Retirement Confidence Drops to Lowest Point in Nearly a Decade, Survey Finds
American workers and retirees are less confident about their retirement savings than at any point in nearly a decade, according to the 2026 Retirement Confidence Survey by the Employee Benefit Research Institute. Worker confidence dropped 6 percentage points to 61 percent, while retiree confidence fell 5 points to 73 percent. Rising housing costs and healthcare expenses are the top reasons cited.
American workers and retirees are less confident about their retirement savings than at any point in nearly a decade, according to the 2026 Retirement Confidence Survey by the Employee Benefit Research Institute and Greenwald Research.
Worker confidence dropped 6 percentage points to 61 percent, while retiree confidence fell 5 points to 73 percent. Overall, 64 percent of Americans said they are confident about having enough money for a comfortable retirement, down from the previous year.
Four in five workers and seven in ten retirees said they are concerned about potential government changes to the U.S. retirement system. Fewer than three in five workers reported having sufficient savings for emergencies, down from 64 percent in 2025.
Rising housing costs are affecting seven in ten workers' ability to save for retirement. Healthcare expenses are impacting nearly six in ten workers' retirement contributions.
For 2026, the annual contribution limit for 401(k), 403(b), and governmental 457 plans increased to $24,500 from $23,500. IRA contribution limits rose to $7,500 from $7,000. Workers aged 60 to 63 can now contribute an additional $3,250 in catch-up contributions.
A new rule for 2026 requires workers whose prior-year FICA wages exceeded $150,000 to make catch-up contributions as Roth contributions, meaning they are taxed upfront but gains and withdrawals are tax-free.
Financial advisers recommend reviewing retirement account allocations and taking advantage of the higher contribution limits to offset the effects of inflation.
