Auto enrollment, escalation and target-date features in 401(k) plans are effective in boosting savings substantially, especially for lower-income workers, according to a report from the Employee Benefit Research Institute (EBRI) and the Defined Contribution Institutional Investment Association.

With automatic 401(k) features in play, the chance of lower-income workers hitting an 80% pre-retirement income replacement target rises from 45.7% to 79.2%, and for higher-income workers, the chance rises from 27% to 64%.

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