You can look at the glass as half full or empty, it\u2019s just your view on things. The average 401(k) account plunged by nearly $10,000 in the first quarter of 2022, according to Fidelity, thanks to the market and runaway inflation.<\/p>\n
Fidelity, which oversees more than 35 million retirement accounts, released data that found the average 401(k) account balance decreased to $121,700 in the first quarter of 2022 from $130,700 in the fourth quarter of 2021.<\/p>\n
IRA accounts dropped to $127,100 in the first quarter from $135,600 in the fourth quarter of 2021 and 403(b) accounts fell to $107,600 in the first quarter from $115,100 in the fourth quarter of 2021.<\/p>\n
However, the numbers are a dramatic increase from a decade ago. In the first quarter of 2012, the average 401(k) was $74,900, the average IRA was $75,300, and the average 403(b) was $58,000.<\/p>\n
Most importantly, the rate at which people are saving has soared. The savings rate for 401(k)s, which includes contributions from employers and employees, reached a record level of 14%, just marginally below the 15% Fidelity recommends saving.<\/p>\n
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