Retirement Plan Balances Have Rebounded Despite the Coronavirus Pandemic
Earlier in the year, the COVID-19 pandemic had a devastating effect on retirement plans. Investing giant Fidelity reported that the average 401(k) balance fell to $91,400 during the first quarter of 2020, while the average IRA balance fell to $98,900.
But just recently, Fidelity had better news to share -- namely, that retirement plans seem to have rebounded nicely across the board. As of the end of 2020's second quarter, the average 401(k) balance reached $104,400, a 14% increase from the year's first quarter. IRAs came up as well, averaging $111,500 at the end of 2020's second quarter and representing a 13% increase from the previous quarter.
Given the way the stock market as a whole has rebounded despite the pandemic and ongoing recession, these numbers make a lot of sense. But it still pays to take the following steps, even if your balance has recovered nicely since it fell earlier in the year.
Source Fool.com
