401(k) balances have reached a record high, according to Vanguard's 2026 How America Saves report. The average account balance for Vanguard participants was $167,970 in 2025, an increase of 13% from 2024.
Since averages can be skewed by a few large outliers, median numbers give a better picture of the typical participant's savings. In 2025, the median Vanguard account balance was $44,115, a 16% uptick from 2024.
Workers put an average of 7.6% of their paychecks into employer-provided retirement plans in 2025, according to Vanguard, stable from 2024. The median contribution was 6.6%, down slightly from 6.7% one year prior.
In 2025, 86% of employees with access to Vanguard-managed plans made contributions, and 45% of participants increased their deferral rate.
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401(k) balances by age
401(k) balances tend to increase as workers get older and their income increases. Rates taper off in retirement, though, as new contributions stop and account holders start living off their savings.
You can see this with the 65+ demographic in the table below.
401(k) balances by gender
Men's average and median 401(k) balances were about 30% higher than women's in 2025. According to Vanguard, women in the sample set generally had lower incomes than men but tended to save a larger share of their income at comparable income levels.
Women also had higher participation rates in defined contribution plans than men in most income brackets. For example, among workers earning between $75,000 and $99,000, 92% of women participated in a defined contribution plan, compared with 86% of men.
How to save for retirement besides a 401(k)
Experts advise contributing 10% to 15% annually for retirement, but an employer-sponsored retirement account isn't the only way to build your retirement nest egg.
IRAs
Opening an IRA with a brokerage like Fidelity or Charles Schwab allows you to increase the amount of tax-advantaged funds you're saving for your post-working years. Unlike a 401 (k), an IRA isn't tied to your employer, so you have more control over your investments and can keep contributing if you change jobs.
Fidelity Investments
Minimum deposit and balance
Minimum deposit and balance requirements may vary depending on the investment vehicle selected. No minimum to open a Fidelity Go® account, but minimum $10 balance for robo-advisor to start investing.
Fees
Fees may vary depending on the investment vehicle selected. Zero commission fees for stock, ETF, options trades and some mutual funds; zero transaction fees for over 3,400 mutual funds; $0.65 per options contract. Fidelity Go® has no advisory fees for balances under $25,000 (0.35% per year for balances of $25,000 and over, which includes access to unlimited 30-minute coaching calls with a Fidelity advisor and tax-loss harvesting on taxable accounts).
Bonus
None currently. Check Fidelity's promotions page for the latest offers here.
Investment vehicles
Robo-advisor: Fidelity Go® IRA: Traditional, Roth and Rollover IRAs Brokerage and trading: Fidelity Investments Trading Other: Fidelity Investments 529 College Savings; Fidelity HSA®
Investment options
Stocks, bonds, ETFs, mutual funds, CDs, options and fractional shares
Educational resources
Extensive tools and industry-leading, in-depth research from 20-plus independent providers
Terms apply.
Pros
- No commission fees for stock, ETF, options trades
- No transaction fees for over 3,400 mutual funds
- Fidelity Go® portfolios use Fidelity Flex® mutual funds with zero expense ratios
- Human advisors manage day-to-day Fidelity Go® portfolio decisions
- Unlimited 30-minute coaching calls with a Fidelity advisor for accounts of $25,000 and over (at no extra cost)
- Tax-loss harvesting available on taxable Fidelity Go® accounts with $25,000 or more
- Abundant educational tools and resources with research from 20-plus independent providers
- 24/7 customer service
- Over 100 brick-and-mortar branches across the U.S. for face-to-face support
Cons
- Fidelity Go® has a 0.35% advisory fee per year for balances of $25,000 and over
- Fidelity Go® invests only in Fidelity Flex® mutual funds (no third-party ETFs or individual securities available)
- No socially responsible or ESG portfolio option through Fidelity Go®
- Some of Fidelity's mutual funds require reaching specific thresholds
- Reports of platform outages during heavy trading days
Charles Schwab
Minimum deposit and balance
Minimum deposit and balance requirements may vary depending on the investment vehicle selected. No account minimum for active investing through Schwab One® Brokerage Account. Automated investing through Schwab Intelligent Portfolios® requires a $5,000 minimum deposit
Fees
Fees may vary depending on the investment vehicle selected. Schwab One® Brokerage Account has no account fees, $0 commission fees for stock and ETF trades, $0 transaction fees for over 4,000 mutual funds and a $0.65 fee per options contract
Investment vehicles
Robo-advisor: Schwab Intelligent Portfolios® IRA: Charles Schwab Traditional, Roth, Rollover, Inherited and Custodial IRAs; plus, a Personal Choice Retirement Account® (PCRA) Brokerage and trading: Schwab One® Brokerage Account, Schwab Global Account™, Schwab Organization Account and Schwab Trading Powered by Ameritrade™
Investment options
Stocks, bonds, mutual funds, CDs and ETFs
Educational resources
Schwab offers courses, educational articles, videos, and webinars for investors at every level, plus advanced screeners, research tools, and market insights through the Schwab Center for Financial Research.
