This Is the Average 401(k) Balance -- How Does Yours Compare?
Some people figure they'll manage just fine in retirement on Social Security alone. Those same people often get a rude awakening.
The reality is that Social Security will only replace about 40% of your pre-retirement income if you're an average wage earner, but most seniors need about twice that much money to live comfortably. And that 40% figure doesn't account for Social Security cuts, which are, at this point, very much on the table.
That's why it's so important to build savings ahead of retirement. And if you have the option to participate in a 401(k) plan, you may want to jump on it.
Source Fool.com
