Average Income for Ages 55 to 64 Revealed

How do your earnings compare to your peers nearing retirement?

Published on Feb. 11, 2026

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According to the Federal Reserve's latest Survey of Consumer Finances, Americans aged 55 to 64 have a median household income of $82,150, the second-highest of any age group. However, income varies widely based on factors like homeownership and education level. While a college degree often leads to higher earnings, entrepreneurship and skilled trades can also be paths to financial success in the pre-retirement years.

Why it matters

Knowing how your income stacks up to your peers can help gauge your retirement readiness, but your full financial picture - including savings, assets, debt, and steady income sources - is what truly determines if and when you can comfortably retire.

The details

The Federal Reserve's data shows a significant income divide based on housing and education status. Homeowners earn a median of $94,040, more than double the $42,160 median for renters. Those with a college degree have a $117,820 median income, compared to $32,430 for those without a high school diploma. Experts say entrepreneurship and skilled trades can also be lucrative paths in the pre-retirement years, even without a four-year degree.

  • The Federal Reserve's latest Survey of Consumer Finances was conducted in 2022.

The players

Federal Reserve

The central banking system of the United States that conducts the Survey of Consumer Finances to track household income, assets, and debt.

Jason Howell

A family wealth advisor with Jason Howell Company in Fairfax, Virginia who provides insights on retirement readiness and financial planning for pre-retirees.

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What they’re saying

“College is optional if you are conscientious and you have an idea - whether that means starting a business or pursuing a trade. In fact, trade school 'can take less than six years to make six figures.'”

— Jason Howell, Family Wealth Advisor (Investopedia)

“Entrepreneurship may take a little longer, but the longer term of owning your income is the most direct approach toward achieving whatever wealth means to you. For experienced workers, it's an ideal time to start a business of any kind, especially one you've built skills in over the past 25 years.”

— Jason Howell, Family Wealth Advisor (Investopedia)

What’s next

Individuals nearing retirement age should regularly calculate their net worth to gauge their financial stability and preparedness. This involves tallying up total assets like homes, investments, and retirement accounts, then subtracting any outstanding debts.

The takeaway

While income is an important factor, true retirement readiness depends on your full financial picture - including savings, assets, steady income sources, and debt levels. Entrepreneurship, skilled trades, and other non-traditional paths can also be viable options for boosting earnings in the pre-retirement years.