It can be easy to let retirement planning slip by while you’re busy living your life. In fact, 57 percent of working Americans say they’re behind on retirement savings, according to a 2025 Bankrate survey. One key aspect of growing your savings is finding the best retirement plan for your situation. Below we detail the pros and cons of the top retirement accounts. Bankrate logo
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Are you scratching your head trying to figure out which retirement company deserves your hard-earned money? Trust me I’ve been there! The maze of 401(k)s IRAs, and pension plans can make anyone’s brain hurt. But don’t worry – I’ve done the heavy lifting for you by researching the top retirement companies that can help turn your retirement dreams into reality.
Why Choosing the Right Retirement Company Matters
Let me tell ya picking the right retirement company isn’t just about getting a fancy statement in the mail every quarter. It’s about securing your future and making sure you can actually enjoy those golden years without eating ramen noodles every night!
When I first started looking into retirement plans, I was completely overwhelmed. There were so many options, and everyone seemed to have different opinions. But after digging through the options, I realized that some companies truly stand above the rest.
Top Companies With Outstanding Retirement Plans
Boeing
Boeing offers some seriously impressive benefits that make other companies look stingy
- Dollar-for-dollar match for nonunion workers up to 10% of eligible pay
- Immediate vesting of employer contributions (no waiting around for years!)
- Complimentary retirement checkups and online advice
- A special student loan match program where the amount you pay on student loans gets added to match-eligible contributions
Charles Schwab
Charles Schwab doesn’t mess around when it comes to taking care of their employees:
- You’re eligible to participate in their 401(k) plan immediately upon hiring
- $250 contribution right when you first contribute (free money, anyone?)
- Dollar-for-dollar match on contributions up to 5% of eligible earnings
- Immediate vesting of funds
Citigroup
Citigroup brings some solid benefits to the table:
- Dollar-for-dollar match up to 6% of eligible pay annually
- Eligibility for matching begins after one year of employment
- Full vesting after three years
- Additional fixed contribution of up to 2% of eligible pay regardless of employee contributions (for those meeting certain criteria)
Comcast
Comcast makes retirement saving pretty painless:
- Automatic enrollment in the 401(k) plan
- Dollar-for-dollar matching on up to 6% of eligible pay
- Ability to contribute beyond the match up to the IRS limit ($23,000 in 2024, or $30,500 for those 50+)
Honeywell International
Honeywell International has an interesting approach:
- Matches the first 8% of eligible pay at a rate of 87.5% (continues up to 7% of base salary)
- Match is made in January for the previous calendar year’s contributions
- Matching contributions vest after three years of service
- Must be employed through Dec. 15 to receive the match for that year
Qualcomm
Qualcomm has created a unique structure that really helps lower-paid workers:
- 100% match on the first $1,500 contributed
- 50% match on the next $1,500 contributed
- 33% match on the following $7,500
- 10% match on additional contributions up to the IRS limit
Southwest Airlines
Southwest Airlines really soars with their matching program:
- Dollar-for-dollar match up to 9.3% of eligible earnings (that’s HUGE!)
