Retirement plan administrators Fidelity and Vanguard have published data showing how much older workers typically hold in 401(k) accounts. The figures are not a definitive measure of financial readiness, because peers may be behind schedule and individual retirement needs differ.
Fidelity reported that, as of the end of March, the average 401(k) balance for participants aged 60 to 64 was $257,400. The company said the average for its 55-to-59 cohort was $260,800, while the average for participants aged 65 to 69 was $258,800.
Vanguard provided a related measure for the broader 55-to-64 age group. As of the end of last year, the average 401(k) balance for its participants in that bracket was $305,006. Vanguard noted that the average is lifted by a small number of very large accounts. The median balance for the same group was $107,269, a figure that may better reflect the typical account.
Fidelity also cited savings held outside workplace retirement plans. It said baby boomers, currently aged 62 to 80, held an average of $286,700 in individual retirement accounts. The average for Generation X workers, currently aged 46 to 61, was $118,700 in retirement savings accounts outside a workplace plan. Fidelity indicated that these IRA averages are also skewed upward by a small number of large accounts.
