The youngest baby boomers will turn 62 in 2026. The oldest are turning 80. That means our entire generation is right in the middle of one of the biggest financial transitions life has to offer, the shift from building a nest egg to actually living on one.
Vanguard calls this the “silver tsunami” in its How America Retires 2025 report, which noted that 4.2 million Americans turned 65 in 2025 alone. That is a lot of people navigating the same questions at the same time.
The good news? There are clear benchmarks that can tell you where you stand. Here are 10 numbers worth knowing right now.
How Much Is Enough?
Let’s start with the savings targets. According to Fidelity, having 10 times your final annual salary saved by age 67 means you probably have enough to retire comfortably. Fall short of that, and you risk running out of money before you run out of years.
Vanguard’s research points to another yardstick: people who consistently saved 12% to 15% of their income over their working years were generally well positioned to retire. If that number is lower than what you saved, working a little longer or finding additional income sources may help close the gap.
Citizens Bank offers a third way to look at it. Their guidance says you are ready when you have 25 times your expected annual expenses saved. So if you plan to spend $65,000 in your first year of retirement, you would want a nest egg of about $1.6 million.
How Much Should Come From Savings?
Vanguard’s study also found that comfortable retirees rely on their savings for no more than 75% of their income. That means Social Security needs to carry its weight. Leaning on it too heavily to make up for a savings shortfall can lead to real lifestyle sacrifices down the road.
The Ages That Matter Most
Certain birthdays carry real financial weight in retirement. Here are the ones to keep on your radar.
- 59½ — Early withdrawal penalties on your retirement accounts end here. You can take money out without the extra 10% federal penalty.
- 62 — Social Security eligibility begins, but taking it this early can reduce your monthly benefit by as much as 30%, according to the Social Security Administration.
- 65 — Medicare kicks in, which means a major shift in how you handle health coverage and your overall budget. Mariner Wealth Advisors notes that this pivot involves reducing taxable income to lower premiums, managing income-related surcharges (IRMAA), and budgeting for costs that Original Medicare does not cover.
- 67 — Full retirement age for anyone born in 1960 or later. This is when you receive your full Social Security benefit, no matter how much other income you earn.
- 70 — The last birthday that boosts your Social Security check. The retirement credits stop here, so there is no financial reason to wait beyond 70 to claim them.
- 73 — Required minimum distributions from most retirement accounts begin. The IRS requires you to start taking withdrawals, whether you need the money or not.
The Gap Years and the Roth Rule
The window between ages 59½ and 73 is worth paying close attention to. This stretch offers a limited opportunity to convert traditional 401(k) or IRA accounts to Roth accounts while managing your tax picture and adjusting for your cash flow needs.
One thing to watch with Roth accounts: withdrawals are tax-free only if the account has been open for at least 5 years, according to Vanguard. That applies even to people older than 59½. Accounts converted from traditional IRAs follow the same rule — the five-year clock starts at conversion.
One More Number Worth Knowing
Here is a benchmark that does not show up on any balance sheet. Vanguard’s study found that 86% of retirees who work with a financial advisor report gaining peace of mind and real emotional value from that relationship.
Money is one part of the picture. Feeling confident about your decisions is another. And for most people, that kind of reassurance turns out to be worth a lot.