More Than Half Of Americans Worry They’ll Run Out Of Money In Retirement

1 in 5 Americans earning less than 50K annually expect to work until at least age 70.

The nightmare keeping millions of Americans awake at night isn’t about monsters or natural disasters. It’s something more mundane, and unfortunately, far more likely: running out of money in retirement.

A nationwide survey reveals that 52% of Americans often worry about outliving their retirement savings. That fear is reshaping how an entire generation approaches retirement planning. For Generation X, now in their mid-40s to early 60s, the anxiety hits hard because they’re staring down retirement with limited time left to fix financial shortfalls.

The survey of 1,000 Americans, conducted by John Stevenson, host of the Guaranteed Retirement Guy Show, in December 2025, paints a stark picture of retirement insecurity. More than half of Gen Xers (52%) feel less confident about their retirement readiness than they did just a year ago. Meanwhile, 61% of all Americans doubt that government programs like Social Security and Medicare will provide adequate support when they retire. Many respondents say they don’t trust the government safety net, feel uncertain about their own savings, and are unsure how long retirement may last.

This anxiety is translating into concrete changes in financial planning. Three-quarters of Americans (74%) say they’re likely to delay retirement due to financial concerns. The traditional milestone of retiring at 65 has become a luxury many can’t afford. Among those earning less than $50,000 annually, one in five expects to work until age 70 or older.

What’s Driving the Fear

The worry about outliving savings didn’t appear overnight. Several forces have converged to create retirement insecurity for Gen X.

Economic volatility has battered confidence. Half of Americans (51%) adjusted their retirement plans because of recent events like inflation, market fluctuations, and rising interest rates. Gen X has lived through multiple economic downturns during their working years, which may help explain why inflation and market swings feel especially destabilizing today.

Trust in traditional safety nets has also eroded. When 61% of Americans don’t believe government programs will adequately support them in retirement, they’re essentially saying they’re on their own. Social Security and Medicare have been pillars of retirement security for generations, but Gen Xers increasingly view them as unreliable.

Many Americans worry that longer lifespans and healthcare costs could stretch savings further than expected. Planning for decades of retirement creates uncertainty about whether nest eggs will hold up under pressure.

How Americans Are Responding

The fear isn’t just causing anxiety, it’s changing behavior. Among parents, 52% reported increasing their savings or investments in the past year because of economic uncertainty. Half of parents (51%) said they’ve considered relocating in retirement to reduce living expenses.

This willingness to uproot lives and leave familiar communities speaks to how seriously people take the threat of running out of money. Moving from high-cost coastal cities to more affordable regions, downsizing homes, or relocating to states with lower taxes are now mainstream retirement strategies.

Americans are rethinking what retirement should look like. The survey found that 76% agreed their definition of a “comfortable retirement” has changed in the past few years.

The vision of leisurely travel and early exit from the workforce has been replaced by more modest expectations focused on financial stability and maintaining independence. Many Gen Xers say their focus has shifted toward financial independence and avoiding reliance on family.

People are pivoting toward strategies that address longevity risk directly. This means seeking guaranteed income sources that can’t be outlived, like annuities. It means being more conservative with withdrawal rates from investment accounts. It means keeping part-time work options open even after “retirement.”

The Struggle Hits Hardest for Lower Earners

The fear of outliving savings may be widespread, but the reality hits hardest for those with the least. Among Americans earning under $50,000 annually, 20% expect to work until age 70 or older. These aren’t high earners choosing to stay professionally engaged, these are people who cannot afford to stop working.

Lower-income Gen Xers face brutal math. They’ve had less money to save throughout their careers while facing the same or higher living costs. They’re more likely to have gaps in employment history, less likely to have employer-sponsored retirement plans, and more vulnerable to financial emergencies that drain whatever savings they accumulate.

For this group, the fear of running out of money isn’t about maintaining a comfortable lifestyle, it’s about basic survival. Will they be able to afford housing? Medications? Food? These aren’t theoretical concerns but pressing questions that shape every financial decision today.

The survey’s finding that 74% of Americans overall are likely to delay retirement takes on different meaning across income levels. For affluent professionals, delayed retirement might mean continuing to earn a large salary and build wealth. For lower-income workers, it means more years of physically demanding labor and postponed rest their bodies increasingly need.

Finding a Path Forward To Retirement

Gen Xers have spent much of their working lives hearing warnings about Social Security’s long-term finances. While most experts believe some version of Social Security will continue, Gen Xers have little faith it will provide the level of support their parents received.

Most are splitting the difference: planning as if Social Security will provide some income but treating it as a supplement rather than a foundation. The doubt about Medicare is equally concerning. Healthcare expenses represent one of the biggest wildcards in retirement planning.

Beyond the dollars and cents, this fear takes an emotional toll. The survey shows this isn’t occasional worry: 52% said they “often” worry about outliving their savings. For Gen Xers caught between supporting aging parents and adult children while trying to secure their own retirement, the pressure can feel overwhelming.

Despite the challenges, the survey reveals resilience alongside anxiety. Parents are increasing savings rates despite tight budgets. Families are seriously considering major lifestyle changes like relocating to affordable areas. People are seeking professional financial advice, diversifying investments, and educating themselves about retirement planning.

Gen X has weathered economic storms before and learned to adapt. The survey indicates that Gen Xers are making peace with a different kind of retirement, one that may start later, include part-time work, happen in less expensive locations, and focus more on security than luxury.

For Gen Xers and younger generations, there are several ways to be proactive. Start planning early and increase savings rates whenever possible. Even small increases in 401(k) contributions compound meaningfully over time. Be realistic about what retirement will cost, including healthcare.

Stay flexible about retirement timing, location, and lifestyle. Maintain skills and professional networks that could enable part-time work in retirement if needed. Seek professional financial advice to develop strategies tailored to individual circumstances.

Retirement security is still achievable even if it requires different strategies than previous generations used. The 52% of Americans worrying about outliving their savings aren’t wrong to be concerned, but steps taken today can still promote a more financially stable future.

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