Key takeaways  

• The number of 401(k) accounts with balances over $1 million rose 29% year over year

• 9.5% have more than $1 million in retirement savings

• Retirement millionaires have saved nearly $2.4 million on average

• People in their 50s are on the cusp of retirement millionaire status with average balances of $964,107

• The average 401(k) employer match is 4.5% 

Who wants to be a 401(k) millionaire?

According to Empower Personal Dashboard^TM data as of December 2024, 9.5% fall into that category, having accumulated at least $1 million in retirement savings in employer-sponsored plan and individually controlled IRA savings and investment accounts. And the number is significantly higher among millionaires overall: Dashboard data shows 21.6% have an average net worth of at least $1 million — and of that group, 42.1% qualify as retirement millionaires.

The amount of retirement millionaires continues to grow, too: As of December 2024, the number of 401(k) accounts with balances of at least $1 million rose to 1,022,655, up nearly 4%, from the third quarter of 2024, and more than 29% year over year. The average 401(k) account balance for this group was $ 1,176,018 as of December 2024.

There were 2,361,103 total retirement accounts (including employer-sponsored plan and individually controlled IRA savings and investment accounts) with balances of at least $1 million as of December 2024, a 3% increase from the prior quarter, and a 26.2% jump year over year. The average account balance for retirement millionaires was $ 2,361,103 as of December 2024. 

Change in average balances - accounts with at least $1 million

*Anonymized user data from the Empower Personal Dashboard™ as of December 2023 and 2024.

The average retirement balance was at least $1 million for 206,695 investors as of December 2024, a 23.5% increase compared with 177,230 investors as of December 2023. Average retirement balances overall increased nearly 12% to $495,239 for the same period, year over year.

Change in average balances overall

*Anonymized user data from the Empower Personal Dashboard as of December 2023 and 2024.

There’s a considerable chunk of people with savings hovering just shy of the million-dollar milestone too: Empower Personal Dashboard data shows average retirement balances for people in their 50s reaches $993,058.

Average balances by age

*Anonymized user data from the Empower Personal Dashboard as of December 2024.

Still, these big savers are both spenders and carry debt, too. Among individuals with an average net worth of $1 – $5 million, average credit card balances fall in at around $8,236 for the 12-month period ending December 2024, according to the Empower data. The biggest expenditures for that same group include roughly $2,833 on mortgages, $1,335 on travel, $1,042 on general merchandise, $918 on restaurants, $695 on groceries, and $672 on clothing, monthly on average for the same period.

So, what does it take to achieve this retirement millionaire milestone? A look at the numbers — and behaviors — could offer some valuable insights. 

Getting an early start

Hitting the million-dollar threshold takes time and dashboard data shows people are prioritizing saving for retirement by starting early and saving continuously. The average retirement balance for people in their 20s is $104,568 — and that represents about 92.5% of their average overall net worth.

Not surprisingly, average overall retirement balances — and workplace savings amounts in particular — increase steadily over time as earning potential rises, and up until they hit average retirement age when people start leaving the workforce and earnings years wind down. Dashboard data shows the average 401(k) balance of $ 606,506for people in their 50s levels off and starts to dip to $ 574,9588 when they reach their 60s.

While “consistently” and “as much as possible” may be good rules of thumb for saving, keep in mind there are contribution limits for 401(k)s: Up to $23,500 in 2025 — and an additional $7.500 for those age 50 or older.

Taking advantage of matching contributions

Employers may offer a 401(k) matching program, where they match a portion of an employee’s contribution. The average 401(k) employer match is 4.5%,¹ which can have a powerful compounded effect over time — especially considering the opportunity to invest the funds for more potential growth.

It’s critical, though, to pay attention to the required contribution amounts to get the full match. Empower research shows that saving for retirement is the top goal for working Americans, yet 25% of workplace savers aren't contributing enough to maximize their employer match, essentially leaving money on the table.

Diversifying across asset classes

Investing behaviors and the ability to grow wealth over time are also important functions of working to attain the retirement millionaire distinction. According to Empower Personal Dashboard data, retirement savings increase by more than 137% in the decade from 20s to 30s, but balances are also at their lowest in those earliest years of earning and saving. The decade from 40s to 50s represents another significant growth span: Average balances rise nearly 78% during this period, almost reaching the $1 million milestone.

What do these investment portfolios have in common? According to dashboard data, people with an average overall net worth of more than $1 million tend to invest in a mix across the main asset classes. This broad diversification approach can be key to understanding the value of not keeping all your eggs in one basket.²

Asset allocation for dashboard users with average net worth balances >$1 million

FOR ILLUSTRATIVE PURPOSES ONLY: *Anonymized user data from the Empower Personal Dashboard as of December 31, 2025. User experiences may vary. This is not investment advice.

According to dashboard data, individuals in their 20s in this segment are most heavily weighted in U.S. stocks (50.8%) and cash (22.7%). Cash holdings shrink gradually over time, with individuals in their 50s having the lowest cash balances (15.6%), suggesting a less conservative investing approach during peak earning years, especially given the trend starts to reverse as people enter their 60s. There are some similarities in portfolio mix for individuals in their 40s and 50s.

The big picture

The road to becoming a retirement millionaire can be a long one. Using online tools like the Empower Retirement Planner can help with setting retirement goals and developing strategies that align with these objectives along the way in order to maximize retirement savings.