• Home
  • News
  • Personal Finance
    • Savings
    • Banking
    • Mortgage
    • Retirement
    • Taxes
    • Wealth
  • Make Money
  • Budgeting
  • Burrow
  • Investing
  • Credit Cards
  • Loans

Subscribe to Updates

Get the latest finance news and updates directly to your inbox.

Top News

Big Beautiful Bill affects many tax rules including estate planning.

July 6, 2025

Can the Self-Cleaning Feature Damage Your Oven?

July 6, 2025

75 Top Companies With Remote Jobs This Summer

July 6, 2025
Facebook Twitter Instagram
Trending
  • Big Beautiful Bill affects many tax rules including estate planning.
  • Can the Self-Cleaning Feature Damage Your Oven?
  • 75 Top Companies With Remote Jobs This Summer
  • 101 Small Business Ideas to Match Your Personality, Investment, Skills & Goals
  • Final Hours to Get Windows 11 Pro with Copilot for Just $10
  • How to Deal With Negative Articles on Google
  • Squeeze a Whole Business Book into Your Lunch Break
  • Is Fear Triggering Early Social Security Benefit Claims?
Sunday, July 6
Facebook Twitter Instagram
iSafeSpend
Subscribe For Alerts
  • Home
  • News
  • Personal Finance
    • Savings
    • Banking
    • Mortgage
    • Retirement
    • Taxes
    • Wealth
  • Make Money
  • Budgeting
  • Burrow
  • Investing
  • Credit Cards
  • Loans
iSafeSpend
Home » Retirement account balances rise despite economic turmoil: Fidelity
Savings

Retirement account balances rise despite economic turmoil: Fidelity

News RoomBy News RoomAugust 5, 20230 Views0
Facebook Twitter Pinterest LinkedIn WhatsApp Reddit Email Tumblr Telegram

Despite economic volatility, retirement account balances increased in the first quarter of 2023 for the second quarter in a row, according to the latest data by Fidelity Investments. 

The average IRA balance increased to $109,000 in Q1 2023, a 5% rise from Q4 2022.

In addition, the average 401(k) balance jumped to $108,200, a 4% spike from Q4 2022 and the average 403(b) account balance rose to $97,900, up 6% from Q4 2022. 

Plus, 401(k) contribution rates also increased in Q1 2023, Fidelity reported. Total 401(k) savings rates, which included employer-matching contributions, increased to 14%, up from 13.7% in Q4 2022. That brings 401(k) savings rates close to Fidelity’s recommended 15% contribution rates. 

Even though the U.S. has been experiencing a time of stubborn inflation, record-high debt and rising interest rates, Americans’ retirement readiness may be on a brighter path, Fidelity projected. 

“With U.S. employers adding 1 million jobs to the economy in the first quarter of 2023, Americans appear to be refocusing on investing in their future,” Fidelity said in its report. 

If high-interest debt is getting in the way of your retirement savings strategy, you could consider paying it down with a personal loan at a lower interest rate. Visit Credible to get your personalized rate in minutes. 

AMERICA’S DEBT HITS NEW RECORD OF MORE THAN $17 TRILLION: NY FED

Employer 401(k) contributions reach record-high levels

The average 401(k) employer matching contribution reached a record 4.8% in Q1, Fidelity said. Moreover, 85% of workers received some type of employer 401(k) contribution in Q1 and 78% of workers contributed enough money to their 401(k) to earn the full matching contribution from their employers. 

Some employers provide eligible workers with matching contributions. Generally, these are additional contributions that employers make to their employee’s retirement plans calculated as a percentage of the contributions employees make, up to a certain limit, according to a post by Empower. But in some cases, employees need to contribute a certain amount to their retirement plans before they become eligible for matching contributions. 

“We are encouraged to see positive gains for retirement savers, evidenced through rising account balances, improved savings rates and a commitment by employers – including small businesses – to help employees prepare for the future,” Kevin Barry, president of Workplace Investing at Fidelity, said in a statement. 

