“Since I took office, the typical 401(k) balance is up by at least $30,000,” Trump said<\/a>\u00a0in the annual speech before Congress last month. <\/p>\n The average\u00a0401(k)<\/a>\u00a0balance rose by $14,700 to $146,400 over the course of 2025, ending the year up 11% from a year earlier, according to new data released Wednesday from Fidelity Investments<\/a>, the nation’s largest provider of 401(k) savings plans.<\/p>\n The average\u00a0individual retirement account<\/a>\u00a0balance also gained $9,561 to $137,095 in 2025, Fidelity found \u2014 a 7% increase year over year.<\/p>\n Read more CNBC personal finance coverage<\/p>\n Retirement account balance averages increased by 13%, driven primarily by market gains, a separate report by Vanguard Group found. <\/p>\n Across all plans, the average account balance was $167,970 as of the end of 2025, according to Vanguard’s report, also released Wednesday.<\/p>\n Rising balances were further buoyed by several “nonfinancial factors,” such as positive savings behaviors<\/a>, said Mike Shamrell, Fidelity’s vice president of thought leadership<\/p>\n The average 401(k) contribution rate, including employer and employee contributions, now stands at 14.2%, just below Fidelity’s suggested savings rate of 15%.<\/p>\n However, another good stretch for the major indexes did help: The\u00a0S&P 500<\/a>\u00a0notched its third consecutive year of solid gains, rallying 24% in 2023, 23% in 2024 and 16% in 2025.\u00a0The\u00a0Nasdaq<\/a>\u00a0jumped 20% in 2025, while the\u00a0Dow Jones Industrial Average<\/a>\u00a0rose nearly 13%. <\/p>\n![\"Tax](\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/03\/108253287-5ED1-REQ-011526-401kLIMITS.jpg\")
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