The average individual retirement account balance also rose 18% year over year to $129,200 in the third quarter of 2024.
The average 401(k) plan balance ended the third quarter up 23% from a year earlier, at $132,300 — the highest average on record, according to a new report by Fidelity , the nation's largest provider of 401(k) plans.
The number of 401(k) accounts with a balance of $1 million or more jumped to a record 497,000 as of Sept. 30, up 9.5% from the second quarter, according to Fidelity.
Similarly, the number of IRA-created millionaires increased by nearly 5% to a record 418,111.
Overall, the average 401(k) contribution rate, including employer and employee contributions, now stands at 14.1%, just below Fidelity's suggested savings rate of 15%.
Persons:
Sharon Brovelli, Douglas Boneparth, Biden, Mike Shamrell, Shamrell
Organizations:
Fidelity, Fidelity Investments, Finance, Trump Employers, Nasdaq, Dow Jones
Locations:
New York