US Retirement Confidence Hits 10-Year Low

Americans’ Confidence in Retirement Hits Record Low

Americans’ confidence that they’ll enjoy a comfortable retirement has reached its lowest point since 2012, according to a recent Gallup poll.

The April poll found that just 43 percent of individuals who have not yet retired believe they will have enough money to be financially comfortable in retirement. This represents a 10 point decline since 2021 and the lowest level of confidence in retirement since 2012. In contrast, 77 percent of current retirees said they have enough money to live comfortably.

This poll comes as record-high inflation under the Biden administration has swallowed up Americans’ paychecks and lowered their confidence in the economy. Another April Gallup poll found that the vast majority of Americans don’t have confidence in President Joe Biden to do the right thing on the economy.

Widespread Pessimism About Finances

A host of recent polling shows widespread pessimism about Americans’ finances. Another Gallup poll conducted in April showed fewer Americans believe it is a good time to buy a house than at any point since the poll began in 1978. A CNBC poll last month found that 70 percent of Americans “admit to being stressed about their finances these days.”

Americans’ economic pessimism comes as several economic signals have pointed toward a recession being likely before the end of the year.

• Key Takeaway: Americans’ confidence in their financial future is at a record low, with just 43 percent of those who have not yet retired believing they will have enough money to be financially comfortable in retirement. This comes as inflation and economic uncertainty continue to take a toll on Americans’ finances.