401k Participants Stayed the Course in a Rocky Year

Most rode it out in fine shape.

Most rode it out in fine shape.

A brutal election and Britain’s exit from the EU, among other things, did little to sway 401k participant sentiment in 2016, according to the Investment Company Institute. It found that, despite distressing news recently about the number of 401k participants overall, those that have a plan remained committed to saving.

“Americans continued to save for retirement through defined contribution (DC) plans during the first three quarters of last year, according to ICI’s “Defined Contribution Plan Participants’ Activities, First Three Quarters of 2016.” The study tracked contributions, withdrawals, and other activity, based on 401k plan record keeper data covering more than 28 million participant accounts in employer-based 401k plans.

The latest record keeper data indicate that savers remain committed to saving for their futures by continuing to contribute. Almost all plan participants continued contributing to their plans during the first three quarters of 2016, with only 2.4 percent of DC plan participants discontinuing their contributions in the first three quarters 2016.

Other findings include:

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