Nearly half of Americans who have not yet retired express doubt about their ability to fully retire, according to a recent study. A survey conducted by financial services firm Thrivent involving over 2,000 Americans found that 47 percent of non-retirees are skeptical they will ever be able to completely retire. The survey highlights increasing concerns over future financial security, influenced by rising living costs, economic uncertainty, and the potential impact of artificial intelligence (AI) on employment over the coming years.
Retirement Security Challenges
Retirement security is a growing concern for many Americans as inflation and housing expenses continue to pressure household budgets. Traditional retirement models typically anticipated workers exiting the labor force in their mid-60s. However, many now expect to continue working in some capacity even after reaching retirement age. This shift reflects how retirement is increasingly viewed as an evolving concept, shaped by current economic challenges.
Financial experts like Drew Powers point out that while advances in medicine may allow some office workers to extend their careers, the middle class is disappearing, alongside hopes for comfortable retirement.
Confidence and Skepticism
Thrivent’s 2026 Retirement Expectations Survey reports that approximately 58 percent of non-retirees feel confident they can retire from their primary careers as planned. Despite this, 47 percent doubt they will ever fully retire. Jason Rogoff, financial adviser at Thrivent, notes that many Americans face uncertainties regarding work, the economy, and retirement.
A significant portion of Americans focus mainly on coping with their current financial situation. Nearly two-thirds, 64 percent, prioritize immediate financial needs over retirement planning. Financial expert Michael Ryan explains that many workers have halted or reduced retirement savings and sometimes accessed retirement funds early to cover current expenses.
Rising costs and economic unpredictability are contributing to altered retirement expectations, with AI becoming an additional concern. Thrivent’s study indicates that Americans are redefining retirement by considering part-time work, consulting, or delayed exit as viable options.
Impact of AI on Retirement
Thrivent’s survey reveals growing worries about AI’s impact on job security. Among non-retirees, 63 percent of Gen Z workers and 59 percent of millennials perceive AI-related job reductions as potentially harmful to their retirement goals. Comparatively, 49 percent of Gen X and baby boomers share similar concerns.
Kevin Thompson, CEO of 9i Capital Group, emphasized that as AI reshapes the labor market, there might be a need to rethink how social programs are funded. He suggests conversations might be needed about broader automation taxes or changes to the tax code.
Even current retirees express apprehension, with 30 percent indicating AI-driven workforce changes have negatively affected their retirement, an increase from 20 percent last year.
Future Outlook
As Congress debates the future of Social Security and retirement programs, financial planners are concerned about retirement readiness for millions of Americans. Although many believe they will retire as planned, more are preparing for a future that includes continued work, whether due to financial necessity or because retirement now holds a different meaning.
Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, highlights how various factors such as higher living costs, longer life expectancies, and uncertainties around Social Security contribute to a new aging model. This new model increasingly features part-time work and flexible careers.
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