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Americans’ average 401(k) account balance rose to a record $155,800 in the second quarter of 2026, marking the highest ever recorded, according to Fidelity Investments’ Q2 2026 retirement analysis. The jump represents a 10.5% increase from the previous quarter and a 13.1% rise from one year ago, fueled by a strong stock market and fueled by a strong stock market and continued high savings rates.
Fidelity’s latest analysis, covering more than 25.8 million 401(k) accounts, credits a combination of strong market performance and consistent savings habits as key drivers behind the surge. The average total savings rate (including both employee and employer contributions) remained at a record 14.4% for the second straight quarter, just below Fidelity’s recommended 15% benchmark. More than eight in 10 workers (81.2%) contributed enough to receive their employer’s full matching contribution, according to Fidelity’s Q2 2026 data.
The record balances were not limited to 401(k) plans. Average account values also reached highs for Individual Retirement Accounts (IRAs) and 403(b) plans, with average IRA balances rising to $144,523 and 403(b) balances climbing to $145,000.
The combination of record account balances, strong savings behaviors and effective plan design tell an encouraging story about how Americans are approaching retirement,” said Sharon Brovelli, president of Workplace Investing at Fidelity Investments. “Workers continue to prioritize their financial future, saving at record levels and taking advantage of valuable benefits such as employer matching contributions. These steps can play a powerful role in strengthening long-term retirement readiness.”
Market gains played a major role—the S&P 500 delivered a 15.2% return in the second quarter—while participant actions also contributed. Over twelve percent of 401(k) savers increased their contributions during the quarter, and nearly two-thirds invested all their 401(k) savings in professionally managed target-date funds.
Women and millennials saw especially strong growth. Women who continuously contributed to a 401(k) for at least five years surpassed an average balance of $273,400, and millennials posted a 14.2% quarterly gain. Adoption of Roth 401(k)s also increased, with nearly one in five participants now saving in these after-tax accounts.
Fidelity’s report highlights the growing role of small businesses in expanding retirement plan access. Over the past five years, small business retirement accounts like Self-Employed 401(k)s grew by 178%, and contributions increased by 46%.
Despite the positive trends, financial experts caution that investing involves risk, and future results are not guaranteed. Fidelity recommends that savers aim for a diversified portfolio and maintain steady contributions, even during periods of market uncertainty.