Summary
The Retirement Divide is a research report that examines the state of retirement security among American workers, particularly in light of recent economic challenges. The report utilizes data from nearly 1.2 million anonymized employee records spanning from 2021 to 2024 to analyze participation rates in retirement plans, contributions from both employees and employers, and savings rates. Key findings indicate that while the overall participation rate in retirement plans is 78.7%, significant disparities exist based on gender, race, and income levels. For instance, participation rates have declined for lower-income workers, and gaps in contributions between men and women have widened. The report also highlights the impact of economic factors such as inflation on retirement savings and underscores the urgent need for employers and policymakers to address these disparities to ensure equitable retirement opportunities for all workers. The data presented aims to inform strategies to enhance retirement security across the workforce.
