The Rise of the 401k as a Retirement Vehicle Foreshadows a Decline in the American Standard of Living

Another day and another popular press article about Millennials and Gen Z not saving enough for retirement. This one is based on a recent report from Vanguard, a well-known behemoth in the investing world. It’s completely depressing: median 401k account values peak in the 55–64 age range and decrease for those 65 and older. The peak median values? $89.7k. WATF? The averages are a little higher, peaking at $280k for the 65 and older crowd, but these values are skewed by relatively few “super-savers/investors” that have done really well; in any case, the averages are still minuscule compared to financial needs over a 25–30 year or longer retirement.

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