On balance, participants in 401(k) plans have seen positive gains in the past year, particularly those with balances exceeding $1 million. The number of so-called 401(k) “millionaires” reached a record high in the second quarter. Nearly half a million accounts had balances of $1 million or more, with an average balance of $1,595,200. However, for most 401(k) participants, the situation is less impressive, as savings rates fall slightly below recommended levels. Gen Xers face particular challenges, with an average balance of $182,100 and a median balance of $55,500. Concerns remain about retirement savings among those with limited access to 401(k) plans or unable to contribute.
