Revealing the average saving for people aged 55-64 approaching retirement age – what does it mean for you?

“Directly held” means the asset is not in a retirement account. The value of bonds in this table appears much higher than in other categories, especially since only a small percentage of people between the ages of 55 and 64 own directly owned corporate or municipal bonds. This small group either holds many bonds, bonds with high values, or both. Survey respondents also provided their own values ​​and could have reported the par values ​​of the bonds they found on account statements, rather than the market values, which may have been lower in 2022.

Strategies to maximize your retirement savings in your 50s and 60s

There is no right/perfect/perfect amount to save. It varies depending on your personal and financial situation. Your lifestyle and costs can vary from region to region, and if you have pensions or additional sources of retirement income beyond Social Security, it could mean you can have less retirement savings, said Margarita Cheng, founder of Blue Ocean Global Wealth.

If you are raising your children and helping them with major expenses like college, you may not have been able to save the same amount of money when you were younger. Or if you have a car payment or credit card debt and are able to pay it off, you may now be able to direct more money toward savings.

Cheng offers these tips:

Learn more about Social Security

If you’re not already collecting Social Security payments, Cheng recommends creating an account on SSA.gov to see what you can expect to receive at age 62, at full retirement age (as determined by the Social Security Administration), and at age 70. You’ll receive more if you wait until age 70, but you can start collecting the benefit at age 62. You may receive less at that age, “but there are times and situations when that may be appropriate,” Cheng said.

Remember that you are a long-term investor

If you have extra money from paying off debt, allocate some cash flow to both short-term savings and long-term investments. “Even if you’re in your 60s and retiring today, you’re still a long-term investor,” Cheng said. “It’s not unusual to spend 30 years in retirement.”

Use methods beyond 529s to pay for college

If you’re balancing college and retirement costs and have a 529 education account, Cheng recommends not paying for school with just that money. Although they are very favorable and use tax-deductible funds, they suggest paying some college expenses with taxable funds so that you are eligible for some education tax credits.

Consider contributing to a Roth account

Keeping some of your investments in a Roth IRA can save you some headaches when you withdraw the money later — since withdrawals from the Roth will be tax-free, Cheng said. Additionally, being over 50 means you can make catch-up contributions. But you don’t need to top up the full amount every year if it will strain your finances, Cheng said. A few hundred dollars a month in contributions can add up to $3,000 a year.

Discuss your retirement plans

“This is a good time to talk to your spouse and partner about what they want to do and the vision they have, and it’s okay if it’s different,” Cheng said. “It’s important to have these conversations, because we all have different experiences and preferences based on what we’ve experienced and what we’ve seen.”

How to use high-yield accounts and CDs to boost your savings

If you’re in a position to add to your short-term savings, CDs and high-yield savings accounts are great options — especially now, while interest rates are high.

A high-yield savings account provides full access to your money and can provide a strong return — although rates are variable, meaning the credit union or bank can change them at any time. Dozens of the highest paying savings accounts pay It is between 4.00% and 5.00% annual yield (APY) at the moment. A high-yield savings account is a good place for your emergency fund, Cheng noted, and is her recommendation if someone is low on cash reserves.

If you don’t need immediate access to your funds, a certificate of deposit may be a good option. CDs pay a guaranteed, fixed rate while leaving your money untouched for a certain period of time, usually between 3 months and 5 years. The highest paying CDs currently offer yields of up to 4.40% (as of October 31, 2025). These returns are locked in regardless of what happens to interest rates during the term of your CD.

Although inaccessible, Cheng recommends using CDs as an alternative or in addition to high-yield savings accounts because of the fixed rate and suggests considering a CD ladder as a strategy to boost your guaranteed returns.