Retirement Confidence Among Americans Drops to Near-Decade Low in 2026
Only 64% of Americans feel confident they will have enough money to retire comfortably, down from the previous year, according to the 2026 Retirement Confidence Survey. Worker confidence fell 6 percentage points to 61%, driven by rising housing costs, healthcare expenses, and uncertainty about Social Security.
Only 64% of Americans feel confident they will have enough money to retire comfortably, according to the 2026 Retirement Confidence Survey from the Employee Benefit Research Institute and Greenwald Research. That is down from the previous year, with worker confidence taking the biggest hit, falling 6 percentage points to 61%.
Retiree confidence also dropped, falling 5 percentage points to 73%.
The survey found that four out of five workers and seven out of ten retirees worry the government will change the U.S. retirement system. Fewer than three out of five workers say they have enough savings to cover an emergency expense, down from 64% in 2025.
Rising housing costs are affecting seven out of ten workers' ability to save for retirement. Nearly six out of ten say healthcare expenses cut into their retirement contributions.
The shift from traditional pensions to 401(k) plans and Social Security has placed more of the retirement burden on individuals, making them more vulnerable to economic swings. Inflation, which returned to the 3% range in early 2026, has added pressure on household budgets.
Financial advisors are recommending a goals-based approach to retirement planning, aligning assets with specific time horizons. Short-term liquidity needs should be kept in stable, accessible accounts, while long-term growth assets can tolerate more risk.
For workers who have access to an employer 401(k) match, capturing the full match remains one of the highest-return moves available. Workers over 50 should also be aware of catch-up contribution rules, which changed under the One Big Beautiful Bill Act passed in July 2025. High-income earners aged 50 and older are now required to direct catch-up contributions to Roth-style accounts, eliminating the immediate tax deduction for those specific contributions.
The average tax refund for 2026 reached $3,397, an 11.2% increase over 2025. Financial planners suggest using refunds to pay off high-interest debt or build emergency funds before directing money toward retirement accounts.
