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Here’s How Much You Should Save Each Month To Retire by 65

John Csiszar

Sat, May 3, 2025, 5:04 PM 3 min read

Retirement projections can be a tricky thing, as there are many variables to consider. The one thing that all experts can agree on, however, is that the earlier you start, the better off you’ll be.

The power of compound interest is so strong that saving even smaller amounts over a longer period of time will generate more wealth than contributing more later. Of course, your choice of investments will also play a big role.

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If you invest solely in the stock market, for example, and earn an average annual return of 10%, your account will grow much more rapidly than if you only earn a 6% return, for example. However, even if you invest in a lower-return asset, saving consistently over the long run is still the path to long-term wealth.

Whether you’re looking to amass $1 million or $2 million, here’s a look at how much you should save each month, by investing in different assets, to retire by 65.

Monthly savings to reach $1 million, earning 6%: $363
Monthly savings to reach $1 million, earning 10%: $96
Monthly savings to reach $2 million, earning 6%: $726
Monthly savings to reach $2 million, earning 10%: $191

Starting a retirement fund at age 20 is one of the best and easiest ways to accumulate a sizable nest egg. With just a few hundred dollars, you could easily end up with an account value over seven digits by the time you retire.

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Monthly savings to reach $1 million, earning 6%: $702
Monthly savings to reach $1 million, earning 10%: $264
Monthly savings to reach $2 million, earning 6%: $1,404
Monthly savings to reach $2 million, earning 10%: $527

At age 30, you’ll likely be earning more than you were in your 20s, perhaps significantly more. This can make it easier to save the required amount to earn a $1 million or $2 million nest egg. You’re still young enough so that compound interest has the time to do much of the heavy lifting for you.