Generation X (born roughly 1965–1980) is widely considered the least prepared generation for retirement, facing a "fragile foundation" with significantly lower savings compared to Boomers and Millennials. As the "sandwich generation" caring for both children and aging parents, many Gen Xers face a major shortfall, with only 14% feeling on track.
The financially insecure Peak 65 Baby Boomer
Credit Karma conducted a 2023 survey that showed that more than 1 in 4 (27%) Americans age 59 or older have nothing saved for retirement. A similar 2024 study conducted by AARP found that 1 in 5 Americans age 50 and older have zero retirement savings.
Gen Z is the generation most likely to be on track to retire successfully, with 47% of workers aged 24 to 28 currently poised to have enough money to maintain their current lifestyle in retirement, according to a recent study by investment management firm Vanguard.
Compared to Gen Z, Millennials are winning the aging game—at least for now. Their deliberate focus on health, balance, and self-awareness sets them up for a longer, healthier life. By avoiding bad habits like smoking and embracing proactive wellness, they've slowed some signs of aging.
Baby Boomers rank as the wealthiest generation in history. Boomers represent just 20% of the population, but their share of U.S. household wealth peaked at 53% in 2021 before slipping to about 51% as of the end of 2024.
One in five Americans over the age of 50 have no retirement savings, according to a survey by the AARP. And even if you have something tucked away, it may not be enough — though that is something you can change even late in the game.
From Table IV we can see that the average score of the millennial groups is 99.24 and the average score of the gen-z group is 101.03, the difference being 1.79 points.
While defining a single "unhealthiest" generation is complex, recent studies suggest Millennials face significant health challenges, showing worse health than Gen X at the same age, with higher rates of depression, obesity, diabetes, and substance abuse, but Gen Z is now reporting even higher rates of unhappiness and mental health struggles, potentially leading to earlier physical declines, though some research also points to rising chronic issues in older generations like Baby Boomers.
By the numbers: The Great Wealth Transfer
Gen X, born between 1965 and 1980, are estimated to inherit $39 trillion. Millennials, born between 1981 and 1996, are estimated to inherit $46 trillion. Gen Z, born in 1997 or later, are estimated to inherit $15 trillion.
Actor Michael Sheen used £100,000 (about $129,000) of his own money to buy and then write off £1 million (around $1.3 million) in debt for over 900 families in his hometown of South Wales, highlighting issues with the debt industry and giving people a financial fresh start, documented in Michael Sheen's Secret Million Pound Giveaway. He purchased the debts at a discount and canceled them, a move that brought attention to the struggles faced by his community, particularly after the local steelworks closed.
If earning a current salary of $100,000 a year, you should aim for at least $800,000 to $1 million in retirement savings by 60. This figure isn't set in stone—it's a guideline. Your actual needs could be higher or lower depending on where you plan to live, healthcare costs, and your desired standard of living.
More Baby Boomers are delaying retirement—not because they want to, but because they feel they have to. With longer life expectancies, rising costs, and shifting financial responsibilities, many are unsure if they have enough saved to step away from work.
The average retiree's monthly expenses in the U.S. hover around $4,600 to $5,400, with younger retirees (65-74) spending more, often over $5,000 monthly, while those 75+ spend closer to $4,400 as transportation and entertainment costs decrease, though healthcare costs can rise, with housing, transportation, healthcare, and food being the biggest categories.
Generational trends in debt patterns indicate that Generation X holds the highest average student loan balances, while Millennials are increasingly facing significant credit card and auto loan debt. Baby boomers also exhibit notable bankruptcy rates, reflecting their financial struggles.
I tell young people all the time, by the time you hit 33 years old you should have at least $100,000 saved somewhere. Make that your goal. That's the age when it's really time to start getting FOCUSED on saving.
Federal Reserve data shows that about 23% of Americans have no debt.