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Americans have saved $33.1 trillion for retirement, with $6.5 trillion in 401k accounts, making up nearly one-fifth of the U.S retirement market. 401ks are an employer-sponsored retirement plan and a key part of the U.S retirement system. Since 1980, 401k plans have become popular, but a recent survey shows that nearly two-thirds of Americans lack understanding of how they work. It is often introduced casually, but it is crucial for retirement planning.