- Ability to roll over funds from previous employers
Types of Retirement Plans to Consider
When looking at different retirement companies, you’ll need to understand the types of plans they offer. Here’s a quick breakdown of the most common plans:
1. Defined-Contribution Plans
These include 401(k)s, 403(b)s, and 457(b)s. They’re workplace plans where you contribute your own money, and employers often match some portion:
401(k) Plans
- Most common among employers of all sizes
- $23,500 annual contribution limit in 2025 ($31,000 if you’re 50+)
- Traditional pre-tax contributions or Roth after-tax options
- Pros: Easy automatic contributions, potential employer match, tax advantages
- Cons: Limited investment options, penalties for early withdrawal
403(b) Plans
- Similar to 401(k)s but for public schools, charities, churches, and non-profits
- Same contribution limits as 401(k)s
- Pros: Automatic deductions, possible employer match, tax benefits
- Cons: Sometimes limited investment options or higher fees
457(b) Plans
- Available for state and local government employees
- Penalty-free withdrawals before 59½ in some cases
- Pros: Special catch-up provisions, more flexibility for early withdrawals
- Cons: Typically no employer match
2. Individual Retirement Accounts (IRAs)
These personal retirement accounts can be opened by anyone with earned income:
Traditional IRA
- $7,000 contribution limit in 2025 ($8,000 if 50+)
- Tax-deductible contributions (depending on income)
- Tax-deferred growth
- Pros: Almost unlimited investment options, tax benefits
- Cons: Penalties for early withdrawals, required minimum distributions at 73
Roth IRA
- After-tax contributions but tax-free withdrawals in retirement
- Same contribution limits as Traditional IRAs
- Pros: Tax-free growth and withdrawals, can withdraw contributions anytime
- Cons: Income limits for direct contributions
Rollover IRA
- Created when you move a 401(k) or other retirement account
- No limit on amount transferred
- Pros: More investment options, potentially lower fees, easier tracking
- Cons: Possibly fewer bankruptcy protections, complications for backdoor Roth
3. Self-Employed Retirement Plans
If you work for yourself, these options provide higher contribution limits:
Solo 401(k)
- For business owners with no employees (except spouse)
- Contribution limit up to $70,000 in 2025 (plus catch-up)
- Pros: Higher contribution limits than many other plans
- Cons: More complex setup, annual filing once assets exceed $250,000
SEP IRA
- Contribution limit of 25% of compensation or $70,000 (whichever is less)
- Only employer can contribute
- Pros: Easy to set up, high contribution limits
- Cons: No catch-up contributions, all employees must receive same percentage
SIMPLE IRA
- Employee contribution limit of $16,500 in 2025
- Mandatory employer contributions
- Pros: Easier administration than 401(k)
- Cons: Lower contribution limits than 401(k)
4. Pension Plans & Alternatives
These options provide more guaranteed income:
Traditional Pensions
- Fully funded by employers
- Provides fixed monthly benefit based on salary and tenure
- Pros: Guaranteed lifetime income
- Cons: Becoming increasingly rare (only 15% of private workers have access)
Guaranteed Income Annuities
- Personal pension-like products you can purchase
- Immediate or deferred payment options
- Pros: Guaranteed income for life
- Cons: Limited liquidity, complex contracts
How to Choose the Right Retirement Company for YOU
Ok, so now you know the top companies and types of plans, but how do you actually choose the best one for your situation? Here’s my personal checklist:
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Employer Match: If your employer offers a match, that’s literally FREE MONEY. Always take advantage of this first!
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Fees Matter: Look at expense ratios, administrative fees, and any other charges. Even a small difference in fees can cost you thousands over time.
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Investment Options: The best retirement companies offer a wide range of low-cost investment options. Look for index funds and ETFs with low expense ratios.
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Customer Service: Can you easily speak to someone when you have questions? Is their website user-friendly? Do they offer educational resources?
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Additional Services: Some retirement companies offer financial planning, retirement calculators, and other tools to help you plan better.
My Top Picks for Different Situations
Based on all my research, here are my recommendations for different situations:
For Employees at Large Companies: If you work at Boeing, Charles Schwab, Citigroup, Comcast, Honeywell, Qualcomm, or Southwest Airlines, max out your employer’s amazing 401(k) match first!
For Self-Employed Folks: Consider a Solo 401(k) if you have no employees, as it allows for the highest potential contributions.
For People with Limited Options: Open an IRA with a low-cost provider like Vanguard, Fidelity, or Charles Schwab in addition to any employer plan.
For Those Wanting a Guaranteed Income: Consider working for an employer that still offers a pension or look into guaranteed income annuities as a portion of your portfolio.
Getting Started on Your Retirement Journey
Don’t put this off any longer! Here’s how to get started:
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Check Your Current Benefits: If employed, review what retirement benefits your company offers.
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Calculate How Much You Need: Use online calculators to estimate your retirement needs.
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Start Contributing: Begin with at least enough to get any employer match.
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Open Additional Accounts if Needed: Consider supplementing with an IRA.
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Review Regularly: Check your retirement accounts at least annually and adjust as needed.
Final Thoughts
There’s no single “best” retirement company for everyone – it really depends on your personal situation, employment status, and financial goals. If you have access to one of the stellar employer plans mentioned above, consider yourself lucky and take full advantage!
For those without such options, focus on low-cost providers for your personal retirement accounts. Remember, the most important thing is to START SAVING NOW, regardless of which company you choose.
