401(k) Plan Participation Trends

Contributing to a 401(k) or similar work-sponsored retirement plan is one of the easiest ways to invest for your future. Plan contributions are automatically deducted from your pay and invested in a tax-advantaged account before you receive your paycheck, which helps avoid the temptation to spend it.

Nearly 9 out of 10 employees who are eligible to participate in a 401(k) plan choose to do so, and they contribute 6.7% of their earnings, on average. Here's a look at where those contribution dollars go.