August 14, 2012
average contribution to Fidelity Individual Retirement Accounts (IRAs) hit
$3,930 in tax year 2011, up nearly 15% from 2007.
Fidelity Investments’ five-year analysis of IRA contributions double-digit
percent contribution increases
were seen across all age groups – from investors in their 20s to 70 and older.
conversion activity in 2012 continues to be double the level seen in 2009 –
before income limits were removed.
analysis highlights positive contribution trends across all age groups. The
average Roth IRA contribution for the 2011 tax year was $3,210 for those age 20
to 29, a 12.9% increase from 2007. For those 60 to 69, the average contribution
was $4,690, a 13.4% increase from 2007.
historic market conditions over the last several years have jump-started many
investors to take control of their personal economy and increasingly focus on saving for
their retirement,” said Ken Hevert, vice president, Fidelity Investments. “These
strong contribution rate increases also show more investors are leveraging the power
of tax-advantaged vehicles like IRAs to achieve their retirement goals.”