What retirement companies or plans are you currently considering? I’d love to hear your thoughts and experiences in the comments below!
Retirement plans for self-employed or small-business owners
If you’re self-employed or own a small business, you have some further options for creating your own retirement plan. Three of the most popular options are a solo 401(k), a SIMPLE IRA and a SEP IRA, and these offer a number of benefits to participants:
- Higher contribution limits: Plans such as the solo 401(k) and SEP IRA give participants higher contribution limits than a typical 401(k) plan.
- The ability to profit share: These plans may allow you to contribute to the employee limit and then add in an extra helping of profits as an employer contribution.
- Less regulation: These retirement plans typically require less regulation than, for example, a 401(k), meaning it’s easier to administer them.
- Investible in higher-return assets: These plans can be invested in higher-return assets such as stocks or stock funds.
- Varied investment options: Unlike a typical company-administered retirement plan, these plans may allow you to invest in a wider array of assets.
Guaranteed income annuities (GIAs)
Guaranteed income annuities are generally not offered by employers, but individuals can buy these annuities to create their own pensions. You trade a big lump sum at retirement and buy an immediate annuity to get a monthly payment for life.
But many people arent comfortable with this arrangement. More popular are deferred income annuities that are paid into over time. For example, at age 50, you can begin making premium payments until age 65, if thats when you plan to retire. “Each time you make a payment, it bumps up your payment for life,” Littell says. You can buy these on an after-tax basis, in which case youll owe tax only on the plans earnings. Or you can buy it within an IRA and can get an upfront tax deduction, but the entire annuity would be taxable when you take withdrawals.
- Littell himself invested in a deferred income annuity to create an income stream for life. “Its very satisfying, it felt really good building a bigger pension over time,” he says. Littell himself invested in a deferred income annuity to create an income stream for life. “Its very satisfying, it felt really good building a bigger pension over time,” he says.
- If youre not sure when youre going to retire or even if youre going to retire, then it may not make sense. “Youre also locking into a strategy that you cant get rid of,” he says. In addition, annuities are complex legal contracts, and it can be difficult to understand your rights and rewards for signing up for an annuity. You’ll want to be fully informed about what the annuity will and won’t do for you. If youre not sure when youre going to retire or even if youre going to retire, then it may not make sense. “Youre also locking into a strategy that you cant get rid of,” he says. In addition, annuities are complex legal contracts, and it can be difficult to understand your rights and rewards for signing up for an annuity. You’ll want to be fully informed about what the annuity will and won’t do for you.
- Youll be getting bond-like returns and you lose the possibility of getting higher returns in the stock market in exchange for the guaranteed income. Since payments are for life, you also get more payments (and a better overall return) if you live longer. “People forget that these decisions always involve a trade-off,” Littell says. Youll be getting bond-like returns and you lose the possibility of getting higher returns in the stock market in exchange for the guaranteed income. Since payments are for life, you also get more payments (and a better overall return) if you live longer. “People forget that these decisions always involve a trade-off,” Littell says.
Why Roth Investments Are Better Than Traditional
FAQ
Who is the best retirement investment company?
| Broker | NerdWallet rating | Account minimum |
|---|---|---|
| Fidelity IRA Learn more on Fidelity’s website | 5.0/5 | $0 no account fees to open a Fidelity retail IRA |
| SoFi Active Investing Learn more on SoFi Invest®’s website | 4.6/5 | $0 |
| Robinhood IRA Learn more on Robinhood’s website | 4.5/5 | $0 |
Can I live off $5000 a month in retirement?
With the house paid off and no other major bills, it’s not expensive. But factor in that you’ll need to buy insurance if you were getting it through your employer, and with more free time you will probably spend more on travel and hobbies. For me, $5K per month would be a very comfortable retirement.
How long will $500,000 last year in retirement?
Your timeline will change based on your withdrawal strategy and investment approach. The common 4% rule suggests you should withdraw about $20,000 per year to retire with $500k. This could stretch your savings between 25 to 30 years.
Where is the safest place to put your retirement money?
As retirement nears, safety becomes a top priority in financial planning. The safest investments for retirees, including CDs, U.S. Treasuries, money market accounts, annuities and short-term bond funds, can offer the stability and income that you need to enjoy their post-career years with confidence.