👶 Gen Z was the only generation with rising 401k balances in 2022

👶 Gen Z was the only generation with rising 401k balances in 2022, but they still have a lot of room to catch up 📉 📅 One key investment advantage can bridge the generational asset gap ...

📈 Gen Z 401k accounts rose by 14% last year, compared to the average decline of 23% across all Fidelity accounts, according to the latest data from the retirement company.

So what’s going on? 🤔

🙅‍♀️ Unfortunately, Gen Z are NOT simply better at investing than everyone else 😅 Instead, they just have less money to begin with, so their contributions disproportionately increased overall account value.

Consider the following: ➡ Gen Z had an average account balance of $6,000 ➡ Everyone else: $103,900

🏔 That’s a lot of ground to make up 😬

But Gen Z (and Millennials) have a big advantage: time 🕰

Take that $6,000, for example. If a 25 year-old worker invests it in the S&P 500, what could they expect to have at age 55? Well let’s assume the 10% historical return of the S&P 500 over the past 20 years, and a contribution of $6,000 per year:

That would mean more than $1 million dollars by the age of 55. Not bad!

🛑 That doesn’t just happen automatically, though. Market changes over time. Sometimes fund options change as well. You can't expect everything to work on autopilot. To achieve long-term success, you just need to take a few minutes every few months to make sure you are set up for long-term success 🥂 🎇 🎉

Xillion's portfolio optimizer is perfect for making sure you're on track, avoiding costly mistakes that can add up to millions of dollars over a few decades.

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