Three-quarters of Americans share one retirement savings regret
A new survey from Voya Financial reveals that many Americans wish they had begun saving for retirement earlier.
The study indicates that more than half of Americans began saving between the ages of 18 and 34, with an average start age of 28. However, 64 percent of respondents said they regret not starting to build their savings before turning 25.
“Deciding to save early and often in an employer-sponsored 401(k) or other retirement account is within the control of every employee who has access,” Kerry Sette, vice president of consumer insights and research at Voya Financial said in a statement Thursday. “This can be an important factor in creating an effective plan that leads to financial security in the future.”
The data shows a significant disparity in saving habits across generations, with Generation Z starting to save at 20 on average while millennials started at 24. In contrast, Generation X and baby boomers began much later, at 30 and 32 respectively.
Irrespective of their start ages, each generation wished they had begun saving earlier, with Gen X and boomers wishing they’d laid their financial foundations at 23 and 24 respectively.
“This recent Voya data highlights how the design of a workplace retirement plan can help encourage employees of all ages to maximize the benefits of employer-sponsored retirement accounts — as soon as possible,” said Tom Armstrong, vice president of customer analytics and insight at Voya Financial.
The survey also highlights ongoing challenges in retirement savings. According to Voya’s retirement plan participant data, most of those who changed their savings rate in the first quarter of 2024 ramped it up, including 78 percent of Gen Z and baby boomers, and 75 percent of millennials and
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