One in Four Americans Can't Name Retirement Provider

- Job-hopping contributes significantly to the problem of forgotten accounts; the average American has held 12 jobs by the age of 56. This frequent changing of employers often leads to workers leaving small 401(k) accounts behind, which they may lose track of over time. - The total value of these "forgotten" 401(k) accounts is estimated to be a staggering $2.1 trillion as of July 2025, spread across nearly 32 million accounts. This represents almost a quarter of all the money held in 401(k)s nationwide. - The average balance in a forgotten 401(k) has climbed to $66,691, an 18% increase in just two years. Even a small forgotten account can represent a significant loss of potential retirement income due to compounding returns over time. - While features like auto-enrollment have increased participation in 401(k) plans, they have also unintentionally contributed to the rise in dormant accounts, especially those with small balances. In fact, the number of dormant accounts has grown three times faster than active 401(k)s over the last decade. - PensionBee's analysis predicts that by the end of 2026, over 30% of all workplace retirement accounts could be dormant, a significant increase from 21% in 2012. The number of dormant accounts is expected to reach 32.8 million in 2026. - Forgetting an account can be costly. A small monthly fee of just $4.55 on a dormant account can result in nearly $18,000 in lost retirement savings over a career. - Current regulations under SECURE 2.0 allow employers to automatically roll over accounts with balances under $7,000 into Safe Harbor IRAs, which are often invested in cash equivalents that may not keep up with inflation. - Only a small fraction of people use technology to manage their retirement savings, with just 4% using AI for retirement-related questions. Most people still rely on traditional sources like their account provider (40%) or their current employer (28%) for information.