About Half of 401(k) Holders Find Them Confusing

Better Investing

What's Hot


Shoppers Boycott Businesses Selling Trump-Branded ProductsBusiness

5 Reasons to Shop for a Home in DecemberFamily

Giving Thanks: Why Foreigners Find America AmazingAround The House

Why Washing Your Turkey Can Make You IllFamily

50 Best Gifts Under $25 for Everyone on Your ListFamily

Pay $2 and Get Unlimited Wendy’s Frosty Treats in 2017Family

What the Richest 1 Percent Earns in Every StateFamily

10 Ways to Retire Earlier Than Friends on the Same SalaryGrow

The 10 Best Ways to Blow Your MoneyCredit & Debt

7 Foods That Can Lengthen Your LifeFamily

The 50 Hottest Toys of the Past 50 YearsFamily

7 Government Freebies You Can Get TodayFamily

Slightly more than half of workers who have 401(k)'s think they're more difficult to understand than health insurance benefits.

You’re not the only one.

A majority of 401(k) holders are confused about how to manage it and want simple advice on where to invest, a new survey from Charles Schwab says. The company surveyed 1,000 401(k) participants about their plans and found that:

  • six out of 10 say a 401(k) is their only or largest source of retirement savings.
  • 52 percent think that investment plan information is more confusing than information on health care benefits.
  • 57 percent want an easier way to choose investments.
  • 46 percent aren’t sure of their best investment options.
  • 34 percent are seriously stressed out over where to put 401(k) dollars.

Don’t know where to invest the money in your retirement plan? Learn to manage your 401(k) in just a minute with the video below:

Despite the confusion, 401(k)’s are seeing their highest-ever average balance, Fidelity found last year, when the average reached $75,900. Most people (89 percent) now expect to fund their own retirement without much help from government programs, the Schwab study says.

“As of September 30, 2012, 401(k) plans held an estimated $3.5 trillion in assets and represented approximately 18 percent of the $19.4 trillion U.S. retirement market,” CNBC says. That’s more than double the 401(k) assets in 2002, and a larger share of the retirement market than a decade ago, when 401(k)’s represented about 15 percent of it.

Stacy Johnson

It's not the usual blah, blah, blah

I know... every site you visit wants you to subscribe to their newsletter. But our news and advice is actually worth reading! For 25 years, I've been making people richer without making their eyes glaze over. You'll be glad you did. I guarantee it!

💰🗣📰

Read Next: 7 Simple, Free Moves Guaranteed to Make You Richer

Check Out Our Hottest Deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 1,729 more deals!