Overview
- A 2025 Goldman Sachs Asset Management survey, reported Nov. 24 by Investopedia, links access to workplace 401(k) plans with roughly 29% higher accumulated retirement savings.
- Participants with plan access reported higher savings rates relative to income and greater confidence about reaching retirement goals.
- For 2025, the IRS employee contribution limit is $23,500 for those 49 or younger, with catch‑ups of $7,500 for age 50+ or $11,250 for ages 60–63, and the limit rises to $24,500 in 2026.
- Employer matches are common—averaging about 4.6%—but often follow vesting schedules, meaning unvested matched funds can be lost if employees depart before vesting.
- Workers without a workplace plan can consider a solo 401(k) or an IRA with lower annual limits, and guidance cited urges saving around 15% of income including any match, increasing contributions gradually.