The average amount Americans have saved for retirement in every US state—see how you compare

When it comes to retirement savings, residents of one state are leading the pack: Massachusetts.

The average household retirement savings balance in Massachusetts is $448,500, according to an October study by DepositAccounts. That's the largest amount out of all the states reviewed in the study.

The personal finance site analyzed data from the U.S. Census Bureau's 2022 Survey of Income and Program Participation, the latest available, to determine the average amount households in each state have saved for retirement. The totals include balances of 401(k)s, IRAs, Keogh plans and thrift savings plans.

A couple of reasons may explain why Massachusetts residents have the highest average balances. At $80,330 a year, Massachusetts workers earn the highest average salaries in the U.S., according to a recent analysis by Empower.

On top of that, Massachusetts implemented the first state-level program to help workers outside of the corporate workforce grow their retirement savings. In 2017, the state launched its CORE program, which helps small nonprofit organizations offer 401(k) benefits to employees. As of May, over 200 organizations were enrolled in the program, per the state's website.

On the other hand, Americans in Louisiana and Mississippi have the lowest average household retirement savings of $128,900 and $131,500, respectively. And Florida, a popular retirement destination, ranks 19^th with average savings of $287,200.

But remember, while averages can provide an interesting snapshot of retirement data, they don't always tell the whole story. The presence of a few high or low account balances can skew the results.

Here are the average amounts households have saved for retirement by state, according to DepositAccounts. No 2022 data was available for Alaska, Delaware, the District of Columbia, New Hampshire, North Dakota, Rhode Island, South Dakota, Vermont and Wyoming.

• Alabama: $165,500
• Arizona : $365,300
• Arkansas: $143,600
• California: $301,500
• Colorado: $321,200
• Connecticut: $351,800
• Florida: $287,200
• Georgia : $214,500
• Hawaii: $433,700
• Idaho: $190,600
• Illinois: $298,000
• Indiana: $190,700
• Iowa: $228,900
• Kansas  $316,600
• Kentucky: $278,800
• Louisiana: $128,900
• Maryland: $368,700
• Massachusetts: $448,500
• Michigan: $297,900
• Minnesota: $368,400
• Mississippi: $131,500
• Missouri: $203,800
• Montana: $270,900
• Nebraska: $251,100
• Nevada: $286,600
• New Jersey: $376,700
• New Mexico: $169,200
• New York: $275,700
• North Carolina: $294,400
• Ohio: $315,900
• Oklahoma: $222,900
• Oregon: $299,300
• Pennsylvania: $255,500
• South Carolina: $274,500
• Tennessee: $201,200
• Texas: $278,600
• Utah: $270,800
• Virginia: $307,600
• Washington: $330,900
• West Virginia: $174,200
• Wisconsin: $310,700

Focus on your savings rate to reach your retirement goals

Remember, reaching your retirement savings goal is more of a marathon than a sprint. While it can be tempting to focus solely on growing your retirement account balance, there's another number you should keep in mind: your retirement savings rate.

Your retirement savings rate is the percentage of your annual income you put away for the future. Fidelity Investments recommends a savings rate of 15%, inclusive of any employer match.

While 15% may seem high, you don't have to hit it all at once. One way to get there is by automatically increasing your retirement contributions by 1% each year until you reach your target savings rate.

"Saving for retirement may seem like a steep mountain to climb, but the climb doesn't have to be as steep as it looks," Ann Dowd, vice president at Fidelity, said in a July report. "Small steps now can turn into big strides later."

Want to earn more money at work? Take CNBC's new online course How to Negotiate a Higher Salary. Expert instructors will teach you the skills you need to get a bigger paycheck, including how to prepare and build your confidence, what to do and say, and how to craft a counteroffer. Pre-register now and use coupon code EARLYBIRD for an introductory discount of 50% off through Nov. 26, 2024.