The first half of 2025 brought considerable turbulence for investors, particularly for those with 401(k) or other workplace retirement plans, due to tariffs and uncertainty surrounding trade policy. However Fidelity data on about 25 million accounts indicate that the market managed to stay afloat.

After a sharp drop in April following the announcement of tariff actions, stocks recovered, and the second quarter ended at record highs across many market segments.

As of June 30, the average 401(k) balance reached a record $137,800, up 8.4% from the end of the first quarter and 4.6% above the end of last year; the data cover about 25 million accounts administered by Fidelity, the largest record-keeping and administration service for employer-sponsored retirement plans.

On average, 401(k) participants saved more than 14% of their earnings – of which 9.5% came from the employee’s own contributions, and 4.8% from employer contributions as a match.

About 5.5% of participants in the second quarter changed their asset allocation. This is not far from the average for any quarter and below the 7.3% level seen at the start of the pandemic in 2020; Fidelity does not provide details of the most common changes in portfolios.

Depending on your needs, health, plans to retire, and the cost of living in the future, you may or may not need to have a million dollars or more, with Social Security, to comfortably live in retirement.

Growth of Million-Dollar Accounts and Demographic Breakdown

The number of accounts with balances over a million dollars rose to 595,000 as of the end of the second quarter, from 512,000 at the end of the first quarter and 497,000 a year earlier. The share of such accounts in Fidelity’s overall base is only 2.4%.

The median balance for this group as of June 30 was $1.4 million. Thus, half of this cohort had more than this amount.

Among millionaire accounts, Gen X predominates: 346,000 such accounts belonged to this generation, up from 287,000 in the first quarter. Another 628,000 Gen X accounts had balances between $500,000 and $999,999, compared with 587,000 in the first quarter.

While the rise in the number of million-dollar accounts is a positive signal, it represents only a small share of the roughly 65 million Gen X members living in the United States today. At the same time, the median balance for Gen X stands at $62,400, but half of the accounts in this group still have less than that amount.

Compared with the across-all-generations averages, the median at the end of June was $32,300; Gen X shows a higher median – $62,400. Despite differences between groups, what matters more is understanding your own needs and resources for retirement planning and a realistic assessment of how today’s savings will support you in the future.

In sum, despite changes in trade policy and seasonal fluctuations, the stability of the average 401(k) balance and the growth in million-dollar accounts point to strengthening long-term retirement savings. It is important to stay disciplined: regular contributions, a sensible approach to asset allocation, and clear retirement-goal planning will help preserve financial stability in retirement.