Maxing out your 401(k) from age 22 to 30 will leave you with about $180,000, but the power of compound interest is just starting. Watch this video to see how much your account will grow by the time you retire. For access to live and exclusive video from CNBC subscribe to CNBC PRO:
Americans rely heavily on 401(k)s plans when it comes funding their retirement.
As of 2020, around 60 million workers across the U.S. used the tax-advantaged accounts to save for their future.
Most people can contribute up to $19,500 to their 401(k) in 2021, but the limit can change from year-to-year to keep up with inflation.
Investing nearly $20,000 per year will equal a lot of money when it comes time to retire decades in the future.
Here’s a case study.
CNBC crunched the numbers, and we can tell you how much you will have for retirement if you max out your 401(k) during your 20s.
Check out this video for a full breakdown.
» Subscribe to CNBC TV:
» Subscribe to CNBC:
» Subscribe to CNBC Classic:
Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.
The News with Shepard Smith is CNBC’s daily news podcast providing deep, non-partisan coverage and perspective on the day’s most important stories. Available to listen by 8:30pm ET / 5:30pm PT daily beginning September 30:
Connect with CNBC News Online
Get the latest news:
Follow CNBC on LinkedIn:
Follow CNBC News on Facebook:
Follow CNBC News on Twitter:
Follow CNBC News on Instagram: