The Earlier You Take Advantage of Your 401(k), the Better

The power of compound interest can turn modest contributions into big savings for retirement.

A young woman puts money into a piggy bank.
(Image credit: Getty Images)

If you saw a $5 bill lying on the sidewalk, would you pick it up? Assuming you didn’t see or know who dropped it, I think it’s safe to say that many of us would pick up the cash and be happy for the bit of good fortune.

Yet, according to a 2023 report from the U.S. Department of Labor, despite nearly 70% of U.S. private industry workers having access to employer-provided retirement plans, just 52% choose to contribute to one. With many of those plans offering employer-matching contributions, many Americans are leaving that proverbial $5 on the ground week after week — and short-changing their retirement.

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Rich Guerrini
President and CEO, PNC Investments

Rich Guerrini is the President and Chief Executive Officer of PNC Investments. In his role, he is responsible for all sales, operations, risk and compliance activities for the retail investments organization. Prior to his current responsibilities, Guerrini was Executive Vice President and Managing Director of Alternative Investments for PNC Investments and was responsible for development and rollout of the PNC Investment Center and PNC’s web-based investment offering.