Average 401(k) balances dropped 20% in 2022 — but few investors flinched, Vanguard research shows
Publishing timestamp: 2023-02-17 14:20:11
Summary
Despite a difficult year in 2022 with record-high inflation, economic uncertainty, and aggressive interest rate hikes, 401(k) plan participants at Vanguard maintained their long-term view and many increased their contributions. The average participant account balance at Vanguard was $112572 at the end of 2022, down 20% from the year before. Hardship withdrawals ticked up slightly, but remain a low share of all participant activity. The three major stock indexes have trended upward since early January, giving investors a reprieve from the carnage of 2022.
Sentiment: POSITIVE
Keywords: dow jones industrial average, personal saving, investment strategy, personal investing, personal finance, s&p 500 index, retirement planning, 401(k) plans, employee benefits, nasdaq composite, business news,