The 401(k) Could Prove a History-Making Fiasco

It's starting to look like 401(k) plans will go down in history as a costly failure. In fact, the abandonment of old-fashioned pension plans is likely to leave many Americans poorer in their old age.

Evidence shows that as 401(k)s have taken hold, employees have lost ground in their retirement savings -- even during one of the greatest bull markets in history.

In the last 10 or 15 years, companies have increasingly pushed the burden of managing pensions onto their workers. During the market's boom years, workers rarely complained. Indeed, few regretted the disappearance of defined-benefit plans in an era in which 401(k) plans offered access to double-digit stock market gains. ...