Archives: Resources
Retirement Plan Contribution and Benefit Limits
This chart lists the maximum amounts individuals are permitted to contribute to their retirement plans each year. The effective date for 2024 limits is January 1, 2024. Maximum Dollar Limits 2024 2023 2022 2021 Annual employee contribution limit for 401(k), 403(b), or 457 savings plans $23,000 $22,500 $20,500 $19,500 Annual catch-up contribution limit for 401(k), 403(b) […]
Income from Pensions
In 2022, pension benefits provided income to nearly one third of older adults. Below are some statistics on the median benefits received by older adults. Median Pension Benefit In 2022, one out of three older adults received income from private company or union pension plans, federal, state, or local government pension plans, or Railroad Retirement, […]
Income from Social Security
Nearly eight in ten older adults receives income from Social Security. Below are statistics on the benefits received by older adults, by average, median, and relative importance. Average Social Security Benefits In 2022, the average retiree received an estimated $21,901 a year in Social Security benefits. Couples in which both parties received benefits received $36,255 […]
Income Received By Different Groups
For a clearer picture of the economic status of today’s older adults, it is helpful to look at breakdowns of statistics by age, marital status, gender, and race, in addition to looking at overall income figures. Sources for these figures can be found at the bottom of the page. Income Differences by Age In 2022, half […]
Why Pensions Are Important
This fact sheet explains the role pensions play in the overall retirement security of American workers, retirees, and their families. Pensions are Important to Retirement Security Social Security provides only a safety net. Average yearly Social Security payment: $22,095 Annual minimum-wage salary: $15,080 Average portion of pay Social Security replaces: 35% Most retirees have little […]
Data on workers’ access to retirement plans and take up rates
Participation At any one time only half of workers participate in a retirement plan at work. This is, in part, because employers are not required to have retirement plans, and also because those who offer plans can limit retirement plan coverage to certain classes of workers. In addition, workers offered 401(k) and other retirement savings […]
How Much Is Saved in 401(k)s
Increasingly, retirement savings plans have become the way American workers accumulate the money they will need to supplement their Social Security payments in retirement. The most common retirement savings plan is the 401(k). 401(k)s are offered by employers, but it is typically up to the employee to decide whether to participate and how much to […]
Data on full time and part time workers
Participation of full and part-time workers, NCS, March 2023 Private industry only*. Percent by full and part-time status Access Participation Take-up Rate Full-time workers 79% 63% 79% Part-time workers 44% 22% 51% All workers (private industry and local government workers)** Percent by full and part-time status Access Participation Take-up Rate Full-time workers 82% 66% […]
Tips for Keeping Track of Your Pension: Additional Detail
This page is a supplement to the Keeping Track of Your Pensions fact sheet. Keep Records Pension plans have a duty under the law to maintain records about the pension plan and the individuals entitled to benefits from the plan. Workers should keep back-up records of their own in case there are mistakes in the […]
Tips for Keeping Track of Your Pension
Each year, the Pension Rights Center gets calls and e-mails from retirees asking for help. Many are seeking a pension plan that was “lost” because their former company moved or merged. We also hear from workers who need help proving that they worked long enough to qualify for benefits. Other people come to us because their pension […]
How Retirement Plans Can Fix Contribution Mistakes
Employers sometimes make mistakes when they put money into a 401(k), profit sharing plan or other defined contribution plan. If they correct the mistake by making a contribution to the plan, the contribution is called a QNEC or Qualified Non-Elective Employer Contribution. Here are some examples of a QNEC (pronounced cue-neck). Companies sometimes fail to […]
Common Questions about the Butch Lewis Act
1. What is the Butch Lewis Act? The Butch Lewis Emergency Pension Plan Relief Act is legislation to help severely financially troubled multiemployer plans meet their benefit obligations to retired participants. It was included as part of the American Rescue Plan Act of 2021, which President Biden signed into law on March 11, 2021. 2. […]
