(Yahoo! Finance) - Call it bad timing.
While Americans are pacing ahead of last year in making last-minute retirement account contributions, underneath it all, they’re rattled. That’s especially true for those nearing retirement.
Inflation, covering monthly bills, emergency expenses, and paying off personal debt are among their top worries, according to a recent Fidelity report.
“A renewed focus on near-term finances is shaping how and how fast they retire,” Fidelity vice president of retirement products Rita Assaf told Yahoo Finance.
More Americans than ever are expected to retire this year, according to the Social Security Administration, but feeling ready is another story.
Nearly half of Gen Xers, the generation whose oldest members turn 61 this year, don’t think they will be able to retire at all, according to the data. And 3 in 10 baby boomers aren’t confident they can retire when they want to.
Two-thirds of Gen X said their retirement savings to date won’t last their lifetime, and nearly half said they may need to adjust their current lifestyle in retirement.
One possible solution: “Keep truckin‘,” as the Grateful Dead song goes. More than 4 in 10 Gen X workers plan to phase gradually into retirement, through gig work and side hustles, rather than make a hard stop.
“The timing of retirement has become deeply personal — more about when people feel financially and emotionally ready than about hitting an arbitrary date on the calendar,” Assaf said. “Keeping a foot in the workforce does more than extend income. It helps people smooth the handoff from a paycheck to sources of retirement income.”
