Retirement

The last life stage this comparison covers: what a public pension actually replaces once you stop working.

What's actually happening

In the US, Social Security is the base layer, averaging about $2,005/month and replacing roughly 43% of pre-retirement income for an average earner (ranging from ~79% for low earners up to ~28% for the highest earners — it's progressive, but the average benefit alone rarely supports a pre-retirement lifestyle). Beyond that, retirement security depends heavily on personal savings: 401(k) plans, IRAs, or an employer pension if one is offered — none of which are guaranteed or universal.