30+ Data Driven 401(k) Statistics & Facts

Over 70 million Americans currently rely on a 401(k) plan to build their retirement savings. I’ve researched over 30 important 401(k) statistics & facts you should know about.

401(k) stats

Today, 401(k)s are considered the most popular type of retirement plan. More than 70 million Americans currently rely on this retirement plan to build their retirement savings.

With that in mind, we decided to examine 401(k) participation rates, account balances, and growth trends across various demographics more closely.

Keep reading to find out where you stand compared to the average 401(k) account holder.

Top 401(k) Stats

  • In 2024, the average 401(k) balance is $127,100.
  • People ages 65 and up have the highest average 401(k) balance at $272,588
  • The average 401(k) balance for men is $157,489, while the average balance for women is 33.41% lower at $112,401.
  • People earning $150,000+ annually have the highest average 401(k) balance at $336,470.

What is the average 401(k) balance?

According to the latest data, the average 401(k) balance is $127,100.

There are approximately 71.5 million active 401(k) accounts in the United States, an increase of 6.4% in 2023. At the end of Q2 2024, these accounts held over $8.0 trillion in assets. 

However, the average account balances fluctuate based on various factors such as income level, age, gender, job tenure, and state.

We’ll explore each in more detail below.

Source: Capitalize, Investment Company Institute, Fidelity Investments

Average 401(k) Balance by Age

The number one factor that impacts a 401(k) balance is the account holder’s age. 

For example, people aged 65 and up have the highest average 401(k) balance, at $272,588. They also have the highest median 401(k) balance, at $88,488

In contrast, younger professionals aged 25 and under have the lowest average 401(k) balance at $7,351 and the smallest median 401(k) balance at $2,816

Here’s a complete look at the average and median 401(k) balance by age.

Age GroupAverage BalanceMedian Balance
Under 25$7,351$2,816
25 to 34$37,557$14,933
35 to 44$91,281$35,537
45 to 54$168,646$60,763
55 to 64$244,750$87,571
65 and up$272,588$88,488

Source: Vanguard

Average 401(k) Balance by Gender

Today, men, on average, have a 33.41% higher 401(k) balance than women. 

The average working male has a balance of $157,489, while the average working female has a balance of $112,401.

GenderAverage 401(k) BalanceMedian 401(k) Balance
Men$157,489$42,263
Women$112,401$31,164

Factors such as salary, career longevity, and investment risk explain why men tend to have higher 401(k) balances than women. 

However, it’s not all attributed to income. Below is a comparison of the average 401(k) balances for men and women based on income range.

Income RangeFemale (Average)Male (Average)All (Average)
<$15,000$17,949$23,424$24,175
$15,000–$29,999$17,227$19,920$18,610
$30,000–$49,999$26,823$26,131$25,096
$50,000–$74,999$59,731$62,613$59,273
$75,000–$99,999$101,845$111,918$106,875
$100,000–$149,999$168,642$189,245$178,818
$150,000+$300,200$382,012$336,470

Despite being in the same income bracket, men still have higher average 401(k) balances in all but one income range ($30,000–$49,999). 

The large disparity of 401(k) balances between men and women is more evident when divided into generations. 

For example, Baby Boomer men have a median 401(k) balance of $248,000, while women have a median 401(k) balance of $101,000.

GenerationWomenMen
Baby Boomers$101,000$248,000
Generation X$51,000$127,000
Millennials$29,000$63,000
Generation Z$26,000$42,000

Source: Vanguard, Transamerica Center for Retirement Studies

Average 401(k) Balance by Income Level

Income level directly impacts 401(k) account balances and retirement savings. 

Interestingly, the lowest income bracket (under $15,000) has a slightly higher average 401(k) balance than those making between $15,000 and $29,999

However, from the $30,000 income level onwards, there’s a clear upward trend in both average and median balances as income increases.

For those earning $150,000 and above, the average 401(k) balance of $336,470 is nearly 14 times higher than those in the under $15,000 bracket. 

Below is a look at each income level and their average 401(k) balance.

