She’s held more than 200 jobs in her impressive seven-decade career — she’s taken on everything from nursing and farming to even running for president.
But at age 64, Barbie is at the median age when most Americans begin to withdraw their 401(K)s. And with so many pots to consolidate, it’s no mean feat.
Experts estimate the unmarried, childless doll should have put away about $3.5 million — assuming she’s paid the maximum possible contributions since the pension plan was introduced in 1978.
The figure also assumes she made the most of catch-up contributions that allow employees over age 50 to add up to $7,500 to their 401(K)s each year.
As Barbie mania takes over thanks to Margot Robbie’s $85 million blockbuster, Dailymail.com takes a look back at Barbie’s illustrious career – and how it has landed her such a retirement fortune.
Barbie came onto the scene in 1959, making her now 64 – the age when most Americans begin to retire into their 401(K)s
Experts estimate the unmarried, childless doll should have pocketed about $3.5 million — assuming she’s made the maximum possible contributions since the retirement plan was introduced in 1978.
Career highlights
Barbie entered the world in 1959 wearing only a black and white swimsuit. At the time, she was billed as a “teen fashion model.”
Just three years earlier, in 1956, American beauty Suzy Parker became the first model to earn $100,000 a year — or about $1 million in today’s money. Arguably at the top of her game, it’s safe to assume Barbie earned a similar amount of money.
In the 1960s, she scaled up to become a fashion designer, flight attendant, and later a nurse. According to data from the Federal Reserve of St. Louisin 1965, a registered nurse earned just $2.88 an hour.
Entering the 1970s, Barbie switched careers again, becoming a surgeon and even returning to her modeling origins. Perhaps her most famous career in that decade was as an Olympic gold medalist figure skater.
She was likely inspired by American figure skater Janet Lynn who took home the bronze model at the 1972 Olympics. A year later, Lynn signed a three-year contract worth $1.46 million – or about $400,000 a year.
A decade later, a “rock star” Barbie – complete with electric guitar – appeared on the scene. She was inspired by Madonna and Cyndi Lauper, among others. Today, those two stars have net worths of $850 million and $50 million respectively.
In the 1990s, she became a “businessman” – at the same time, American CEOs earned an average of $ 2.2 million.
By the time the ’90s rolled around, Barbie was on her way to a new venture, taking on the role of a TV chef, inspired by the likes of Rachel Ray and Martha Stewart. In 2008, Ray was making $18 million a year – according to Forbes.
Barbie then transformed into a robotics engineer and scientist in the 2010s and 2020s, respectively. Today, these careers can expect someone to earn $94,000 and $96,000 a year, Indeed show numbers.
An Olympic figure skating Barbie was born in the 1970s, left, followed by a ‘rock star’ Barbie from the 1980s, right
What’s in Barbie’s 401(K)?
When Barbie was born in 1959, the 401(K) did not yet exist. In fact, for much of her early years working, Americans barely saved for retirement plans.
In the 1950s, only about 25 percent of private workers — or 10 million — contributed to a pension, according to the financial planning website Because of.
But graduate financial planner Andrew Latham, who serves as content director at Super moneyestimates that Barbie will soon have caught up.
He told Dailymail.com, “We can safely assume she has made the maximum allowable 401(k) contributions since the program began in 1978 and benefited from catch-up contributions when she turned 50.
Barbie is a financial superstar and invested her 401(k) in a diversified portfolio that has delivered an average annual return of 7 percent.
“Now, at age 64 and still as fabulous as ever, her 401(k) account balance stands at about $3.5 million.”
Americans are bound by a maximum amount they can pay into their 401(K)s, although this varies depending on the year.
In the 1990s, she became a TV chef, inspired by Martha Stewart and Rachel Ray, among others. Ray was making $18 million a year in 2008
For example, by 2023, employees will be able to contribute $22,500 per year to their retirement plan. This is an increase from $20,500 in 2022.
However, when the plan first started in 1978, employees were entitled to savings of as much as $45,475.
But employees over the age of 50 are also entitled to ‘catch-up contributions’. These can be as high as $7,500 per year – up to a total limit of $30,000.
Starting next year, those rules will change, meaning “catch-up contributions” must be put into a Roth IRA instead of a standard 401(K).
What should she do now?
With so many different 401(K) jars, Barbie faces an uphill battle to consolidate them all.
Rita Assaf, vice president of retirement products at Trustworthy investmentssaid, “If you leave an employer, you have a few options for your old 401(k): keep it with your old employer, roll over the money to an IRA, roll over to a new employer’s plan, or cash it out.”
“Depending on what Barbie did after she quit each of her 200 jobs, she may have assets in 401(k)s from different employers, as well as a few Rollover IRAs.”
Assaf advises her to consult a financial planner to find out exactly how to get her nest egg under control.
There are also plenty of tax pitfalls to be aware of. These include required minimum benefits (RMDs) – which determine how much a depositor must withdraw each year once they reach age 73.
“She should consider how this will affect her total income and taxes at the time, and consult with a tax professional to understand how these distributions may affect her tax bracket,” Assaf said.
In addition, Barbie now faces the decision of whether to collect Social Security benefits.
A 2022 “scientist” Barbie, left, could make about $94,000 a year, while a “business executive” Barbie was born in the 1990s, right — when U.S. CEOs made $2.2 million a year
Barbie mania took over the US this summer thanks to the blockbuster movie starring Margot Robbie, picture
Americans can claim Social Security anywhere between the ages of 62 and 70. However, the longer they delay making this decision, the more they benefit.
This is because the Internal Revenue Service (IRS) awards retirees additional “delayed retirement credits” for any money they defer.
Much of this decision also depends on one’s “full retirement age,” which is determined by the year of birth.
Those born between 1959 – such as Barbie – have a “full retirement age” of 66 and 10 months. This is the age at which they are entitled to their maximum Social Security benefits.
They can request payment in advance, but this will result in a hold. For example, someone born in 1960 who receives the benefit only receives 70 percent of the benefit. This increases to 75 percent when they turn 63, 80 percent when they turn 64, and 86.67 percent when they turn 65. They only receive the full benefit at the age of 67.
But for every year they delay the benefit, they increase its value. For example, if someone born in 1960 waits until they are 70 to claim Social Security, they will receive 124 percent of the standard payment. In 2023, the average benefit will be $15,189 per year.
Financial planner Marissa Reale said, “Barbie doesn’t need the money. She should wait to take Social Security until she’s 70 to get the full benefit.”