Average IRA Balance by Age and Generation in 2026: How Does Your Retirement Account Compare?

Savers contributed a record amount of money to their Individual Retirement Accounts (IRAs) in the first quarter of 2026, pushing the average balance up more than 7% over the past year despite market volatility, according to Fidelity Investments.

Is your IRA keeping pace? Or falling behind?

Eyeballing average IRA account balances and contribution levels versus other savers in your age group can give you an idea if you're ahead in the savings game, keeping up, or falling behind.

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Average IRA balance by age and generation

The average IRA balance for all ages at the end of the first quarter of 2026 was $131,400, according to Fidelity Investments' analysis of its 19.6 million IRA accounts. That was down 4.16% from the fourth quarter of 2025.

However, balances would have been even lower if not for record contributions to IRAs over the past year, according to Fidelity. IRA contributions are up 29% year-over-year. And a record-high number of Fidelity IRA account holders made deposits.

"You can't control market volatility, but you can control your budgets and your savings rate," said Zjamahi Fain, a private wealth adviser at U.S. Bank. "View savings as a fixed expense rather than what's left over (each month). Treat your wealth-building process as a non-negotiable habit."

The bulk of IRA money in the first quarter of 2026 went to Roth IRAs, which are funded with after-tax dollars and allow tax-free withdrawals.

Let's drill down to average IRA balances by age and generation in the first quarter of 2026 to get a more precise picture of how much other workers in your age band have set aside. These totals include contributions, appreciation, and rollovers.

Source: Fidelity Investments

Here is a summary of other findings from the Fidelity report.

• IRA losses of roughly 4% in the first quarter of 2026 were largely due to a stock market selloff in March sparked by the U.S. attack on Iran and soaring gas prices.
• IRA balances continue to grow over the long term thanks to record contributions, compounding interest and stock market appreciation.
• Roth IRAs are the most popular retirement savings choice among younger generations.

What the experts are saying about IRA balance changes

Bob Mascialino, Fidelity:

"We're encouraged to see investors creating thoughtful, long-term strategies to build wealth," says Bob Mascialino, president of wealth at Fidelity Investments. "Choices like increasing contributions to Roth accounts reflect a focus on flexibility, tax efficiency, and confidence in planning for the future."

Erin Kolo, Baird:
There are two lessons to glean from the latest snapshot of IRA balances, says Erin Kolo, senior VP and manager, PWM equity and fixed income research at Baird.

"The first is that it is super important to choose an investment strategy that you can stick to, regardless of market turbulence," Kolo says. "The second lesson is the importance of ensuring that your IRA is invested appropriately so that it can weather drawdowns, especially for those closer to retirement."

Emelia Fredlick, Morningstar:
Despite periodic market volatility, such as recent turbulence caused by the U.S. attack on Iran, there's no need to think short-term, notes Emelia Fredlick of fund-tracker Morningstar. After analyzing stock market crashes over the past 150 years, Fredlick concluded: "Though they varied in length and severity, the market always recovered and went on to new highs. If you don't panic and sell your stock holdings when the market crashes, you will be rewarded in the long run."

The care and feeding of your IRA

With traditional pensions on the verge of extinction, the burden of saving for retirement increasingly falls on workers. IRAs are an especially important savings tool for self-employed folks and small business owners who don't have a workplace retirement plan. Total IRA assets were $19.2 trillion at the end of December 2025 (the latest available data), accounting for 39% of total retirement assets of $49.1 trillion, according to the Investment Company Institute.

What jumps out from the Fidelity data is how IRA account balances for older, long-term savers balloon thanks to regular contributions and the tendency of stocks to rise over time. The takeaway (especially for younger savers)? It’s not impossible to accumulate a sizable nest egg.

"Staying disciplined and staying the course will help you cancel out the noise and achieve your financial objectives," said Fain, adding that you should make sure your portfolio is properly diversified to handle different market scenarios.

What looks like a puny account balance today can add up to hundreds of thousands of dollars. Compounding, or earning returns on both your original investment and prior gains, is a powerful force in building retirement savings.

In fact, IRA balances at the end of March 2026 were 46% higher than they were 10 years ago, according to Fidelity. When it comes to saving for your golden years, Fidelity recommends saving 15% of your income, although that includes workers with 401(k)s who get a company match.

If savers have a workplace retirement savings plan, they should consider investing in an IRA only after saving enough in their 401(k) to receive the full company match, says Rob Leiphart, VP of financial planning at RB Capital Management.

Both traditional and Roth IRAs allow your contributions and gains to grow tax-free. However, traditional IRAs are funded with pre-tax dollars, which gives you an upfront tax deduction, but requires you to pay taxes on withdrawals at your regular income rate. In contrast, Roth IRAs are funded with after-tax dollars but come with tax-free withdrawals in retirement.

