The National Memo » Failed Policy — The 401(k) Shrinks In A Growing Economy

The National Memo » Failed Policy — The 401(k) Shrinks In A Growing Economy

Disturbing new evidence that government policies are propelling us toward a poorer future turns up in a first-ever government examination of retirement savings plans like 401(k)s.

The report, from the Internal Revenue Service, shows that even though the economy is improving, the number of workers saving out of their paychecks for old age is shrinking. So is the amount they save, down 6 percent in real terms from 2008 to 2010.
 
The 401k is great IF you access to one (about half don't) and IF you fund it fully and ESPECIALLY IF your company has a good match policy. The problem is that most people don't a) have access to one and/or b) don't have the discipline to fully fund it and/or c) fail to roll it over properly when faced with a job change, so they end up with little or nothing in their accounts. While I'm very fond of the 401k 'scheme', I would prefer we went to (properly funded, regulated and administered) pension program. But then, I want single payer health insurance, so I spend a lot of time disappointed :)