Without an automated 401(k) payroll deduction or company match, freelancers must build their own retirement discipline. Here is how much to aim for by age.

Retirement Savings Milestones

  • By Age 30: 1x your annual average net earnings.
  • By Age 40: 3x your annual average net earnings.
  • By Age 50: 6x your annual average net earnings.
  • By Age 60: 8x to 10x your annual average net earnings.

The 15%–20% Rule of Thumb

Aim to allocate 15% to 20% of your net freelance profit into tax-advantaged accounts (Solo 401k, SEP-IRA, Roth IRA, and HSA). Setting up automated monthly transfers ensures consistency even during fluctuating revenue months.