Terms apply.
Pros
- $0 minimum deposit for active investing
- No commission fees for stock and ETF trades; no transaction fees for over 4,000 mutual funds
- thinkorswim® trading platform offers advanced charting, strategy testing and multi-device access
- Robo-advisor Schwab Intelligent Portfolios® available with no advisory fee or commissions
- Access to on-demand advice from Schwab investment professionals
- Nearly 400 brick-and-mortar branches across the U.S. for in-person support
Cons
- $5,000 minimum required for Schwab Intelligent Portfolios® robo-advisor
- $0.65 fee per options contract
- Tax-loss harvesting only available on balances of $50,000 or more within Intelligent Portfolios®
- High cash allocation requirement in Intelligent Portfolios® may limit returns compared to competitors
Robo-advisors
If you're nervous about DIY-ing your retirement fund, a robo-advisor like Betterment or Wealthfront is probably the best route. These automated investing platforms build and manage your portfolio, with tools to determine how much you need to save to meet your retirement goals. (They'll also make sure you don't contribute more than the annual IRA limits.)
Betterment
Minimum deposit and balance
Minimum deposit and balance requirements may vary depending on the investment vehicle selected. For example, Betterment doesn't require clients to maintain a minimum investment account balance, but there is an ACH deposit minimum of $10. Premium Investing requires a $100,000 minimum balance.
Fees
Fees may vary depending on the investment vehicle selected, account balances, etc. Base price is $5/month for investing accounts; automatically switches to 0.25% annually once you reach $24,000 in total balance or set up $200/month in recurring deposits. Premium plan is 0.65% annually.
Investment vehicles
Robo-advisor: Betterment Digital Investing IRA: Betterment Traditional, Roth and SEP IRAs 401(k): Betterment 401(k) for employers
Investment options
Stocks, bonds, ETFs and cash
Educational resources
Betterment's resources hub offers expert-written guides on investing basics, retirement planning, and personal finance, designed to help investors at every level make more informed decisions.
Terms apply. Does not apply to crypto asset portfolios.
Pros
- No trade or transfer fees
- Automated investing with portfolios built around your financial goals, timeline and risk tolerance
- Assign specific goals to each portfolio and invest using different strategies
- Quick and easy account setup with the ability to sync external retirement accounts
- Advanced features include automatic rebalancing, tax-loss harvesting and socially responsible investing
- Premium plan users ($100,000 minimum) get unlimited access to certified financial planners (CFPs)
Cons
- $5/month fee for investing accounts (switches to 0.25% annually once you hit $200/month in recurring deposits or $24,000 in total balance)
- Premium plan requires a $100,000 minimum balance
Wealthfront
Minimum deposit and balance
Minimum deposit and balance requirements may vary depending on the investment vehicle selected. $500 minimum deposit for investment accounts.
Fees
Fees may vary depending on the investment vehicle selected. Zero account, transfer, trading or commission fees (fund ratios may apply). Wealthfront annual management advisory fee is 0.25% of your account balance
Bonus
None
Investment vehicles
Investment options
Stocks, bonds, ETFs and cash. Additional asset classes to your portfolio include real estate, natural resources and dividend stocks
Educational resources
Offers free financial advice for college planning, retirement and homebuying
Terms apply.
Pros
- No trade or transfer fees
- Highly automated investing with portfolios built around your risk tolerance and timeline
- Daily tax-loss harvesting available to all accounts to help reduce your tax bill
- High-yield Cash Account earns 3.30% APY base rate (up to 4.20% promotional APY for new clients with direct deposit) with no account fees or minimum balance
- Offers a cash management account with a debit card and access to 19,000+ fee-free ATMs
- Path financial planning tool gives personalized projections for retirement, home purchases and college savings
- Refer a friend and both parties receive $5,000 managed fee-free
Cons
- $500 minimum deposit for investment accounts
- 0.25% annual management fee
- No access to human financial advisors
- Tax optimization features (stock-level tax-loss harvesting, smart beta) only available at higher account balances
Financial advisors
If you have a complicated financial profile or are interested in a more customized approach, a financial planner might be the right choice.
You'll pay more, but they can offer personalized investment advice, help you plan for major life events and coach you through market ebbs and flows in a way that an algorithm can't.
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