It's the question keeping millions of Americans up at night: Am I saving enough for retirement? Between volatile markets, inflation that refuses to fully settle, and the slow disappearance of traditional pensions, the anxiety is real — especially for those in their 40s and 50s who can see the finish line approaching but aren't quite sure how close it really is.
We asked certified financial planners across the country for the clearest signals that your retirement plan is working — and the red flags that should send you straight to a professional. Here's what they told us.
The 5 Signs You're on Track
1. You're Saving at Least 15% of Gross Income (Including Employer Match)
Fidelity's 2026 Retirement Savings Assessment identifies a 15% savings rate as the single strongest predictor of retirement readiness. If you're hitting that number consistently — including any 401(k) match from your employer — you're ahead of roughly 70% of American workers. "The 15% rule isn't arbitrary," explains Christine Benz, director of personal finance at Morningstar. "It's the rate at which most people can maintain their pre-retirement lifestyle through a 30-year retirement, assuming they start by age 30." Started later? You may need to push closer to 20%.
2. Your Savings Multiples Are Aligned With Your Age
Financial planners use savings-to-income multiples as a rough health check. By age 40, aim for 2–3× your annual salary in retirement accounts. By 50, target 5–6×. By 60, shoot for 8–9×. These aren't perfect — they don't account for inheritances, pensions, or unusually high or low spending — but they're a solid starting benchmark. If you're hitting these numbers, take a deep breath. You're doing something right.
3. Your Investment Mix Matches Your Timeline
Having your money invested appropriately for your age matters as much as how much you've saved. A 55-year-old with 90% of their portfolio in aggressive growth stocks is taking unnecessary risk; a 40-year-old with everything in money-market funds is leaving too much on the table. The right allocation balances growth potential with downside protection — typically shifting gradually toward bonds and income-producing assets as retirement approaches. Target-date funds handle this automatically, but if you're managing your own allocation, a fee-only fiduciary advisor can help calibrate it.
"The biggest mistake I see isn't saving too little — it's saving enough but having it invested too conservatively for someone with 15+ years until retirement. Inflation is the silent killer of purchasing power." — Ed Slott, CPA and retirement expert
4. You Have a Realistic Spending Estimate — Not Just a Guess
Most people assume they'll spend 70–80% of their pre-retirement income in retirement. The reality is messier: some years you'll spend more (travel, home renovations, helping adult children), some years less. The people who are truly on track have built a bottom-up retirement budget — housing, healthcare, food, transportation, travel, gifts — not just applied a percentage to their current salary. If you've done this exercise and your projected withdrawals (typically 4% of savings in year one, adjusted for inflation) cover your estimated spending, you're in excellent shape.
5. You're Maximizing Tax-Advantaged Accounts Before Taxable Ones
The order of operations matters enormously: 401(k) up to the employer match first, then HSA (if eligible — it's triple tax-advantaged), then Roth IRA, then back to the 401(k) up to the annual limit, and only then into a taxable brokerage account. If this sequence describes your savings strategy, you're optimizing for tax efficiency — and over a 20- to 30-year horizon, that can mean tens of thousands of dollars in additional retirement income.
3 Red Flags You Shouldn't Ignore
Red Flag 1: You Don't Know Your Number
If you can't answer the question "How much do I need to retire?" with a specific dollar figure — even a rough one — that's a problem. It's impossible to know if you're on track without knowing the destination. Use a retirement calculator (Fidelity, Vanguard, and Schwab all offer free ones), or spend an hour with a fee-only planner. Knowing your number turns vague anxiety into an actionable plan.
Red Flag 2: You're Carrying High-Interest Debt Past 50
Credit card debt at 18%+ APR while trying to save for retirement is like running up a down escalator. Every dollar paying down that debt earns a guaranteed, tax-free 18%+ return — far better than any investment. If you're over 50 and still carrying a revolving credit card balance, make eliminating it priority number one, even if it means temporarily reducing retirement contributions.
Red Flag 3: You've Never Run a Social Security Analysis
When you claim Social Security dramatically affects lifetime benefits. Claiming at 62 versus 70 can mean a 76% higher monthly check for the rest of your life. Yet a 2025 survey by the Nationwide Retirement Institute found that only 14% of near-retirees had run a formal claiming-strategy analysis. If you haven't — especially if you're married (spousal coordination strategies add complexity) — this is a high-priority to-do.
The bottom line: Retirement planning doesn't have to be an anxiety-inducing mystery. If you recognize four or five of the green flags — and none of the red ones — you're likely in better shape than you think. If the red flags hit close to home, the best day to address them was yesterday. The second-best day is today.
