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.
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]