a “magic” number that ensures a comfortable retirement? According to a study by the American financial services company Northwestern Mutual, the answer is yes. Based on the 2026 Planning & Progress Study, Americans now estimate they need approximately $1.46 million to retire comfortably. This figure is up 15% compared to 2025, when the corresponding threshold stood at $1.26 million.

How Much Money Do You Need Saved for a Comfortable Retirement?
According to the study, Americans estimate they need about $1.46 million to retire comfortably. Photo: 123RF

The survey included 4,375 participants, who were asked to assess their financial needs for retirement. Their responses reflect concerns about key factors such as inflation, the rising cost of living limiting savings, increasing life expectancy, and uncertainty about the future of the social security system. Wealthier Americans believe an even larger amount is required, estimating they will need at least $2.67 million on average.

At the same time, according to Northwestern Mutual, a nest egg of $1.46 million could generate approximately $4,800 in monthly income during retirement. It is worth noting that the survey was conducted before the recent Middle East crisis, which has further heightened concerns and driven fuel prices higher.

The increase in the estimated amount is also attributed to the fact that 46% of Americans do not expect to be financially prepared when they retire, while nearly half (48%) believe they are likely to outlive their savings. As reported by CBS, there is a significant gap between expectations and reality, as only 5% of Americans with retirement accounts have savings exceeding $1 million, while about 9% have accumulated $500,000. On average, individuals aged 55–64 have savings of around $185,000.

Gen Z Respondents
On the other hand, younger people appear more optimistic, with 58% stating they expect to be financially ready for retirement, although this figure has declined from 63% in 2025. According to the report, Americans begin saving at an average age of 31 and plan to retire at 65. However, there is a growing trend toward starting to save earlier, with the goal of retiring sooner, as life expectancy increases. More than 27% believe they are likely to live to 100. For Gen Z, saving already begins at age 22, with a target retirement age of 61. In fact, about 32% believe they could reach the age of 100.

In practice, however, few manage to accumulate such large sums. As USA Today reports, Americans aged 65–74 have an average of about $200,000 in retirement accounts. A more realistic target appears to be saving an amount equal to 10 times one’s annual income by age 67—around $800,000, based on an average income of $83,730. Even so, this goal is considered difficult for many to achieve.

Artificial Intelligence and Job Insecurity
The rise of artificial intelligence is increasing Americans’ concerns about the future of work. Around 33% say they feel somewhat or very pessimistic about its impact on their careers, with the figure rising to 46% among Gen Z. By contrast, about 23% remain optimistic. This uncertainty could lead some Americans to increase their savings, as explained to the network by Northwestern Mutual spokesperson John Roberts.

As for retirement spending, 55% of individuals over the age of 45 believe they will spend less money on a monthly basis compared to today. Meanwhile, 34% expect their expenses to remain the same, and 11% anticipate an increase. However, all of this must take into account unexpected expenses that can significantly reduce savings even before retirement. As noted, many Americans are forced to make early withdrawals to cover emergencies, such as medical costs.