Reality check—find out your retirement score

No matter your age, make sure you’re on track to live the life you want to in retirement.

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Keys takeaways

Answer six questions to get your Fidelity Retirement ScoreSM and see how you’re doing as you save for retirement.

Stay on track or help improve a score by saving more and smarter, going for growth, retiring later, and spending less in retirement.

Scores are everywhere these days. You can get your credit score, see how many steps you took in a day, and get a score for many other things. So why not see your progress toward a big goal—your ability to stop working full time, aka retirement, and enjoy life full time?

The Fidelity Retirement ScoreSM does just that. It takes about 60 seconds to answer six simple questions to find out where you stand. Whatever your score, there are some simple, clear steps to help you stay on track or improve it.

What the score is

The Fidelity Retirement Score measures whether a person is on track to cover their estimated essential expenses1 in retirement, based on comprehensive survey data and our retirement planning methodology.

There are four categories on the retirement preparedness spectrum based on the ability to cover estimated retirement expenses, even in a down market2:

  • Dark green: On Track (96 or over). On track to cover 95% or more of total estimated expenses.
  • Green: Good (81-95). On track to cover essential expenses, but not discretionary expenses like travel, entertainment, etc.
  • Yellow: Fair (65-80). Not on track to sufficiently cover all essential retirement expenses, with modest adjustments to planned lifestyle likely.
  • Red: Needs Attention (less than 65). Not on track to sufficiently cover all essential retirement expenses, with significant adjustments to planned lifestyle likely.
Get your retirement score

Where Americans stand

How are we doing? Overall, America’s retirement score (representing the median state of retirement readiness) is 76 out of 150+. That's just four points away from the green zone, where people are on track to cover at least essential expenses, like food, housing, transportation, and health care, in retirement.3

“Think about our retirement score as likely retirement income as a proportion of an individual's needs,” explains Adheesh Sharma, vice president of financial solutions for Fidelity Strategic Advisers, Inc. “In other words, a score of 96 or more would indicate that someone is on track to cover expenses in retirement and puts the person squarely in the green zone.”

Four ways to improve retirement readiness

What if you need to improve your score? “Our analysis finds that four ‘accelerators’ can have a big impact on retirement readiness,” says Sharma. “In fact, when all four are applied, America’s median score jumps to 118—a good place to be to truly enjoy one's retirement years.” 

Here are the four things to consider that may help improve retirement readiness.

1. Save more and smarter.

We did the math, and aiming to save at least 15% of income a year throughout one's working life can help keep a person on track to a comfortable retirement. While 15% may seem like a lot, an employer match to a 401(k) or other workplace retirement account and profit sharing counts toward the annual savings rate. (Read Viewpoints: “How much should I save each year?”) And if you can’t get to that amount just yet, saving just a bit more each year can make a big difference.

How savings can improve a score: Adjusting the savings rate to at least 15% increases the median retirement score of 76 to 84. That moves the score from fair to good.

2. Go for growth.

You need your savings to grow. That’s why we believe investing a significant portion of savings over the course of a lifetime in a mix of U.S. and international stocks and stock mutual funds is important. In general those in their 20s, 30s, and 40s can include more stock exposure and those nearing and entering retirement include less. Stocks have historically outperformed bonds and cash over the long term. So for those investing for a goal like retirement that is years away, it can make sense to have more savings invested in stocks and stock mutual funds. A portfolio with exposure to various types of investments can provide the opportunity for growth and outpace inflation, while also providing some downside protection, and can help put one on a path to retirement readiness.

Of course, stocks come with more ups and downs than bonds or cash, so you need to be comfortable with those risks. But over time, history has shown that disciplined saving and investing for long-term growth has paid off. Read Viewpoints: “Three reasons to consider investing in stocks.”

How investing for growth can help improve a score: By adjusting the mix of investments so that they are not too conservative or too aggressive, the median retirement score of 76 increases to 78.4

3. Retire later.

The longer a person can wait to retire, the more time there is to save, and the more time to give savings the potential to grow. Plus, waiting until at least one is eligible to get full Social Security will help increase the monthly benefit. If you can afford to wait until your full retirement age (FRA), typically from 65 to 67 depending on your date of birth, your monthly Social Security income may increase by up to 30%. And if you wait even longer to claim, your monthly benefit will increase by 8% more per year up until age 70. Read Viewpoints: “Working in retirement: a rulebook” and “How to get the most from Social Security.”

How retiring later can change a score: By adjusting the expected retirement age slightly, from the median reported retirement age of 65 to between 66 or 67, the median retirement score of 76 increases to 86.

4. Spend less in retirement.

If you’re years and years away from retiring, it certainly isn’t easy to know how much you’ll spend in retirement. And even if you’re closer to retirement, you may not know either. In general, most people do end up spending less when they’re no longer working. Why the drop? Well, you don’t need to save for retirement once you’re retired. And not working generally means lower taxes, less need for life insurance, and lower day-to-day expenses. You may also have been able to pay off your mortgage.

How spending less in retirement can change a score: By spending 15% less in retirement, the median retirement score of 76 increases to 89.

It’s worth it.

Think about it this way: Do you want to worry about money when you’re retired? It may be the first time you have freedom to do what you want, when you want, so it’s important to check in regularly on your progress. Get your score today to see where you stand and take control of your future. If you aren’t currently on track, don’t worry—there are things that can help make a difference.

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