401(k) Millionaire Count Drops as Balances Fall, Yet Savings Rate Hits Record

The number of 401(k) millionaires fell in the first quarter of 2026 as market turbulence reduced account balances, but workers boosted their contributions to an all-time high, according to Fidelity Investments data released on May 28. The mixed picture reflects contrasting forces of market pressure and resilient retirement savings behavior. Fidelity’s Q1 2026 report showed the count of retirement accounts with balances exceeding $1 million decreased from the prior quarter, driven by declines in stock and bond markets. However, the average employee contribution rate rose to a record, with more workers taking advantage of automatic escalation features. The record savings rate underscores a growing focus on retirement security despite near-term market volatility, analysts noted. The data highlights how automatic enrollment and rising financial literacy are driving consistent savings habits even as investment values fluctuate.