Baby Boomers, for example, have experienced many market ups and downs, from the stock market crash of 1987 to the 2008 Recession. Generation X has also had to cope with the same economic events and technological revolution. However, they report relatively high participation rates in company retirement plans and started saving for retirement around the age of 30, which is earlier than previous generations. Nearly 60% of Gen X workers are confident that they’ll have enough money saved to sustain their lifestyles in retirement.
On the other hand, millennials are taking a digital approach to retirement planning, with a focus on self-led market investments such as cryptocurrency. Despite being among the youngest in the workforce, millennials are proactive about early retirement planning and have an average balance of $63,300 saved for retirement. However, they’ve also had to navigate periods of economic uncertainty, including the recent global market crisis, which will have a lasting impact on their savings.
While there are some similarities among age groups, there is no one-size-fits-all solution for retirement planning. For more information on how financial retirement planning differs by generation, please refer to the accompanying resource below.
Retirement Planning for Any Generation from Longbridge Financial, a reverse mortgage Company