Schroders Says Americans Need $1.2 Million to Retire as 70% Expect to Fall Short
Updated
Updated · CNBC · Jul 15
Schroders Says Americans Need $1.2 Million to Retire as 70% Expect to Fall Short
1 articles · Updated · CNBC · Jul 15
Summary
Schroders’ 2026 survey found workplace retirement plan participants think they need $1.2 million for a comfortable retirement, yet only 30% expect to reach even $1 million.
More than half—51%—said they expect to retire with under $500,000 saved, including 24% with less than $250,000, underscoring how far many see themselves from that target.
Rising costs appear to be the main drag: 69% said inflation has put retirement out of reach for their generation, 55% cannot save 10% of pay, and 33% have more credit card debt than retirement savings.
That pressure is reshaping behavior, with some participants cutting plan contributions or borrowing from 401(k)s, while 24% said they do not know how their retirement money is invested.
Among those who do know, 26% of retirement assets sit in cash versus 27% in equities, suggesting caution that advisers say could hinder long-term growth.