{"id":1419,"date":"2025-07-31T06:14:34","date_gmt":"2025-07-31T06:14:34","guid":{"rendered":"https:\/\/www.finznest.com\/blog\/average-401k-balances-fall-due-to-market-volatility-fidelity-says\/"},"modified":"2025-07-31T06:14:34","modified_gmt":"2025-07-31T06:14:34","slug":"average-401k-balances-fall-due-to-market-volatility-fidelity-says","status":"publish","type":"post","link":"https:\/\/www.finznest.com\/blog\/average-401k-balances-fall-due-to-market-volatility-fidelity-says\/","title":{"rendered":"Average 401(k) balances fall due to market volatility, Fidelity says"},"content":{"rendered":"
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A few months of market swings have taken a toll on retirement savers.<\/p>\n

The average 401(k) balance fell 3% in the first quarter of 2025 to $127,100, according to a new report by Fidelity Investments, the nation’s largest provider of 401(k) plans.<\/p>\n

The average individual retirement account balance also sank 4% from the previous quarter to $121,983, the financial services firm found. Still, both 401(k) and IRA balances were up year over year.<\/p>\n<\/div>\n

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The majority of retirement savers continue to contribute, Fidelity said. The average 401(k) contribution rate, including employer and employee contributions, increased to 14.3%, just shy of Fidelity’s suggested savings rate of 15%.<\/p>\n

“Although the first quarter of 2025 posed challenges for retirement savers, it’s encouraging to see people take a continuous savings approach which focuses on their long-term retirement goals,” Sharon Brovelli, president of workplace investing at Fidelity Investments, said in a statement. “This approach will help individuals weather any type of market turmoil and stay on track.”<\/p>\n<\/div>\n

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More from FA Playbook:<\/h2>\n
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Here’s a look at other stories affecting the financial advisor business.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

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U.S. markets have been under pressure ever since the White House first announced country-specific tariffs on April 2.<\/p>\n

Since then, ongoing trade tensions between the U.S. and European Union as well as China, largely due to\u00a0President Donald Trump’s on-again, off-again negotiations, caused some of the worst trading days for the\u00a0S&P 500