Our research shows that, generally, only workers nearing retirement should consider modest changes to their retirement savings plan given the recent pullback in the markets.
of 401(k) participants have not changed their investments
Deferral rates have remained steady around 8.4%
1 in 5
401(k) participants have increased their deferral rate
1 Data as of January 1, 2022, through June 30, 2022, source: T. Rowe Price.
Some Areas of Concern:
A small number of 401(k) participants appear to be trying to time the market
Deferral rates have trended slightly lower as inflation has picked up
Source: T. Rowe Price.
Higher adoption of target date solutions in their plan lineup
Provide sustainable retirement planning tools
Provide emergency savings vehicles
Messaging to discourage market timing
See What Else Our Research Revealed:
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