Annual IncomeAverage 401(k) BalanceMedian 401(k) Balance
Under $15,000$24,175$3,691
$15,000 to $29,999$18,610$6,142
$30,000 to $49,999$25,096$10,072
$50,000 to $74,999$59,273$24,939
$75,000 to $99,999$106,875$51,073
$100,000 to $149,999$178,818$91,323
$150,000 and above$336,470$188,678

Source: Vanguard

Average 401(k) Balance by Tenure

Job tenure, like age, plays a significant role in 401(k) account balances. 

Employees in their first year of service have the lowest average balance at $19,192, with a median of just $4,458

As tenure increases, so do account balances. Those with 2-3 years of service see their average balance more than double to $41,868

The most dramatic increase occurs for those with ten or more years of tenure. Their average balance of $288,318 is nearly 15 times higher than those in their first year.

Below is a detailed look at the average 401(k) balance by job tenure.

Job Tenure (years)Average BalanceMedian Balance
0–1$19,192$4,458
2–3$41,868$18,264
4–6$76,864$38,979
7–9$116,717$64,076
10+$288,318$147,383

Source: Vanguard

Average 401(k) Balance by State

Connecticut has the highest average 401(k) balance in the United States at $545,754

Close behind Connecticut is New Jersey at $514,245, New Hampshire at $512,781, and Alaska at $503,822

Below is a look at all 50 states and where they rank.

RankStateAverage Retirement Balance
1Connecticut$545,754
2New Jersey$514,245
3New Hampshire$512,781
4Alaska$503,822
5Vermont$494,569
6Virginia$492,965
7Maryland$485,501
8Massachusetts$478,947
9Minnesota$470,549
10Washington$469,987
11Iowa$465,127
12North Carolina$464,104
13Pennsylvania$462,075
14Delaware$454,679
15Kansas$452,703
16Oregon$452,558
17California$452,135
18Illinois$449,983
19Colorado$449,719
20South Dakota$449,628
21South Carolina$449,486
22Wisconsin$448,975
23Kentucky$441,757
24Michigan$439,568
25Idaho$437,396
26Georgia$435,254
27Texas$434,328
28Florida$428,997
29New Mexico$428,041
30Ohio$427,462
31Arizona$427,418
32Missouri$410,656
33Indiana$405,732
34Nebraska$404,650
35Maine$403,751
36Alabama$395,563
37Rhode Island$392,622
38Montana$390,768
39Louisiana$386,908
40New York$382,027
41Wyoming$381,133
42Nevada$379,728
43Tennessee$376,476
44West Virginia$370,532
45Hawaii$366,776
46Arkansas$364,395
47Oklahoma$361,366
48Mississippi$347,884
49North Dakota$319,609
50Utah$315,160

Source: SoFi

Average 401(k) Participation Rates

The average 401(k) participation rates vary across demographic factors, including income, age, gender, and job tenure. 

For example, income plays a major role in 401(k) participation. As income increases, so does the likelihood of participating in a 401(k) plan. 

In fact, people earning over $150,000 annually have a 95% participation rate. On the other hand, those earning under $15,000 per year have a 40% participation rate.

Here’s a look at each income range and their respective participation rates.

Income RangeParticipation Rate
<$15,00040%
$15,000–$29,99958%
$30,000–$49,99976%
$50,000–$74,99987%
$75,000–$99,99989%
$100,000–$149,99990%
$150,000+95%

The same is true for different age groups. Young workers under 25 have the lowest participation rate at 58%. This is likely due to lower income, other financial priorities, or lack of awareness. 

Participation peaks in the 35-64 age range at 86%. This suggests that as workers progress in their careers, they become more focused on retirement planning.

Here’s a look at each age group.

Age GroupParticipation Rate
<2558%
25–3483%
35–4486%
45–5486%
55–6486%
65+76%

Job tenure is another factor that shows a clear correlation with 401(k) participation. 

New employees (0-1 year) have the lowest participation rate, at 73%, while those with 7-9 years of tenure have the highest, at 89%.

Job Tenure (years)Participation Rate
0–173%
2–383%
4–686%
7–989%
10+88%

Source: Vanguard

Conclusion

If there is one key takeaway from these statistics, it’s that major disparities in retirement savings exist across income levels, age groups, and job tenures.

These figures serve as benchmarks for individuals to gauge their progress and identify areas for improvement in retirement planning.

As the retirement landscape continues to change, it will be interesting to see how Americans adjust to continue growing their retirement savings in the coming years.