Here's How Much You Really Need to Save Each Month to Retire With $1 Million

A million dollars might sound like a lot. But for retirement, it's more like the baseline.

It's enough to cover modest living expenses, some travel, and the occasional splurge without running out of money too soon.

So, how much do you actually need to save each month to hit that $1 million mark by retirement?

Here's a quick guide by age, along with tips to help you save faster (or help play catch-up).

What you need to save each month by age

Here's a breakdown of how much you'd need to save monthly to hit $1 million by age 65, assuming an 8% average annual return:

The reason I used an 8% annual growth rate is because it's a conservative estimate, slightly below the S&P 500 Index's long-term average of about 10%. While past returns don't guarantee future results, it's a common and reasonable benchmark for long-term planning.

This chart makes one thing very clear: the earlier you start, the less you need to save.

Putting away $325 per month starting at age 25 can get you to $1 million. But waiting until age 45 means you'll need to start socking away $1,825 per month.

This doesn't mean you're out of luck if you're starting later in life. You'll need to hustle a bit harder, but it's still possible to hit your retirement goals.

Taking control of your retirement savings

One of the most common investing regrets is "I wish I started sooner."

But while you can't change the past, you can take control of what happens next. The key is to start now, no matter your age.

Even small amounts can snowball into serious wealth. Starting with just $50 per month in a brokerage account is better than not starting at all. Increases can come over time.

Need expert help or guidance? A short questionnaire from our partner, SmartAsset, helps match you with up to three fiduciary financial advisors, each legally bound to work in your best interest.

Set up automatic contributions

Automating your savings means transferring a little bit of each paycheck into retirement savings, before spending any money yourself.

A good rule of thumb is to save at least 15% of your paycheck for retirement. If that's a heavy lift to start, begin with a smaller percentage and increase it slowly over time.

Your workplace 401(k) is a great place to save, especially if there's a match from your employer. Another option is opening an IRA and setting up automatic transfers each month.

The goal isn't perfection -- it's momentum. Automatic contributions help you build that momentum fast, without even thinking about it.

Invest wisely and wait patiently

Chasing the next hot stock or crypto trend might feel exciting, but it's one of the fastest ways to blow up your retirement goals.

The slow-and-steady (and extremely boring) path has a higher chance of success. Long-term wealth is built with discipline, not drama.

For most people, diversified, low-cost investment funds are the sweet spot. Personally, I'm a big fan of S&P 500 index funds. They give you exposure to hundreds of the biggest U.S. companies, with minimal fees and decades of strong performance behind them.

Average investment returns, repeated over and over, will beat picking a few single winners here and there.

Remember, you don't have to figure it out alone. With our partner, SmartAsset, you can get matched with up to three fiduciary advisors so you can get professional advice.