FYI: New research from Schwab Retirement Plan Services finds that although 401(k) participants believe they need $1.7 million, on average, to retire, many are not investing enough to reach that goal. The nationwide survey of 1,000 401(k) plan participants also reveals the outsized role of the 401(k) in Americans’ financial lives, with most (58%) saying it is their only or largest source of retirement savings.
Moreover, two-thirds (65%) of those surveyed say participating in a 401(k) plan was their first experience with investing – yet when it comes to using a 401(k), 64 percent view themselves as savers rather than investors. In fact, the survey shows that outside of a 401(k), participants are more likely to use a savings account to prepare for retirement than any type of investment account.
Regards,
Ted
https://www.aboutschwab.com/schwab-401k-participant-study-2019
