Employers expanded the number of 401(k) plans in the nation by 4% in 2002, according to the National Defined Contribution Council (NDCC) and the Spectrem Group.
The growth in 401(k) plan sponsorship is concentrated primarily among employers with 100 or fewer workers. The trend represents a bright spot in the defined contribution market, which has seen a drop in contributions and a participation decline from 80% in 1999 to 70% in 2002. 401(k) plans hold 71% of the nearly $3 trillion in defined contribution plan assets.
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