ICI’s latest quarterly study, based on recordkeeper data of nearly 24 million DC plan participant accounts, includes data through year-end 2012. At that time, assets in all DC plans accounted for more than one-fourth of all retirement assets and for nearly one-tenth of U.S. households’ aggregate financial assets.
Highlights of the study include:
- 2.6% of DC plan participants cancelled their contributions in 2012, down slightly from 2.8% in 2011;
- 3.4% of DC participants took withdrawals from their plans in 2012, the same as did in 2011;
- Only 1.7% took hardship withdrawals in 2012, the same as in 2011;
- 18.2% of DC participants had outstanding loans at the end of December 2012, down from 18.5% at year-end 2011 and even with 18.2% at year-end 2010; and
- Less than one in 10 participants (9.7%) changed the asset allocation of their account balances in 2012, and 6.6% changed the asset allocation of their contributions—similar to reallocation rates in 2011.
ICI has tracked participant behavior through recordkeeper surveys since 2008. The report is available for download at www.ici.org/401k.