Market volatility affected retirement accounts within the first quarter, however that hasn’t slowed down savers.

In response to Constancy’s quarterly evaluation of financial savings behaviors and account balances, the typical retirement account stability was down within the first quarter of the 12 months, no matter sort.

The typical IRA held $121,983 within the first quarter, down 4% from the quarter earlier than and 1% from the identical time final 12 months. The typical 401(k) stability was $127,100, off 3% from the prior quarter however up 1% from the identical time final 12 months. And 403(b) accounts held $115,424 on common, down 2% from the fourth quarter however up 2% from the identical time final 12 months.

The slip in retirement account worth displays market tendencies, because the S&P 500 was down greater than 4% from the fourth quarter of 2024 resulting from elevated financial uncertainty.

Market Volatility Tied to Tariff Uncertainty

Constancy attributed many of the losses to market swings attributable to traders reacting to tariff policies and financial projections. President Donald Trump’s tariffs have roiled stocks and bonds, two in style holdings for retirement savers.

Due to the volatility, about 22% of 401(ok) contributors and round 18% of 403(b) contributors made a change to their contribution price within the first quarter of 2025. Of these, the report confirmed that nearly 30% of contributors in each accounts reported transferring their financial savings to more conservative investments (like bonds or certificates of deposit).

Regardless of the volatility of their retirement accounts, savers really put extra into them within the newest interval. In response to Constancy, 401(ok) financial savings charges went up and IRA contributions elevated, as effectively.