Bank of America’s research found that 401(k) account balances rose 15% to an average of $86,280 in 2023 because of higher contributions and a strong stock market.
Bank of America’s Retirement and Personal Wealth Solutions conducted their research information on over 4 million participants.
Almost 18% of 401(k) plan participants increased their deferrals in the fourth quarter of 2023, up from slightly more than 9% in the third quarter.
Fewer participants borrowed from their 401(k) plan in the 4th quarter, with 2.3% taking loans, as opposed to 2.5% in the 3rd quarter.
