Here is a list of the most interesting and important statistics about retirement plans in the US. Click on any of the links below if you’d like to jump forward.
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The state of retirement plans in the United States
- On December 31, 2019, retirement accounts held $34.9 trillion in assets. This includes both defined contribution plans (like 401(k)s) and defined benefit plans. [ICI]
- In the first quarter of 2021, retirement assets in the US totaled $36.4 trillion. [ICI]
- On September 30, 2022, retirement accounts held $32.3 trillion in assets. This also includes both defined contribution plans and defined benefit plans. [ICI]
- Retirement assets accounted for 30% of all household financial assets in the US at the end of September 30, 2022. [ICI]
- In 2020, the average retirement age in the US was 65. [Gallup]
- 88% of workers in the US believe that retirement savings should be a top priority. [Aegon]
- 30% of US workers say they will never be able to retire. [Federal Reserve]
- 52% of US households are at risk of not being able to maintain their standard of living in retirement. [NIRS]
Retirement plan savings stats
- 62% of working households in the United States have no retirement savings. Of those who do have retirement savings, the median amount saved is only $5,000 for households headed by people aged 55-64. [NIRS]
- The average 401(k) balance was $129,300 in the third quarter of 2021. [Fidelity]
- The median retirement account balance for US households is $22,000. [NIRS]
- The average retirement savings for Americans aged 32 to 37 is $31,644. [EPI]
- The median retirement savings for workers in their 40s is $63,000. [Fidelity]
- The median retirement savings for workers in their 50s is $117,000. [Fidelity]
- The median retirement savings for Americans aged 56 to 61 is $21,000, according to the Economic Policy Institute. [EPI]
- 42% of US workers have no retirement savings. [NIRS]
- 72% of US workers report that they have saved less than $250,000 for retirement. [NIRS]
- In 2020, 37% of US workers reported that they have less than $50,000 in retirement savings. [Northwest]
- In 2021, 55% of Baby Boomers have no retirement savings, while 30% have less than $100,000 saved. [IRI]
- In 2021, 70% of Americans have reported being “financially unhealthy,” meaning they have at least one indicator of financial stress, such as not being able to pay bills on time or having no savings. [CFS]
- In 2021, 80% of workers are currently saving for retirement, with the median amount saved being $25,000. However, 38% of workers say they have less than $25,000 saved for retirement. [EBRI]
Retirement plan contribution stats
- 38% of plan participants in the US contribute the maximum amount to their 401(k) plan. [Vanguard]
- In 2021, the average 401(k) contribution rate for those under age 25 was 7.7%, compared to 9.9% for those age 45-54. [Fidelity]
- In 2020, the average 401(k) contribution rate for women was 8.4%, compared to 9.4% for men. [Fidelity]
- In 2021, the average employer 401(k) contribution rate was 4.8% of employee pay. [Fidelity]
- In 2020, the average IRA contribution was $3,990. [IRS]
- The average contribution rate to a traditional or Roth IRA in the US is 6.2% of income. [Charles Schwab]
- In 2020, the average contribution rate to a SEP IRA in the US was 11.7% of income. [Fidelity]
- In 2020, the average contribution rate to a SIMPLE IRA in the US was 3.8% of income. [Charles Schwab]
- In 2020, the average total 401(k) contribution (employee and employer) was 12.7% of employee pay. [Fidelity]
- In 2020, the average total 401(k) contribution (employee and employer) for those under age 25 was 8.5%, compared to 15.7% for those age 55-64. [Vanguard]
- In 2020, the average total 401(k) contribution (employee and employer) for men was 13.8%, compared to 11.3% for women. [Fidelity]
Retirement confidence
- Only 33% of workers in the US are very confident in their ability to retire comfortably. [EBRI]
- 70% of workers in the US believe they will need to work past the age of 65. [TCRS]
- 56% of US workers plan to work part-time in retirement. [TCRS]
- 36% of workers in the US do not know how much they need to save for retirement. [EBRI]
- 60% of US workers plan to retire after age 65, or not at all. [Charles Schwab]
- 70% of Americans are worried about having enough money for retirement. [Bankrate]
- In 2021, 67% of workers report feeling very or somewhat confident in their ability to retire comfortably. However, only 23% are very confident, which is lower than the percentage in 2019 (27%). [EBRI]
- 67% of workers are confident they will be able to maintain their standard of living in retirement. [EBRI]
- In 2021, 62% of Americans have not calculated how much money they will need in retirement. Among those who have, the median estimated amount needed is $500,000. [TIAA]
- In 2021, about one-third of Baby Boomers and Gen Xers will not have enough retirement income to cover basic expenses and uninsured health care costs. [PEW]
- Only 29% of Americans feel very confident that they will have enough money to retire comfortably. [EBRI]
- In 2021, only 18% of Americans are very confident that they will have enough money to retire when they want to. [Bankrate]
Retirement age & income stats
- In 2021, the average retirement age in the United States is 65, but many people retire earlier or later. Women tend to retire earlier than men, and college-educated workers tend to retire later. [CRR]
- The average retirement age in the United States is 62, according to the Social Security Administration. [SSA]
- The median retirement income for people aged 65 and older is $25,186, and the median net worth is $234,200. However, these figures vary widely depending on factors like education level and race. [CRR]
- 73% of workers plan to work past age 65 or do not plan to retire at all. Of those who plan to continue working, 68% say they will do so because they want to, not because they have to. [TCRS]
- The average retirement age for teachers in the US is 59. [Merril Lynch]
Social security
- The average Social Security benefit for retired workers in 2021 is $1,543 per month. [SSA]
- In 2020, nearly 40% of retirees rely on Social Security as their primary source of income in retirement. [TCRS]
- In 2021, 51% of married couples and 71% of unmarried individuals rely on Social Security for at least half of their income in retirement. [SSA]
- In 2020, the average annual Social Security benefit for retired couples was $33,932. [SSA]
Retirement plan withdrawals & loans statistics
- In 2020, 30% of workers in the US withdrew or borrowed from their retirement accounts due to the COVID-19 pandemic. [TCRS]
- In 2020, the average 401(k) loan balance was $14,300. [Alight]
- 52% of workers who have withdrawn from their retirement accounts say they have done so because of an emergency. [TCRS]
- 29% of workers who have withdrawn from their retirement accounts say they did so to pay off debt. [TCRS]
- 59% of workers who have taken a 401(k) loan say it has had a negative impact on their retirement savings. [Alight]
- In 2020, 23% of workers in the US withdrew money from their retirement accounts to pay for housing-related expenses. [TCRS]
- In 2020, 45% of workers in the US withdrew money from their retirement accounts to pay for daily living expenses. [TCRS]
- The CARES Act allowed penalty-free withdrawals from retirement accounts for those affected by COVID-19 in 2020, with 1 in 5 eligible workers taking advantage of this option. [Vanguard]
- The number of 401(k) loans taken out increased by 12% in 2020 compared to the previous year. [Charles Schwab]
- 34% of workers who have taken a 401(k) loan say they did so to pay for unexpected expenses. [TCRS]
- 46% of workers who have taken a 401(k) loan say they did so to pay for a major expense. [TCRS]
- In 2020, 15% of workers in the US reduced their 401(k) contributions due to the COVID-19 pandemic. [Fidelity]
- 25% of workers who have taken a 401(k) loan say they did so to pay off credit card debt. [TCRS]
- 44% of workers who have taken a 401(k) loan say they did so to pay for a home purchase or renovation. [TCRS]
- The number of hardship withdrawals from 401(k) plans decreased by 7% in 2019 compared to the previous year. [TCRS]