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Gen X reports ‘lowest’ financial health, but they can ‘catch up’ on retirement savings in 2025

For the first time in years, Gen X reported slightly worse financial wellness than Gen Z, but the new catch-up contribution rules for next year will give them a boost, according to a new Guardian report.

By Lynn Cavanaugh | November 25, 2024 at 01:00 PM
Credit: Hyejin Kang/Adobe Stock

For the first time in years, members of Gen X reported slightly worse financial wellness than Gen Z, potentially due to concerns around inflation and economic uncertainty, in a new Guardian’s Mind, Body, and Wallet 2024 report. This may be because Gen X, some of whom will reach age 60 next year, is the generation approaching retirement, and during a time of high inflation and economic uncertainty, they’re concerned about saving enough as they approach that milestone, according to Guardian.

A mere 27% of Gen X reported good financial health, lower than the already low average of 32%. So it makes sense then that Gen Xers are more worried about retirement-related concerns, including having a guaranteed source of income in retirement (51%, vs. 46% of Gen Z) and having retirement savings last as long as they need (52% vs. 41% of Gen Z). The latter concern is particularly pronounced in today’s high inflation environment, as someone’s savings to-date might not last as long as originally anticipated.

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