Average 401(k) balance reaches all-time high of $155,800 in the second quarter
Record Highs for Americans’ 401(k) Balances New data reveals that Americans’ 401(k) balances reached unprecedented levels in the second quarter of 2026. The average balance hit $155,800, marking a 10.5% increase from the previous quarter and a 13.1% rise compared to the same period last year, according to Fidelity Investments’ Q2 2026 Building Financial Futures […]
Employers are adopting strategies from 401(k) plans for HSAs
Employers Boost Health Savings Account Participation More companies are adopting strategies similar to those used for 401(k) plans to encourage employees to sign up for health savings accounts (HSAs). HSAs, which come with significant financial advantages, offer a triple tax benefit: the contributions are not taxable, the investments grow tax-free, and withdrawals for eligible health […]
Record number of 401(k) millionaires in the U.S.
The number of people with 401(k) balances of at least $1 million has reached an all-time high, driven by a strong stock market and significant contributions from employees. Fidelity Investments reported a 19% increase in millionaire retirement accounts from the first to the second quarter, totaling 769,000 such accounts. This surge seems to stem from […]
The Mega Backdoor Roth: A Way for Tech Workers to Contribute $34,000 Each Year to a 401(k) Without Paying Taxes
A Look at the Backdoor Roth Strategy for 401(k) Contributions A 56-year-old software engineer, who has accrued $1.6 million in her 401(k), recently sought advice on r/financialindependent about how to handle her plan’s “after-tax and Roth conversion” options, aside from the typical $24,500 deferral. While she’s taken full advantage of her regular contributions for 20 […]
Your 401(k) might be in danger if the AI boom collapses.
A preliminary Treasury report indicates that a potential bubble in artificial intelligence could threaten the retirement funds of millions of Americans if the industry faces a significant downturn. This concern arises despite claims from figures in Washington and Silicon Valley who see AI as a catalyst for a new economic surge. According to internal analyses, […]
Ex-employees allege Coastal Pediatric held back 401(k) funds; some are still owed.
Coastal Pediatric Associates has established several locations throughout the local area. These sites aim to provide accessible pediatric care to families. The focus remains on a friendly environment where both patients and parents feel welcomed. Recently, community feedback has highlighted the importance of convenient hours and the availability of specialized services. Parents appreciate options that […]
Examining Trump’s statements about 401(k) earnings during his second term
Trump’s Claims on 401(k) Growth During His Term President Donald Trump has frequently highlighted the stock market’s rise during his second term, suggesting that Americans are seeing their wealth grow due to larger 401(k) retirement plan balances. On June 23, speaking in Macungie, Pennsylvania, Trump claimed, “As you know, the price of a typical 401(k)… […]
IRAs have trillions more than 401(k) plans, but few people save in them.
The Shift from 401(k)s to IRAs The differences in asset size between individual retirement accounts (IRAs) and 401(k) plans might seem striking. By the close of 2025, the amount in 401(k)s reached $19.2 trillion, while IRAs only held $10.1 trillion, as reported by the Investment Company Institute, which represents asset managers. Interestingly, not many individuals […]
Report reveals 401(k) balances reach record levels due to increase in automatic enrollment
Record High Contributions to 401(k) Accounts in 2025 A recent report from Vanguard reveals that American contributions to 401(k) savings accounts reached an all-time high in 2025. According to the findings, the median account balance for employees with active 401(k) plans rose by 27% from December 2024 to December 2025. The report notes that 94% […]
Caution: the hidden danger in your 401(k)
For many working Americans fortunate enough to utilize a 401(k), saving for retirement can feel quite straightforward. You simply inform your employer about your desired contribution each year or per pay period, and they deduct that amount from your salary. If you’re one of the lucky ones, your job might even offer a workplace match. […]