Americans' Fear of Outliving Savings Hits Record High
Event summary
- 67% of Americans now worry more about running out of money than death, up from 57% in 2022.
- Gen Xers (73%) are most concerned, followed by millennials (69%) and boomers (59%).
- 48% of Americans lack a written financial plan, with Gen Xers (58%) most likely to be unprepared.
- 34% withdraw from investments during market drops, with millennials (46%) leading this behavior.
The big picture
Allianz Life's study highlights a growing disconnect between retirement savings realities and consumer preparedness, fueled by inflation, healthcare costs, and economic uncertainty. The data underscores the need for more robust financial planning solutions in an era of prolonged lifespans and volatile markets. With nearly half of Americans lacking formal plans, the insurance and wealth management sectors face both a challenge and an opportunity to bridge this gap.
What we're watching
- Behavioral Shifts
- How rising financial anxiety will impact retirement savings behaviors, particularly among younger generations.
- Market Sensitivity
- Whether increased market volatility triggers more impulsive investment decisions, exacerbating long-term financial risks.
- Advisory Demand
- The pace at which demand for financial planning services grows as Americans seek strategies to secure retirement income.
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