Companies with the best 401(k) plans, from Chick-fil-A to United Airlines
Every company offers its employees different packages and benefits. But when it comes to 401(k) plans, some stand out more than others.
Planning for your future is now more important than ever. And employees are encouraged to take full advantage of what their companies have to offer, especially if they have generous matching programs. According to a new report from Fidelity, companies were contributing an average of 4.7 percent — a record high — in the first quarter of 2019.
There was also a spike in million-dollar 401(k) account balances at the end of the fourth quarter of 2018.
To determine which companies are offering the most generous 401(k) plans, MONEY used data from investment research firm BrightScope and the Bureau of Labor Statistics to identify industry leaders in retirement investment.
401(k) plans, unlike traditional pensions, are retirement plans in which employees contribute a percentage of their earnings (pre-tax) into an account that companies often contribute to via a matching amount (to a certain percentage). But the 401(k) can suffer — or enjoy — the benefits of the market, depending on the market’s volatility.
Low fees and a notable company match can make all the difference.
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In its research, MONEY found Chick-fil-A is the "winner" in the food services industry, with an employee's average 401(k) balance hitting $158,188 — about $103,400 more than the industry average. In the retail world, SAP America came out on top with $211,199 in 401(k) balance, while competitors are average just roughly 25 percent that amount.
Take a look at other well-known name brands that were deemed leaders, according to MONEY's analysis of 401(k) plans across 14 different industries.
Accommodation and Food Services
Leader: Chick-fil-A
Average 401(k) account balance: $158,188
Airlines
Leader: United Airlines
Average 401(k) account balance: $641,218
Business and Finance
Leader: Lone Pine Capital
Average 401(k) account balance: $1,037,787
Educational Services
Leader: California Teachers Association
Average 401(k) account balance: $239,091
Health Care and Social Assistance
Leader: Sutter Medical Group
Average 401(k) account balance: $497,124
Information
Leader: SES Americom
Average 401(k) account balance: $290,142
Law
Leader: Simpson, Thacher & Bartlett
Average 401(k) account balance: $667,815
Management of Companies and Enterprises
Leader: BHP USA
Average 401(k) account balance: $255,240
Manufacturing
Leader: Takeda Pharmaceuticals U.S.A.
Average 401(k) account balance: $229,297
Mining, Quarrying, and Oil and Gas Extraction
Leader: CNX Resources
Average 401(k) account balance: $177,565
Professional, Scientific and Technical Services
Leader: Zeta Associates
Average 401(k) account balance: $589,469
Retail Trade
Leader: SAP America
Average 401(k) account balance: $211,199
Technology
Leader: The Valve Corporation
Average 401(k) account balance: $249,261
Utilities
Leader: Oglethorpe Power
Average 401(k) account balance: $367,770