If you want to make more room in your budget for retirement savings, you could consider eliminating high-interest debt with a personal loan at a lower rate. Visit Credible to compare options from multiple lenders at once, without affecting your credit score. 

NEARLY HALF OF AMERICANS CASH OUT 401(K)S WHEN CHANGING JOBS

Secure 2.0 Act launched to improve America’s retirement readiness 

Before retirement plan balances and contributions rates increased in Q1, the Secure 2.0 Act – which aims to rejuvenate the retirement plan system and help Americans maximize their savings – was signed into law in December 2022. 

Here are some of its highlights:

  • The required minimum distribution (RMD) age was increased to 73 and will rise to 75 in 2033.
  • Starting in 2024, employers can provide their employees with 401(k) contribution matches based on their workers’ student loan payments
  • Plan sponsors in 2024 can start creating “emergency savings accounts” that allow non-highly compensated employees to make Roth after-tax contributions to a special savings account within the retirement plan.
  • Part-time employees will have easier access to workplace retirement plans beginning in 2025.
  • Companies would be required to auto-enroll eligible employees into employer-sponsored retirement plans like 401(k)s and 403(b)s in 2025.
  • Beginning in 2025, catch-up contributions for most workplace retirement plans will increase to $10,000 for workers between the ages of 60 through 63.

If you’re trying to boost your retirement savings, you could do so by eliminating high-interest debt. You could consider paying it off with a personal loan at a lower interest rate. Visit Credible to speak with a personal loan expert and get your questions answered. 

NEARLY HALF OF AMERICANS CASH OUT 401(K)S WHEN CHANGING JOBS

Have a finance-related question, but don’t know who to ask? Email The Credible Money Expert at moneyexpert@credible.com and your question might be answered by Credible in our Money Expert column.

Read the full article here

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Articles

10 Creative Ways to Save for a Big Goal (Like a Vacation!)

Savings June 30, 2025

7 Emergency Funds That Won’t Be Enough in Real Emergencies

Savings June 24, 2025

Ways to Save Money That Financial Advisors Secretly Mock

Savings June 1, 2025

9 Money Saving Habits That Secretly Signal You Don’t Trust Your Partner

Savings May 31, 2025

7 Ways to Save Money Each Month That Therapists Call Emotional Labor

Savings May 27, 2025

Why the Best Money-Savers Know About These Quiet Deals

Savings May 19, 2025
Add A Comment

Leave A Reply Cancel Reply

Demo
Top News

Can the Self-Cleaning Feature Damage Your Oven?

July 6, 20250 Views

75 Top Companies With Remote Jobs This Summer

July 6, 20250 Views

101 Small Business Ideas to Match Your Personality, Investment, Skills & Goals

July 5, 20250 Views

Final Hours to Get Windows 11 Pro with Copilot for Just $10

July 5, 20250 Views
Don't Miss

How to Deal With Negative Articles on Google

By News RoomJuly 5, 2025

Entrepreneur Building a strong brand means recognizing potential reputation crises and knowing how to handle…

Squeeze a Whole Business Book into Your Lunch Break

July 5, 2025

Is Fear Triggering Early Social Security Benefit Claims?

July 5, 2025

This $6 Aldi Find Could Save You Hundreds of Dollars

July 5, 2025
About Us

Your number 1 source for the latest finance, making money, saving money and budgeting. follow us now to get the news that matters to you.

We're accepting new partnerships right now.

Email Us: support@isafespend.com

Our Picks

Big Beautiful Bill affects many tax rules including estate planning.

July 6, 2025

Can the Self-Cleaning Feature Damage Your Oven?

July 6, 2025

75 Top Companies With Remote Jobs This Summer

July 6, 2025
Most Popular

8 Things You’re Forgetting to Include in Your Monthly Budget

July 1, 20252 Views

Big Beautiful Bill affects many tax rules including estate planning.

July 6, 20250 Views

Can the Self-Cleaning Feature Damage Your Oven?

July 6, 20250 Views
Facebook Twitter Instagram Pinterest Dribbble
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact
© 2025 iSafeSpend. All Rights Reserved.

Type above and press Enter to search. Press Esc to cancel.