|
| 25 | $20,000 | 5.8 percent | 1.6 percent |
| 25 | $40,000 | 8.2 percent | 0.78 percent |
| 25 | $60,000 | 10 percent | 0.55 percent |
| 25 | $80,000 | 11.2 percent | 0.4 percent |
| 30 | $20,000 | 7 percent | 1.65 percent |
| 30 | $40,000 | 10 percent | 0.79 percent |
| 30 | $60,000 | 11.8 percent | 0.54 percent |
| 30 | $80,000 | 13.6 percent | 0.42 percent |
| 35 | $20,000 | 8.6 percent | 1.75 percent |
| 35 | $40,000 | 12.2 percent | 0.86 percent |
| 35 | $60,000 | 14.6 percent | 0.55 percent |
| 35 | $80,000 | 16.4 percent | 0.43 percent |
| 35 | $100,000 | 17.6 percent | 0.34 percent |
| 40 | $20,000 | 10.2 percent | 1.67 percent |
| 40 | $40,000 | 14.8 percent | 0.86 percent |
| 40 | $60,000 | 17.6 percent | 0.57 percent |
| 40 | $80,000 | 19.8 percent | 0.42 percent |
| 40 | $100,000 | 21.4 percent | 0.35 percent |
| 45 | $20,000 | 12.4 percent | 1.76 percent |
| 45 | $40,000 | 18 percent | 0.9 percent |
| 45 | $60,000 | 21.4 percent | 0.59 percent |
| 45 | $80,000 | 24 percent | 0.45 percent |
| 45 | $100,000 | 26.2 percent | 0.37 percent |
| 45 | $120,000 | 28.2 percent | 0.31 percent |
| 50 | $20,000 | 15 percent | 1.87 percent |
| 50 | $40,000 | 22 percent | 0.97 percent |
| 50 | $60,000 | 26.2 percent | 0.64 percent |
| 50 | $80,000 | 29.8 percent | 0.48 percent |
| 50 | $100,000 | 32.2 percent | 0.39 percent |
| 50 | $120,000 | 35 percent | 0.33 percent |
| 55 | $20,000 | 18.6 percent | 2.11 percent |
| 55 | $40,000 | 27.2 percent | 1.04 percent |
| 55 | $60,000 | 32.6 percent | 0.71 percent |
| 55 | $80,000 | 36.6 percent | 0.53 percent |
| 55 | $100,000 | 40.2 percent | 0.43 percent |
| 55 | $120,000 | 43.6 percent | 0.36 percent |
| 60 | $20,000 | 23.8 percent | 2.39 percent |
| 60 | $40,000 | 34.4 percent | 1.23 percent |
| 60 | $60,000 | 41.2 percent | 0.81 percent |
| 60 | $80,000 | 46.8 percent | 0.61 percent |
| 60 | $100,000 | 51.4 percent | 0.5 percent |
| 60 | $120,000 | 55.4 percent | 0.41 percent |
Reprinted with permission by the Financial Planning Association, Journal of Financial Planning, April 2007, by Roger Ibbotson, Ph.D.; James Xiong, Ph.D., CFA; Robert P. Kreitler, CFP; Charles F. Kreitler; and Peng Chen, Ph.D., CFA, "National Savings Rate Guidelines for Individuals." For more information on the Financial Planning Association, visit www.fpanet.org or call (800) 322-4237.
Crunching the numbers
Now let's assume you're 40 with an income of $60,000, and you did start saving at an earlier age. Right now you have $100,000 saved up. What should your savings be in that case?