How Much Should You Have Saved by Age?
Anxious you are behind on savings? Rough Australian benchmarks by age, plus what actually matters more than a number. Not financial advice.
By Timothy Hirou GaschereauPublished 8 min read
If you have ever done the maths on a friend's savings and felt a quiet wave of dread, this one is for you. There is no official, government-mandated number you are supposed to hit by a certain age, and the benchmarks floating around online are rougher than they look. Here is a sane way to think about it, plus the couple of things that genuinely matter more than any balance.
🎯 The essential: There is no single correct savings number. Benchmarks are rough guides, not rules, because income, city, debt and family situation vary wildly. What matters more than any balance is your savings rate (the percentage of income you save) and having an emergency fund of 3 to 6 months of expenses. Super counts too, and is likely to be your biggest asset at retirement. It is never too late to start. This is general information, not financial advice.
The honest answer: there is no single correct number
Here is what nobody on social media tells you: there is no universally correct answer to "how much should I have saved by now?" The benchmarks you see are rough guides, not verdicts, and they were not written with your life in mind. Someone earning $60,000 in regional Victoria and someone on $150,000 in Sydney are playing completely different games, with different rents, different debts and different family situations. The idea that one number fits both is a bit silly. Use benchmarks as a loose sense check, not a report card, and if you are reading this feeling behind, take a breath: you are already doing something about it.
Two things that matter more than your balance
Before any numbers, here are the two things that genuinely move the needle, wherever you are starting from.
- Your savings rate. The percentage of income you save or invest each month matters far more than the dollar amount sitting there now, because a high rate compounds. Someone saving 20% of a modest income will, over decades, outperform someone saving 5% of a high income. Even 5% to 10% is a great start, and the goal is to nudge it up over time. On $70,000, saving 10% is $7,000 a year; lift it to 15% and it is $10,500.
- Your emergency fund. Cash in a high-interest savings account you do not touch unless something genuinely goes wrong. The rule of thumb is 3 to 6 months of expenses, and on $3,500 a month that is $10,500 to $21,000. Build it gradually. Our guide to building an emergency fund walks through it.
Rough benchmarks by age (illustrative only)
You came for numbers, so here they are, with the small print first. These come from US financial research (Fidelity is the usual source), they are very rough, they mix net worth and invested assets (not just cash), and they were built for the American system, so they do not perfectly account for Australian housing, HECS or super. Treat them as a loose sense check, nothing more.
| Milestone | Rough benchmark | Reality check |
|---|---|---|
| By 25 | A starter emergency fund | Many are still studying. Any savings habit is a win |
| By 30 | ~0.5x to 1x salary (net worth) | Renting in a capital city? This is hard. Do not panic |
| By 40 | ~2x to 3x salary (net worth) | Mortgage and kids affect this. A guide, not a verdict |
| By 50 | ~4x to 5x salary (net worth) | Super compounding does a lot of the work by now |
When you see "net worth" here, that includes your super balance. For most Australians, super is the single biggest chunk of long-term savings, and it absolutely counts.
Savings focus by life stage
| Life stage | Main focus | Emergency fund | Savings priority |
|---|---|---|---|
| 20s | Build the habit, kill high-interest debt | 1 to 3 months (building) | Emergency fund, then small regular investing |
| 30s | Grow investments, deposit, check super | 3 to 6 months (solid) | Super, offset or deposit, investments |
| 40s | Peak earning, super focus, close the gap | 3 to 6 months (maintained) | Super top-ups, offset, catch-up contributions |
In your 20s, it is about the habit, not the balance: clear high-interest debt first, start even one month of emergency fund, and begin small regular investing. In your 30s, get the emergency fund solid, check you are in the right super fund and option, consider salary sacrificing into super, and use an offset if you have a mortgage. In your 40s, often peak earning years, super becomes your biggest lever (including catch-up concessional contributions), and extra mortgage repayments or offset build equity fast. If a house deposit is the goal, our guide to saving a deposit helps.
