The Rise of 401(k) Millionaires: How to Catch Up
401(k) balances are climbing, and more Americans than ever are reaching a major milestone: becoming 401(k) millionaires.
According to recent Fidelity data, the number of 401(k) accounts with balances over $1 million has soared to a record 595,000 in June 2025 – a 16% increase from the end of March 2025.¹
So, how are people doing it? What’s driving this growth? And what can you learn (and apply) from these newly minted retirement millionaires?
Let’s break down the numbers – and the strategies that could help you move closer to the seven-figure mark.
What Does Fidelity’s Latest Report Reveal about 401(k) Millionaires?
The number of 401(k) millionaires reached an all-time high in Q2 2025, according to Fidelity’s latest quarterly analysis.
As of June, 595,000 retirement savers had account balances of $1 million or more, a 16% increase from the 512,000 reported at the end of Q1.²
This rebound comes after a dip in Q1, when the number of 401(k) millionaires dropped from 537,000 at the end of 2024 to 512,000 in March 2025.³
Fidelity attributes this growth to two key factors:
- Strong market performance, particularly the rebound in the latter part of Q2.
- Disciplined saving behavior. Most investors stayed the course during early-year volatility and continued contributing to their plans.
According to Fidelity’s vice president of workplace thought leadership, Mike Shamrell, “The majority of retirement savers stayed the course… and were able to benefit from the market rebound that occurred later in the quarter.”⁴
Who Are These 401(k) Millionaires?
Fidelity’s analysis reveals that the typical 401(k) millionaire:
- Is around 59 years old
- Has participated in their employer’s plan for about 25 years
- Has an individual savings rate of 17.6%
- Has a total savings rate of 26.2% when factoring in employer contributions⁵
These savers aren’t timing the market.
They’re investing consistently, maintaining long-term goals, and reaping the benefits of compound growth over decades.
How to Become a 401(k) Millionaire
These are some of the strategies that successful savers use that you can try to implement starting now.
#1 Contribute Consistently (and Increase Over Time)
One of the fastest ways to boost your 401(k) account balance – and become a 401(k) millionaire – is to contribute more.
Small increases add up.
If you received a raise this year, consider bumping up your contribution percentage – even 1-2% more can make a significant difference over time.
And don’t forget catch-up contributions if you’re 50 or older.
In 2025, you can contribute an additional $7,500 to your 401(k) beyond the standard $23,500 limit.
And if you are aged 60-63 this year, you may contribute an additional $11,250 instead of $7,500.
#2 Max Out Your Employer Match
Failing to capture your employer match is essentially leaving free money on the table.
Many plans offer a match of 3% to 6% of your salary.
Make sure you’re contributing enough to get the full amount.
Over decades, these matching dollars may contribute hundreds or thousands to your balance.
#3 Don’t “Set It and Forget It”
Millionaires don’t just contribute, they stay engaged with their retirement accounts.
That means:
- Reviewing statements regularly
- Rebalancing investments regularly
- Avoiding emotional decisions based on market swings
Letting your portfolio drift too far from your target allocation can increase risk unintentionally. Rebalancing helps keep you on track.
#4 Know What You’re Invested In and Why
Many investors default to target date funds, but these may not align with your goals or risk tolerance.
401(k) millionaires often customize their portfolios instead of relying solely on one-size-fits-all options.
They choose a diversified mix of stocks, bonds, and other assets based on their time horizon and desired growth strategy.
#5 Get Help If You Need It
You don’t have to go it alone.
If managing your 401(k) feels overwhelming, or if you’re not confident in your investment choices, consider seeking the help of a professional.
They can provide personalized advice tailored to your financial situation, helping to optimize your 401(k) performance and potentially avoid costly mistakes.
Or, you can work with 401(k) Maneuver.
We offer professional account management to help you grow and protect your 401(k) account.
Our goal is to increase your account performance over time, manage downside risk to minimize losses, and reduce fees that are hurting your retirement account performance. With 401(k) Maneuver, you can go about your life doing what you love with confidence, knowing we are handling the changes for you.
