How much of your paycheck should go to retirement?
Fidelity's 15% in dollars for your salary, how an employer's match counts toward it, and the 2026 limits on how much you can put in.
Checked October 26, 2026
15% of pay, in dollars
| Salary | 15% a year | A month | Your part with a 5% match |
|---|---|---|---|
| $40,000 | $6,000 | $500 | $4,000 (10%) |
| $60,000 | $9,000 | $750 | $6,000 (10%) |
| $80,000 | $12,000 | $1,000 | $8,000 (10%) |
| $100,000 | $15,000 | $1,250 | $10,000 (10%) |
| $150,000 | $22,500 | $1,875 | $15,000 (10%) |
How the match fits in
Fidelity's 15% includes your contributions plus any matching or profit-sharing from your employer. So the first step is to put in at least enough to get the whole match, then raise your own part until the two together reach 15%.
The 2026 limits
| Account | 2026 limit | Extra from age 50 |
|---|---|---|
| 401(k), what you put in | $24,500 | $8,000, or $11,250 at ages 60 to 63 |
| IRA | $7,500 | $1,100 |
At 15%, the 401(k) limit only binds on a large salary: 15% of $150,000 is $22,500, under the $24,500 limit. Above that, an IRA is the next place for retirement money.
For a couple
Each of you aims at 15% of your own pay, with your own match. If only one of you has a plan at work, the other can still use an IRA. How couples compare by age is in retirement savings for married couples.
Questions people ask
How much of my paycheck should go to retirement?
Fidelity recommends saving 15% of your pay before tax for retirement, and that includes any match or profit-sharing from your employer. Ramit Sethi's plan puts about 10% of take-home pay into investing.
How much should you put in your 401(k)?
Enough, with the match, to reach 15% of your pay on Fidelity's guideline. If your employer matches 5%, you put in 10%. The most you can put in for 2026 is $24,500, plus $8,000 more from age 50.
What are the 2026 401(k) and IRA limits?
$24,500 for a 401(k), with a catch-up of $8,000 at 50 and over, or $11,250 at ages 60 to 63. $7,500 for an IRA, plus $1,100 at 50 and over. These are from the IRS's release IR-2025-111.
Does the employer match count toward 15%?
Yes, on Fidelity's guideline: the 15% includes your contributions plus any matching or profit-sharing contributions from an employer.
How much do people actually put toward retirement?
In 2024 the average U.S. household spent $9,222 on retirement, pensions and Social Security, 11.7% of its spending, per the Bureau of Labor Statistics. That includes Social Security tax, so it is not all personal saving.
What if I can't save 15% yet?
Get the full match first, since it is part of your pay. Then raise your rate a point or two each year, or each time you get a raise, until you reach it.
Sources
4 sources · read October 26, 2026
Every number on this page comes from fidelity.com, iwillteachyoutoberich.com, irs.gov and 1 more. If a source has changed since, the source is right.
- 1Fidelity: Fidelity's easy budgeting guideline (January 5, 2026)fidelity.com
- 2Ramit Sethi: Conscious Spending Basics (updated December 14, 2024)iwillteachyoutoberich.com
- 3IRS: 401(k) limit increases to $24,500 for 2026, IRA limit increases to $7,500 (IR-2025-111, November 13, 2025)irs.gov
- 4U.S. Bureau of Labor Statistics: Consumer Expenditure Surveys, Table 1400, Size of consumer unit, 2024 (Excel)bls.gov
Wonderful gives general information. It isn't a financial or tax advisor.