Key facts
- American retirement account balances hit record highs in Q3 2025.
- Market gains and consistent savings drove the increase.
- The average 401(k) balance rose 9% year-over-year.
- The average 401(k) balance reached $144,400.
- Average IRA balances increased 7% year-over-year.
- Average IRA balances reached $137,902.
Retirement account balances for Americans have reached unprecedented levels in the third quarter of 2025. Both 401(k) and IRA accounts experienced significant growth, marking an all-time high for these savings vehicles. The primary drivers behind this record performance were robust market gains and the sustained habit of consistent savings by individuals. Specifically, the average balance within 401(k) accounts climbed by 9% when compared to the same period in the previous year, ultimately settling at $144,400. Concurrently, Individual Retirement Arrangement (IRA) balances also saw a substantial increase, rising by 7% to an average of $137,902. This trend indicates a positive trajectory for retirement preparedness among a significant portion of the U.S. population, reflecting both favorable economic conditions and diligent saving practices.