Gen X and millennials seek new retirement model

WEST DES MOINES, Iowa — October 6, 2026 — The retirement landscape has fundamentally changed for Generation X and millennials, according to a new survey conducted by Harris Poll on behalf of Athene. Facing fewer pensions, greater market uncertainty and heightened concern about health care costs, inflation and Social Security, today’s pre-retirees are viewing and building a dramatically different model of retirement than the generations before them.

More than eight in 10 respondents (83%) say their generation faces retirement challenges previous generations did not, while 76% believe the U.S. retirement system was designed for a previous generation. Nearly two-thirds (61%) say they have fewer guaranteed retirement-income options than prior generations, and 63% are concerned Social Security will run out of funds before they begin collecting benefits.

“Greater awareness of the need for retirement savings means that the biggest questions most retirement savers face today are whether they will outlive their savings and how they can turn their savings into reliable income that lasts,” said Sean Brennan, Co-President, Athene USA. “Retirement savers have fewer traditional sources of guaranteed income such as pensions, while managing greater uncertainty in this economic environment. Gen X and Millennials are looking for solutions to help navigate their future to with confidence, flexibility and a greater sense of control over their financial futures.”

Rising costs create a new set of retirement pressures

The survey of more than 2,000 U.S. adults ages 40–61 with at least $100,000 in investable assets and household income of $50,000 or more highlights the economic uncertainty regarding preparation and expectations for retirement.  The top concern – two-thirds of respondents (67%) – is rising health care costs while 62% cite inflation as a major concern.

Those pressures are already influencing the ability to save. Half of respondents (50%) identify inflation as a top barrier to retirement saving, followed by day-to-day expenses (39%) and health care costs (32%).

Guaranteed income has wide appeal, but is not understood

The findings point to a significant opportunity to help retirement savers better understand options for creating dependable retirement income. Eighty-six percent of those who know what annuities are say they offer benefits that are appealing. Yet only 23% have purchased an annuity. However, with greater understanding, 80% say they would consider purchasing an annuity if they knew more about them. At the same time, more than half (53%) say annuities are too complex.

“These findings reinforce the broad appeal of guaranteed income solutions, as well as the need to create greater understanding of their benefits,” said Mike Downing, Co-President, Athene USA. “Annuities are a vital retirement tool that can complement savings, investments and Social Security to create a more resilient retirement plan.”

While respondents express a desire for security, their retirement plans often remain incomplete. Only 40% say they have planned for how to convert their accumulated savings into income in retirement, and just 29% say they have fully accounted for the length of their retirement in their financial planning. In addition, 85% of survey respondents found guaranteed monthly income through a 401(k) appealing, demonstrating a clear desire for pension-like features in the defined contribution ecosystem.

“Retirement savers shouldn’t need to become investment experts on the day they retire,” says Rebecca Tadikonda, CEO, Vitera. “Retirees need solutions that simplify their transition from saving to spending so they can confidently enjoy the retirement they worked hard for.”

Despite the challenges, respondents remain cautiously optimistic about their own financial security in retirement. Thirty-eight percent say they are somewhat confident in their ability to achieve retirement financial security, while 32% are very confident and 21% are extremely confident. Nine percent say they are not at all confident.

Methodology

This survey was conducted online within the United States by Harris Poll on behalf of Athene from June 26 through July 7, 2026, among 2,022 U.S. residents ages 40–61 with at least $100,000 in investable assets and household income of at least $50,000. Results have been weighted where necessary to bring them into line with their actual proportions in the population.