US retirement savings hit record highs in 2025 despite market swings
Retirement savings in the US demonstrated robust growth in 2025, despite market volatility. The average 401(k) balance surged by 11%, reaching $146,100. More accounts than ever before surpassed the million-dollar mark, although precise year-end 2025 figures are still awaited.
The number of 401(k) accounts worth at least $1 million continued to rise steadily in recent years. By the close of 2024, 537,000 accounts had attained that milestone. Preliminary estimates suggest this figure climbed to 665,000 in 2025, though official year-end reports are still anticipated.
Overall savings rates remained steady, with participants setting aside an average of 14.2% of their income. Employees contributed 9.5% on average, while employers added a 4.7% match. Gen Xers led the way, saving 15.4% of their gross income and holding 60.3% of the million-dollar-plus accounts.
Women made significant strides, with nearly 40% increasing their savings rate in 2025. Gen Z women were particularly active, with 47% boosting contributions. The average balance for women reached $119,500—a 22% rise over five years—though the median stood at $29,400. Those saving for 15 years or more had an average balance of $508,700.
For all participants, long-term saving yielded positive results. The median balance for those contributing for at least 15 years was $377,700. Gen Xers, despite their higher savings rate, had a median balance of $67,100. Meanwhile, the overall median balance across all accounts remained at $34,400, far below the average.
The data underscores a widening gap between average and median balances, reflecting disparities in long-term savings. Women's contributions and balances have grown, yet still lag behind broader averages. Official 2025 figures, once released, will offer a clearer picture of retirement trends across the US.
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