What Is the Average Savings Account Balance?

Most people use financial tools to protect their savings, but many don’t know if they’re saving enough. The Federal Reserve’s Survey of Consumer Finances shows average and median savings account balances by age and income, offering a clear picture of how your savings compare to others. A financial advisor can help you set savings goals and make a plan to grow your money based on your income and age.

Median and Average Savings Account Balance in the U.S.

Of the Americans who have savings accounts, the median balance of transactional accounts was $8,000. The average balance is $62,410. This is according to the Federal Reserve’s Survey of Consumer Finances, which was conducted most recently in 2022.

The Fed defines transactional accounts as checking, savings, money market and call accounts, as well as prepaid debit cards. Retirement and brokerage accounts, for instance, would not qualify as transactional accounts.

Median Balance by Age

Unsurprisingly, Americans add more to their accounts as they age. Everyone should aspire to live in such a way that your nest egg grows with time, but that means starting as soon as you’re able.

The median transactional account balance for those under 35 years old was $5,400 in 20. For those between 35 and 44, balances grew to $7,500. And for those between 65 and 74, accounts almost doubled to $13,400, but dropped to $10,000 at 75 and older.

Check out the full breakdown of median transactional account balance by age:

Under 35: $5,400
35-44: $7,500
45-54: $8,700
55-64: $8,000
65-74: $13,400
75+: $10,000

Median Balance by Income

Also unsurprisingly, Americans who make more money are able to save more money. Income is the factor that makes the biggest difference in averages savings amount. Low-income earners are also the least likely to have a savings account. Those that make less than $20,000 a year only keep $900 in savings, while those raking in the top 10% of earners between $90,000 and $100,000 have a median of $111,600 in savings.

Even though it can be much more difficult when you aren’t bringing home a fortune from your employer, you should base your savings on a percentage of income. Many experts recommend putting at least 20% of your take-home pay toward debt repayment and savings.

Check out the full breakdown of median savings account balance by percentile of income for 2019:

Bottom 20% of earners: $900
20th to 39.9th percentile: $2,550
40th to 59.9th percentile: $7,400
60th to 79.9th percentile: $15,760
80th to 89.9th percentile: $33,800
Top 10% of earners: $111,600

Historical Trends

A senior couple reviewing their bank statement.

Despite economic ups and downs, Americans have been depositing more into their savings account every year on average since 1959, when the Federal Reserve started collecting this data.

The total amount of American savings account deposits has increased since 1959, the earliest date for which the Federal Reserve has data. The median balance, however, has not always followed suit, highlighting the differences in savings discipline across households.

How Much Should I Be Saving?

Looking at benchmark figures like median account balances can be a helpful starting point, but how do you know what amount works best for your unique situation? There are a couple rules of thumb that might help. First is the 50/30/20 budgeting rule.

This states that 50% of your monthly income should go toward your fixed expenses (rent/mortgage, car payments, utilities, phone bills). Then, 30% of your income can go toward expenses that aren’t essential, like gym memberships, restaurants, new clothes or Netflix. Finally, the remaining 20% can be put toward your savings.

It’s also to think about what you’re saving for and use that to help you determine a target. Are you saving for an emergency fund? If so, you’ll want to stock up between three to six months of expenses in your savings account.

Are you saving for retirement? In that case, the answer has a bit more nuance to it. If you have access to a workplace retirement account like a 401(k) and your employer matches any contribution, consider that amount to be the floor of what you should be contributing. SmartAsset’s retirement calculator can also help you come up with a savings goal that you can use to track your progress.

Where Should I Keep my Savings?

When it comes to the right account for your savings, there’s likely more than one right answer. Checking accounts are good for day-to-day expenses, since most savings and money market accounts will have restrictions on transfers and withdrawals per month. For your emergency fund, a high-yield savings account is best. You’ll be able to keep the funds safe, but you’ll still be able to earn a decent interest rate.

For retirement savings, you’ll want to contribute to a specially-designated account, like a 401(k) plan or an individual retirement account. These allow you to invest your contributions so you can earn a return that outpaces inflation.

Other Benchmarks You Can Use

While national averages offer a useful comparison, personal savings goals often require more tailored benchmarks.

One common method is to save a percentage of your income. Many financial professionals recommend saving at least 20% of your take-home pay, with 10% going to retirement and 10% toward short-term goals or emergency savings. This approach scales with your income and can be adjusted as your financial situation changes.

Another benchmark is building an emergency fund with enough to cover three to six months’ worth of essential expenses. This target can vary, depending on your job stability, household size, and health needs. For example, a single person with reliable income may be comfortable with three months, while a household with variable income might need six or more.

You can also use age-based benchmarks, such as saving the equivalent of your annual salary by age 30, three times your salary by 40, and so on. These are often used in retirement planning to track progress over time.

Using these personal and income-based benchmarks may provide a clearer savings target than national averages alone.

Tips for Saving More

If your savings account is creeping much higher than the average – and has more than you need for emergencies – you may consider some other places to park your money that will yield a greater return. This may include a better savings account, certificates of deposit (CDs), money market accounts or bonds.
A financial advisor can help you mitigate risk for your portfolio. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.