Do not forget your super
This deserves its own section because it is so easy to forget. Your employer contributes 12% of your ordinary time earnings into super (as of 1 July 2025), and over a working life that builds into what is often the largest financial asset most Australians ever have. Because it is locked away until preservation age, it is easy to ignore. Do not.
- Check your balance via myGov linked to the ATO, and use the ATO YourSuper or ASIC's comparison tool to compare fees and performance.
- Search for lost super, since the ATO holds billions in lost and unclaimed super. See how to find and consolidate lost super.
- Avoid paying fees on multiple funds by consolidating carefully (checking insurance cover first).
For a benchmark aimed squarely at super, see how much super you should have.
What to do if you feel behind
Feeling behind is extremely common, and it does not mean you have failed. It means you are paying attention. Six practical steps, in order:
- Automate your savings with a transfer on payday, so you pay yourself first.
- Use a high-interest savings account for the emergency fund so it earns while it sits.
- Increase your savings rate by 1% every six months. You will barely notice, but it adds up.
- Boost your income through a pay rise, a career move or a small side income.
- Add a little extra to super. Even $50 a month, over 20 years, is meaningful thanks to compounding and the tax break.
- Do not panic. The best time to start was yesterday, the second-best is today. Consistent small actions beat occasional large ones.
There is no single correct savings number, and the benchmarks you see are rough US-origin guides, not rules. Your savings rate and a 3-to-6-month emergency fund matter far more than hitting a specific balance. Super counts as savings and is likely your biggest asset at retirement, so check it and chase down any lost accounts. Your 20s are for habits, your 30s for growing, and your 40s for accelerating. Above all, it is never too late, and progress beats perfection every time.
❓ Frequently asked questions
How much should I have saved by 30 in Australia?
+
There is no official target, but a commonly cited US rule of thumb suggests roughly 0.5x to 1x your annual salary in savings and investments (including super) by 30. In practice, many Australians in their late 20s are still building their emergency fund and early super balance, and that is completely normal. Focus on the habit, not the number.
How much should I have saved by 40 in Australia?
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The same rough benchmarks suggest around 2x to 3x your annual salary in net worth (super, investments and savings, minus debts) by 40. But life happens: mortgages, kids, career changes. If you feel behind, your 40s are often peak earning years and a great time to accelerate.
Does super count as savings?
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Absolutely. Super is Australia's compulsory long-term savings system, and for most people it will be their largest asset at retirement. Include your super balance when thinking about your overall position, even though you cannot access it until preservation age.
What if I have no savings at all?
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Start small and start now. Even $20 a week into a high-interest savings account builds the habit. Focus first on clearing high-interest debt like credit cards and buy now pay later, then a small emergency buffer, then grow from there. Progress, not perfection.
Is it too late to start saving in my 40s?
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Not at all. Compound growth still has 20-plus years to work before a typical retirement age. Catch-up concessional contributions to super, extra mortgage repayments and increasing your savings rate can all make a meaningful difference. The best time to start is now.
How do I find out how much super I have?
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Log in to myGov and link your ATO account. You can see all your super accounts, check for lost super, and use the ATO YourSuper comparison tool to compare fund performance and fees side by side.
Keep reading
Sources
This article is general information only, not financial advice. It does not take into account your circumstances. Benchmarks here are rough, US-origin guides, and figures such as the Superannuation Guarantee rate are current as of mid-2026 and can change. Consider a licensed financial adviser for guidance tailored to you.
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Explore the calculators →General information only. This article is educational and does not constitute personal financial advice. It does not account for your circumstances. Consider your own situation and seek advice from a licensed adviser before acting. Read our full disclaimer.
Timothy Hirou Gaschereau
Founder of Snowball Invest, not a financial adviser.
I write about what I'm learning myself, because nobody ever taught us how to take control of our own money. It's a skill, not a mystery, and it's never too late to learn it. The best day to start was yesterday, the second best is today.
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