Still, not everyone had a clear plan. More than 1 in 10 respondents (14%) weren't sure whether they would have one or multiple income streams. Gen Z was the most uncertain, with 18% unsure about their future financial strategy.

Inflation remains a key concern for Americans planning their retirement. In 2024, the average inflation rate was 2.9%, with monthly rates peaking at 3.5%. So far in 2025, inflation hit 3.0% in January and declined to 2.8% in February.

Even with this downward trend, essential costs — such as housing, health care, and daily expenses — continue to rise, making it harder for people to feel financially secure. These ongoing increases have led many Americans to rethink their retirement timelines and financial strategies.

Nearly half of unretired Americans (49%) were not confident that they would be able to have enough savings and income to cover essential expenses, maintain your lifestyle, and handle unexpected costs without financial stress, with Gen X being the least confident (52%). Overall, respondents projected that they would need $1.14 million to retire comfortably. This amount differed across generations as follows:

Gen Z: $1.25 million
Millennials: $1.22 million
Gen X: $1.18 million
Baby boomers: $760,000

To stretch their savings, some would consider retiring abroad. More than a third (34%) said they're open to moving to another country for a lower cost of living, while another 36% were still weighing the idea. Gen Z was the most open to this option (40%).

Related: Side hustles: Can they help Americans reach their financial goals?

For others, retirement felt out of reach entirely, with 1 in 4 believing that they won't ever be able to retire. On average, Americans said they now expect to retire at 70 — 6 years later than their ideal retirement age of 64 — due to inflation and market volatility (the frequent swings in stock prices and economic conditions that affect retirement savings).
For many Americans yet to retire, their financial future feels uncertain. Rising costs, market volatility, and shifting financial strategies are making it harder to feel confident about the future.

“Employers have an opportunity to help drive long-term financial wellness, particularly for employees in their 40s, 50s, and 60s,” said Mark Caner, President of Western & Southern Financial Group. Some of the most effective benefits include: Automatic 401(k) enrollment and employer matching, access to computer-based financial planning software or one-on-one sessions with retirement planners, flexible timing or phased retirement plans, so that older employees can cut back hours without forfeiting benefits and educational seminars discussing issues like maximizing Social Security, managing catch-up contributions, or healthcare in retirement.

“Enabling workers to plan earlier and better for retirement is not only good for their bank balances, it also lowers long-term stress, increases retention, and demonstrates that a company cares about their entire financial path.”