The report highlights the need for prompt action, said Miller, who requested the GAO report.
“Unless we act now, too many workers just starting their careers today will unfortunately face a less secure retirement than did many of their parents,” Miller said.
Miller has sponsored a bill requiring better disclosure of 401(k) fees as well as a mandate that a low-cost index fund be included in all 401(k)s.
The current median 401(k) account balance is $22,800, according to the GAO report.
That would provide annual income of only $4,400 a year, replacing about 9 percent of income, on average.
The GAO report suggested that workers should be able to participate in 401(k)s or other retirement savings plans as soon as they start a job, and it suggested that retirement savings be automatically rolled over into new retirement plans when workers leave jobs.