Gen X retirement could use some help. In a world awash with retirement planning advice, Gen Xers are the least likely of all generations to map out a plan to fund their lifestyle once they stop working. In fact, half (48%) of Gen Xers, or Americans between the ages of 44 and 59, say they have not done any retirement planning, according to the recently released Schroders 2024 U.S. Retirement Survey. This lack of planning exceeds the 41% of Millennials and Baby Boomers who say they lack a retirement savings game plan.
As a result, retirement readiness is a major worry for Gen Xers, a generation that came of age during the 401(k) revolution and the phase-out of employer-paid traditional pensions. Just a small sliver (14%) of Gen Xers believe they have enough money saved for their Golden Years. On average, Gen Xers think they’ll need $1.07 million to retire but expect to accumulate just $603,000 by the time they retire, which leaves a savings gap of nearly $467,000, according to the Schroders’ survey. It’s no surprise, then, that more than half (54%) are concerned or very concerned about outliving their assets in retirement. As a result, 60% of Gen X aren’t confident in their ability to achieve their dream retirement.
