To retire with $1 million, how much do you need to save if you earn $120,000 annually?

Saving $1 million for retirement may seem unattainable if you're earning $120,000 annually, but with commitment and the right strategy, it's achievable.

The percentage of your salary you should save for retirement to reach $1 million varies depending on your age when you begin investing.

According to CNBC's calculations, if you earn $120,000 annually, you should save a certain amount of your income.

60% of Americans are still living paycheck to paycheck. Today's graduates make less than their parents. Only 19% of Americans increased emergency savings in 2023.

If you plan to retire at age 65 and currently have no savings, these numbers suggest that you will need to save a certain amount each month in order to achieve your financial goals.

As you near retirement, financial advisors suggest gradually shifting your investment portfolio to become more conservative. Assuming an average annual return of 6%, we do not factor in inflation, taxes, pay increases, or other savings-affecting factors. Therefore, it is crucial to plan accordingly.

To achieve your goal, you should save as much as possible.