Trends in Workplace Retirement Plans and Participation

This report presents data and analysis regarding workplace retirement plans in the U.S., focusing on participation rates and employer offerings. It highlights that less than half of U.S. employers provide retirement plans, with nearly 40% of employees participating. The report outlines the impact of the SECURE Act and SECURE 2.0, which aim to enhance retirement plan accessibility for employees. It details participation trends, noting a steady increase in employee participation in Paychex 401(k) plans, reaching 39.1% in 2023. The report also compares participation rates across different generations, revealing disparities, particularly between male and female employees. Additionally, it discusses the influence of industry sectors on retirement plan offerings and average portfolio balances. The findings indicate that small businesses are increasingly offering retirement plans, with significant variations based on business size and industry. The report concludes with insights into state mandates for retirement plans and their implications for employers and employees.