Gen Z workers had an average 401(k) balance of $20,800 as of June 30, compared with $94,300 for millennials, $240,700 for Gen Xers and $283,200 for baby boomers, according to Fidelity. The figures reflect substantial differences in career length, with balances averaging $7,700 for workers ages 20 to 24 and $26,600 for those ages 25 to 29 in the first quarter of 2026. Fidelity's overall average 401(k) balance reached a record $155,800 in the second quarter, up 10.5% from the first quarter and marking its strongest quarterly growth since late 2020. Gen Z saves 11.6% of pay for retirement, including employer contributions, below the 13.8% rate for millennials and 15.7% rate for Gen X. Yet Northwestern Mutual's 2026 report says Gen Z is starting to prepare earlier, seeking financial advice sooner and aiming to retire at an average age of 61, compared with 64 for millennials and 67 for Gen X. Nearly one-quarter began working with a financial adviser during the past year, at an average age of 22. About 58% believe they will be ready for retirement, while 42% plan to work beyond retirement age. With few Gen Z workers likely to receive pensions, early saving and the benefits of compound growth are especially important. Fidelity's broader report also found that target-date funds remain popular among younger savers and that Gen Z is increasing its savings rate faster than other generations.