Here's How Many People Are Maxing Out Their 401(k)s
Social Security often falls short in helping retirees cover all of their bills because those benefits will usually only replace about 40% of an average earner's pre-retirement wages. Most seniors need roughly twice that amount to cover their various expenses.
For this reason, workers are advised to save as aggressively as possible for retirement. And ideally, that means maxing out 401(k) contributions for the year.
Of course, doing so is no easy feat. That's because 401(k) plans currently max out at $19,500 for workers under the age of 50 and $26,000 for those 50 and older. For many people on an average salary, these limits aren't doable.
Source Fool.com
