Lets go back in time, most employers offered pensions, 401K is the corresponding IRS Tax code, it invented by a GOP Congressman as a tax shelter for executives, the 1% before there was a 1%. Basically it was offered to executives as a perk so they could shelter money back when they actually had to pay 50% under Reagan. As time went by the demand or request to have this option trickled down the corporate ladder. Eventually Corporations light went on, we can dump out pension and throw a match at our workers and maximize profit. None of these were ever intended to be your sole source of retirement income. Time magazine did a front page story on it a few years back titled " Time to dump the 401K.  Many of the retiree's who were the first batch to retire on them were not broke and back to work. Put simply you cannot save enough in todays dollars for tomorrows expenses.