U.S. Retirement Accounts Failed to Recover From Recession

Despite strong stock-market gains in recent years, the shift from traditional pensions to individual savings has been a disaster for many Americans.

The median retirement account savings for all families headed by people aged 32 to 61 was only $7,800 in 2016, according to new research from the Economic Policy Institute, a Washington D.C.-based think tank. At the 50th percentile mark, people in their mid-30s only held $1,000 in a retirement account that year and families approaching retirement only had $21,000.

“The American retirement system is often described as a ‘three-legged stool’ comprised of Social Security, employer plans, and personal ...