Americans are still putting money into their 401Ks, despite the dwindling returns, a survey by Hewitt Associates released today shows.
An analysis of 2.7 million U.S. employees found the average 401(K) has dropped 14 percent so far this year, down to $68,000 from $79,000 at the start of the year.
“Some have lost more than 30 percent,” the report said. Gosh, it’s almost like they were talking directly to me on that one.
Only about half of the 401(K)s are invested in the stock market, according to the survey, and more than 6 percent of those surveyed cashed out, a move that runs contrary to most financial advice these days.