Majority of Workers Fear Retirement Without Enough Savings
A growing number of American workers are facing the stark reality that retirement may not come with financial security. According to a report by the Transamerica Center for Retirement Studies and the Transamerica Institute, 68% of workers across all generations believe they could work until retirement and still fall short of having enough money to meet their basic needs.
The report, based on a survey of more than 5,000 U.S. workers, underscores widespread pessimism about retirement prospects. Eight in ten respondents said they expect their generation to face greater financial struggles than their parents when it comes to achieving economic stability.
Declining Confidence in a Secure Retirement
Catherine Collinson, CEO of both Transamerica organizations, highlighted the core issue: consistent access to meaningful employment with retirement benefits. In her view, resilience—along with informed decision-making—is essential for workers navigating today’s rapidly shifting economic and employment conditions.
The study also reveals broad-based burnout among workers, many of whom are juggling multiple roles. Whether holding down second jobs, managing side hustles, or providing unpaid caregiving to family members, today’s workforce is stretched thin. At the same time, workers across generations cite common financial priorities: paying off debt, building emergency funds, saving for significant life events and retirement, and supporting both children and aging parents.
Gen X and Baby Boomers Brace for Impact
Confidence in the ability to retire comfortably is especially low among Generation X. Only 18% of Gen X workers feel “very confident” about retiring with comfort, and just 23% believe they are building a sufficient retirement fund. Many expect to continue working well into their 70s—or never retire at all. Over half say they plan to work during retirement, reflecting deep concern about financial shortfalls.
Baby boomers share similar concerns. More than half expect to retire at 70 or later or not at all. Their top worries include rising healthcare costs, outliving their savings, and the uncertain future of Social Security.
Separate data from Morning Consult and Corbridge Financial confirms that many retirees, particularly women, face higher-than-expected expenses. However, half of female retirees consider their financial health to be “good,” while nearly two-thirds regret not saving earlier.
Changing Norms: From Retirement to “Pre-Retirement”
The concept of “pre-retirement,” a gradual shift from full-time work to full retirement, is gaining traction. A report from Human Interest links this trend to pandemic-driven changes in worker attitudes toward savings and retirement planning.
Additionally, wage stagnation and inflation are delaying significant life steps. According to Zety, half of workers feel unable to start or grow a family, 40% say they cannot save for retirement, and 37% report they are priced out of homeownership.
Together, the data paints a clear picture: the traditional path to retirement is eroding. Economic pressures, changing workforce dynamics, and inadequate savings are forcing Americans to reconsider not only when they retire—but whether they can retire at all.
