Pessimism about retirement is common in difficult economic times. Recent data suggests that many Americans now believe their darkest fear is becoming a reality: that they won’t be able to retire at all.
More than two in five Americans — 43% — say they expect to work until they die, a study finds WalletHub Survey Published at the end of August. Nearly two in five respondents (39%) said the thought of retirement scares them, and more than one in four (29%) said they count on family members to support them financially when they stop working.
Doubts about retirement planning are nothing new in the USA. A majority of Americans have told Gallup that they have worried about not having enough money for retirement every year since 2001 – for more than two decades, it has been the country’s top financial worry, ahead of medical costs and all other money worries tracked by Gallup. But the latest wave of concern comes as households grapple with a new surge in inflation that has once again become the focus of Americans’ financial concerns. Assets has followed this change in the pension landscapefrom disappearing pensions to a growing savings gap.
Rising prices were most noticeable for essential goods such as gasoline and food. According to AAA, the national average for a gallon of regular gasoline was $4.27 this week – up 13 cents in the last seven days alone – while the average price of ground beef reached $6.89 per pound in July, up 9.4% from a year ago, according to the latest data from the Bureau of Labor Statistics.
The result is fear and uncertainty about the future. A report A study released in August by the National Institute on Retirement Security (NIRS) found that of the 61% of Americans who are concerned they will not achieve financial security in retirement, 73% cited inflation as a factor, closely followed by market volatility (62%). These pressures reflect the Employee Benefit Research Institute’s 2026 Retirement Confidence Survey, which found that workers’ confidence in having enough to retire comfortably fell six points to 61%.
Debt increases stress and reduces savings. In the NIRS report, 74% of respondents said debt was a problem and 77% said it was preventing them from saving enough for retirement. WalletHub’s survey pointed in the same direction: 53% of respondents said paying off debt was more important than paying pension contributions. The picture helps explain why Nearly four in 10 Americans approaching their 60s have no retirement account at allas Assets has reported.
Retirement benefits are better than working from home
Despite the strain, Americans still value retirement benefits. According to the NIRS report, 75% of current workers say retirement benefits are a very or extremely important factor when considering a job opportunity, and 41% say these benefits have become more important to them in the past year.
Individual fears go hand in hand with broader pessimism about whether retirement is even achievable. The NIRS report found that 80% of Americans believe the country is facing a retirement crisis, up from 67% in 2020. Half of WalletHub respondents (50%) said it is not realistic for the average American to retire comfortably. It’s a crisis Assets examined from top to bottom: TIAA CEO Thasunda Brown Duckett recently called America’s $4 trillion pension deficit “A real crisis” and warned that about 40% of Americans are at risk of running out of money.
For some, working permanently isn’t just about money. A growing share of older Americans stays in the job voluntarily – almost 20% of people over 65 are employed today, almost twice as many as 35 years ago. But for millions more, the prospect of never leaving the service is a source of terror, not fulfillment.
Newer wrinkles also complicate the picture. The NIRS report found that 53% of Americans oppose employers offering cryptocurrencies as an option in workplace retirement plans, and 77% consider cryptocurrencies risky in these plans. Attitudes towards artificial intelligence are similarly cautious: almost half (45%) said they would be uncomfortable with AI playing a role in providing financial advice, even though the majority have already used the technology.
While fear of retirement is nothing new, it has become increasingly pronounced given the bleak economic outlook and uncertain future.
“Americans tell us that it is becoming increasingly difficult to secure their retirement savings as they struggle with the affordability of everyday life. Housing, health care, debt and other expenses compete with the need to save for retirement,” Dan Doonan, executive director of NIRS, said in the report. “At the same time, Americans are facing new questions about AI and cryptocurrency as the retirement landscape becomes increasingly complex.”