Do you want the good news first about the state of your retirement savings? Or the bad news?
The good news, according to a Fidelity Investments analysis of the third quarter of 2018, is that average retirement account balances have reached record highs. As of Sept. 30, those balances are:
- $106,500 for 401(k) plans, up 2.4 percent from Q2.
- $111,000 for individual retirement accounts, up 3.8 percent from Q2.
- $85,500 for 403(b) plans, up 2.5 percent from Q2.
Those averages are nearly double from where savers were a decade ago, at the start of the financial crisis. The average employee contribution reached its highest level since late 2006, at 8.7 percent, and average rates among women hit a record of 8.5 percent.
"Now, more than ever, we're seeing increases in engagement when it comes to saving and investing for retirement," said Meghan Murphy, a vice president with Fidelity Investments.