GITNUX MARKETDATA REPORT 2024

Statistics About The Average Return On 401K

In this post, we will examine a comprehensive set of statistics related to 401k investments, including average balances, annual returns, account growth, and investment options. These data points offer valuable insights into the performance and trends within 401k plans over the years, providing a detailed look at the financial landscape for retirement savers.

Statistic 1

"On average, the 401k balances by age 60 reach around $195,500."

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Statistic 2

"401k investors on average earned a return of 15.5% on their 401k portfolios in 2019."

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Statistic 3

"The average return on 401k in 2017 was about 18.6%."

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Statistic 4

"The average 401k account balance grew by 17% in 2019."

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Statistic 5

"The average annual return for 401k plans over the past 20 years has been about 8%."

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Statistic 6

"75% of 401k plans included target-date funds at the end of 2016, out of which average performance was 9.6%."

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Statistic 7

"The average account balance for Fidelity 401k plans grew to $106,500 in the third quarter of 2020."

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Statistic 8

"The average 401k portfolio for U.S retirement savers ranges from 5% in bonds to around 8% in stock."

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Statistic 9

"An average 401k plan includes 23 different investment options and those participating have an average of 2.7 funds in their 401k."

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Statistic 10

"The average 401k retirement plan returned 15.8% in 2017."

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Statistic 11

"The average American's 401(k) return hasn't kept up with inflation, it's near 0%."

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Statistic 12

"The 2018 average 401k return was a loss of 6.4% due to market fluctuations."

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Statistic 13

"People in their 60s have an average 401k balance of $195,500."

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Statistic 14

"The average 401k account balance increased by 30% from 2011 to 2015."

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Statistic 15

"People contributing to their 401k since 2010 have seen an average account balance increase of over 450%."

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Statistic 16

"From the period 2013 to 2018, the average annual total 401k return ranged from -4.24% to +13.69%."

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Statistic 17

"In 2020, the coronavirus pandemic led the average 401k balance to decline by 19% in the first quarter."

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Statistic 18

"The average participant-directed 401k account earned annual returns of 3.1%, net of fees, from 1990-2012."

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Statistic 19

"The long-term average annual return on a 401K plan is 5-8%, which accounts for periods of volatility in the market."

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Overall, the statistics on average 401k balances, returns, and investment options provide a comprehensive picture of the performance and growth potential of these retirement accounts. The data reflects a mix of positive and negative trends, with some years showing significant growth and returns, while others experienced losses due to market fluctuations. Despite the fluctuations, the long-term average annual return on 401k plans has been relatively stable, typically ranging from 5-8%. The variety of investment options available to participants, along with the overall growth in account balances over time, suggest that 401k plans can be a valuable tool for retirement savings when managed effectively.

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