401(k)/IRA Holdings in 2016: An Update from the SCF
The brief’s key findings are:
- The Federal Reserve’s 2016 Survey of Consumer Finances offers an opportunity to examine households’ holdings in 401(k)s and IRAs.
- For working households nearing retirement with a 401(k), median combined 401(k)/IRA balances rose from $111,000 in 2013 to $135,000 in 2016.
- While growing balances are encouraging, $135,000 provides only $600 per month in retirement, so current saving levels are still falling short.
- Moreover, about half of households nearing retirement have no 401(k) assets at all, so lack of access to a plan remains an enormous problem.