WSJ Your Money Briefing Workers Are Saving Almost What They Should Be for Retirement
18 snips
Jun 11, 2025 Anne Tergesen, a retirement reporter for the Wall Street Journal, discusses the encouraging trend of Americans saving nearly the recommended 15% for retirement. She highlights how employer contributions and automatic enrollment in 401(k) plans are driving this progress. Tergesen also examines generational savings patterns, noting the resilience of baby boomers and Gen Xers as they approach retirement. Additionally, she shares practical strategies like automatic escalation to help maximize retirement savings effortlessly.
AI Snips
Chapters
Transcript
Episode notes
Near Ideal Retirement Savings Rate
- Americans are saving an average of 14.3% of their income for retirement, near the recommended 15%.
- This marks a record savings rate according to Fidelity Investments data.
The 15% Savings Goal Explained
- 15% savings goal includes employee and employer matching contributions combined.
- Fidelity data shows people are now averaging very close to this 15% combined target.
Growing 401k Participation
- More workers participate in 401k due to automatic enrollment policies.
- Employers also increasingly offer plans because of tax benefits and state mandates.