A strong savings mindset among Americans means US investors have $48.1 trillion in their retirement pots.
A big number, for sure – but that’s not the biggest news.
Figures released by the Investment Company Institute and reported by The Daily Upside suggest that despite $48.1 trillion in savings, most Americans don’t feel adequately prepared for retirement.
In more bleak news from The Daily Upside, 90% of US employees working full-time feel stressed about their finances.
But wait, there’s a glimmer of hope, with 7 in 10 saying that they’re “at least somewhat confident they’ll be able to retire comfortably”.
Whether you think you’re all set and confident you’ll have the funds you need to retire, or you’re gripped by anxiety and could do with some reassurance, here are five practical steps you could take to ensure you have enough to do so.
Figure out how much is “enough” for you
The Daily Upside reports that “roughly half of American workers believe they will need at least seven figures to retire comfortably”.
While aiming for a nice, round $1 million could help focus your mind, the figure that’s enough for you could be quite different.
In the US, figures from the Bureau of Labor Statistics suggest that, in 2025, retirees spent an average of just under $5,000 a month, or $59,616 a year.
Your figure could be more or less than this, and will be driven by your retirement goals. For example, if you dream of enjoying vacations in far-flung destinations, you’ll need more than someone who simply wants to enjoy more time at home, watch their grandkids grow up, or become more involved with the local community.
As a rule of thumb, we’d recommend you aim for retirement savings that will allow you to access roughly 70% to 80% of your current income.
Track down lost pensions
It’s all too easy to lose track of retirement savings, especially if you’re an expat who’s not only moved house, but also moved to a whole new country – potentially multiple times throughout your career.
A change of address or employer can easily lead to leaving behind an old policy or workplace pension.
Pension schemes should send regular correspondence and include an annual statement summarising how much is in your account and what income you could receive in retirement.
If you know who the pension provider is, contact them to ask for details of what is in your account.
If you’ve moved house or are no longer receiving correspondence, your best option is to contact your old employer and ask them for details of the pension provider.
Read more: How to find lost pensions, savings, and other forgotten money
Consider consolidating your savings into a single pot
As an expat, you may have collected several different pensions, and you may have left pension savings behind if you’ve moved around a lot for work. If so, it may be worth consolidating them into one pot.
Consolidating all your pensions into a single scheme with lower charges, more investment choice, and the potential for increased fund performance could see your pension pot grow.
Since pensions are a long-term investment, even a small decrease in overall fees could amount to a significant increase in your pension pot at retirement.
Whether this is a good idea for you will depend on your circumstances, so please get in touch if you’re considering this and we’ll help you understand what it may mean for you.
Read more: Pros and cons of combining your pension pots. Is it the best move for you?
Increase your contributions
According to the report from The Daily Upside, more than half of Americans either reduced or stopped contributing to their retirement savings altogether in the second half of 2025 – with Allianz data suggesting that many diverted their attention to healthcare expenses.
Although pausing contributions to cover short-term costs may appear sensible – especially if your retirement is still a long way off – the long-term impact could be far worse than you imagine.
On the other hand, thanks to the power of compounding, increasing your annual contributions to your pension even by just 1 or 2% could allow you to build a substantially larger final sum than you may be on track for currently – if done early enough.
Compounding plays a key role in growing your retirement savings, and the snowballing effects of compound growth could help you to reach your goals sooner.
Read more: The compounding effect: How it could boost or harm your finances
The power of compounding will apply to any amount you’re able to contribute to your pension, so even if you’re not able to increase your contributions, remember that each deposit into your pension is likely to snowball over time.
Review how your pension savings are invested
Making regular contributions to your pension is only one piece of the puzzle when it comes to growing your retirement savings – you also need to consider how the funds are being invested.
Depending on your pension provider, you may have a few different options to choose from. However, expert advice from a financial planner can help you decide how best to invest your pension to potentially secure the returns that you need.
Taking the right level of risk and putting your savings into the right types of investments can make a big difference to the final sum of your pension.
Get in touch
If you’d like to learn more about how much you might need to save for retirement and avoid retiring without the necessary funds, we can help.
Email enquiries@alexanderpeter.com or give us a call on +44 1689 493455.
Please note
This article is for general information only and does not constitute advice. The information is aimed at individuals only.
All information is correct at the time of writing and is subject to change in the future.
A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available. Past performance is not a reliable indicator of future performance.
The tax implications of pension withdrawals will be based on your individual circumstances. Thresholds, percentage rates, and tax legislation may change in subsequent Finance Acts.
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.
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