# Fidelity Reveals 401(k) Balance Hits $155,800

> Average 401(k) balance now $155,800, but $34,000 owed to IRS by tax deferral.
- Title: Fidelity Reveals 401(k) Balance Hits $155,800 · 24/7 Wall St.
- Summary: Average 401(k) balance now $155,800, but $34,000 owed to IRS by tax deferral. The average 401(k) balance reached $155,800 in 2026, with $34,000 of that…
- Keywords: fidelity, 401k, irs, tax deferral, rmd, roth conversion, social security, Reveals, 401, Balance, Hits, 155
- Source: 24/7 Wall St. — https://247wallst.com/personal-finance/2026/09/21/fidelity-says-the-average-401k-balance-hit-155800-as-much-as-34000-of-that-belongs-to-the-irs-and-the-bill-grows-every-year-it-sits-untouched
- Author: Jake FitzGerald
- Published: 2026-09-21T23:39:48+00:00
- Read time: 1 min
- Topics: fidelity, 401k, irs, tax deferral, rmd, roth conversion, social security
## What Fidelity Says
Fidelity reports average 401(k) balance hit $155,800 in 2026.

> Fidelity says the average 401(k) balance hit $155,800.
## The Tax Trap
Up to $34,000 of that balance belongs to the IRS by tax deferral.

> As much as $34,000 of that belongs to the IRS.
## Why It Matters
The tax bill grows yearly as the balance sits untouched.

> The bill grows every year it sits untouched.
## How Taxes Work
Pre-tax 401(k) balances face higher taxes when withdrawn.

> Every dollar in the account is pre-tax. Every dollar of gain is pre-tax.
## RMDs Start Soon
Required minimum distributions begin at age 73 for most retirees.

> Required minimum distributions begin at age 73 for most current retirees
## Tax Strategies
Roth conversions and withdrawal sequencing reduce future tax bills.

> The Roth conversion window lets you fill the 12% or 22% bracket on purpose.
## What Happens Next
Taxpayers must plan for RMDs before the first withdrawal.

> Deciding how the IRS gets paid out of it is the kind of math worth running with a CPA or fiduciary advisor before the first RMD.
## Key takeaway

The average 401(k) balance reached $155,800 in 2026, with $34,000 of that balance owing to the IRS due to tax deferral.