Fidelity Investments reported this week that average401(k) account balances surged to a 10-year high at the end of lastyear.

The average 401(k) account balance rose to $71,500 at the end of2010, reaching a 10-year high since Fidelity began tracking thedata based on the industry's largest participant base of 11 million401(k) accounts. For participants who were continuously active forthe past 10 years, their average balance increased to $183,100 atthe end of last year from $59,100 at the end of the fourth quarter2000.
Average participant deferrals remained at 8.2 percent for an eighthstraight quarter. For a seventh straight quarter, more participantsincreased their total deferral rate than decreased (6.1 percentversus 3 percent respectively).

America Saves Week is Feb 20-27. The campaign boostsefforts to get individuals to save and employers to educate workerson retirement plans. According to the American Society of Pension Professionals& Actuaries, the recent economic downturn has emphasizedthe need for financial education, increased saving, and betterretirement planning by all Americans. More Americans save bycontributing to their company sponsored retirement plan than anyother vehicle.Data from the Employee Benefit Research Instituteestimates more than 70 percent of moderate-income earners withaccess to employer-sponsored plans participate in those plans.These workers are 14 times more likely to save as compared to thoseworkers not covered by an employer plan.

"ASPPA members witness firsthand the need for a focus onsavings--they are the retirement plan professionals helping workingAmericans save for retirement as they administer, service, oradvise defined benefit and defined contribution plans. Saving atwork through a qualified plan has been successful at creatingretirement savings for millions of workers. The challenge is toextend workplace savings opportunities to even more workers. ASPPAwill continue to advocate for broader availability ofemployer-sponsored retirement savings plans to improve retirementsecurity for all American workers," said Brian Graff, ASPPAexecutive director and chief executive officer.