Roth IRAs are increasingly popular with the younger generations. Roth IRAs accounted for 67% of all IRA contributions in the first quarter of 2026. And Roth conversion transactions increased 41% over the past year, according to Fidelity.

What you should have saved, by age

• Fidelity recommends having at least six times your salary saved for retirement by age 50.
• IRA account holders essentially doubled their money each decade until their 40s, and continued to enjoy double-digit growth to retirement, thanks to the power of compounding.
• Generally, "super savers" regularly contribute to a retirement account and max out contributions up to IRS limits.

Let’s see how IRA balances by age, or savings during each decade of life, stacked up at the end of the fourth quarter of 2025.

To help savers get a better guesstimate of whether their savings are on track for a secure retirement, we’ve also included Fidelity's guidelines as to how much of one's salary should be saved by the start of each decade in a saver's life. For example, Fidelity recommends that someone turning 50 should aim to have at least six times their salary saved by then. So, if you earn $100,000 at age 50, you should have at least $600,000 set aside by then.

Again, notice the power of compounding when building wealth. In each 10-year period, starting with savers in their 20s, IRA account holders essentially doubled their money each decade in the first half of their careers. They continued to see healthy growth beyond their 40s. The key takeaway: the modest average IRA balance of $56,175 in the 30s age bracket mushrooms into a $207,504 nest egg two decades later.

The secret of "super savers," personal finance experts say, is regularly contributing to a retirement account like an IRA and, if possible, maxing out contributions up to IRS limits. They also recommend investing in stocks for growth during peak earning years and implementing a buy-and-hold strategy to capture the full benefits of compounding.

For a more comprehensive look at how your savings compare to peers, see our articles on The Average Net Worth by Age, The Average 401(k) Balance by Age and The Average Retirement Savings by Age. To get a handle on projected medical expenses, see Average Cost of Health Care by Age and US State.

Pros and cons of IRAs

• The biggest advantage of IRAs is the tax benefits they offer.
• IRAs tend to offer a wider range of investment choices than a 401(k).
• One key drawback of IRAs is their much lower annual contribution limits compared to 401(k)s.
• Early withdrawals from your IRA before age 59-1/2 are subject to a 10% penalty (plus regular income tax), with fewer exceptions than 401(k) loans or hardship rules.

The biggest perk of IRAs is the tax benefits they offer. IRAs, which are held in brokerage accounts, also offer a wider range of investment choices than a 401(k), which has a limited menu of options. “If you want to buy individual stocks, or if you want to do something that you can’t do within a 401(k) because it’s not one of those 20 or 25 investment options, then the IRA serves as a great diversification tool,” said Leiphart.

Roth IRAs also give you more flexibility in getting at your money without paying an IRS penalty. You can take out your contributions at any time, since you’ve already paid taxes on the money used to fund your Roth IRA.

IRAs are also a great landing spot for assets from old 401(k)s. Rolling over old retirement accounts and balances into a single IRA is a good way to consolidate your accounts.

On the negative side, the amount you can contribute to an IRA each year is much lower than the amount you can sock away in a 401(k). In 2026, for example, the IRS limit on IRA contributions is $7,500 (or $8,600 for those 50 or older), according to the IRS. In contrast, participants in workplace 401(k) plans are able to contribute up to $24,500, with $32,500 for savers 50 and older in 2026. Savers in 401(k) plans aged 60, 61, 62 and 63 are able to make a super catch-up contribution of $11,250 (or $3,250 more) in 2026, if their company allows it. (The deadline for 2026 IRA contributions is April 15, 2027.)

Be sure to review income eligibility rules for IRAs.

An IRA can help your retirement savings catch up

• Setting up automatic contributions to your IRA can help boost your retirement savings.
• Boosting your contributions when you get a raise can add up in future years.
• Saving in a workplace 401(k) doesn't mean you can't save in an IRA too.

Just because you’re saving in a 401(k) doesn’t mean you can’t save in an IRA.

One way to boost your retirement savings via an IRA is to automate the process by setting up automatic contributions that coincide with each pay period, just like your 401(k) at work, says Leiphart. And if you’re tight on cash now, you can plan on saving a little more in future years, say 1% more each year, when you get your annual raise, adds Leiphart.

Get the full story: what you're worth

Want to see how more of your retirement portfolio compares to peers? Read:

The Average Net Worth by Age,

Average Retirement Savings by Age,

The Average 401(k) Balance by Age,

Average 401(k) Match: Do You Work for a Generous Company? and

The Average Social Security Check by Age.

Read More About IRAs

• Quiz: Understanding Roth Conversions
• IRA Conversion to Roth: Rules to Convert an IRA or 401(k) to a Roth IRA
• How to Open a Roth IRA in Five Simple Steps
• How to Convert a Traditional IRA to a Roth after 60