U.S. Worker Retirement Confidence Falls to 61% as Savings Rate Slips to 59%

Q: Why do six in ten workers mistakenly believe they are saving for retirement, and what is the real reason they are not?

They mainly think they are saving because of confusion about how workplace plans work and whether they are actually enrolled. The EBRI/Greenwald survey found a striking disconnect: many nonparticipants assume they are already contributing, often because they believe they were automatically enrolled, think signing up happened during onboarding, or simply do not understand their current contribution status. The underlying reason they are not saving is less about intent than about barriers and misunderstanding. The survey and related research point to high debt, tight incomes, and weak plan literacy as the main causes. Many workers say debt crowds out retirement saving, and a sizable share of nonparticipants do not understand plan mechanics or how to get started. Some also wrongly assume eligibility or enrollment equals active payroll contributions. That matters because the broader retirement picture is worsening. Active retirement saving fell to 59% from 64% a year earlier, while 58% of workers said debt interferes with saving. Workers with low confidence most often cite little or no savings, inflation, and economic uncertainty. Experts say the practical fix is clearer plan communication, not just more plan access. Employers and providers can reduce the gap by making contribution status obvious on pay and benefits portals, using re-enrollment windows, and giving direct, plain-language guidance at onboarding and annual benefits enrollment.

1 articles · Updated · Insurance News Net · Jun 22

Only 61% of U.S. workers said they expect to have enough money for a comfortable retirement in 2026, down from 72% in 2021 and the lowest reading since 2017.
EBRI’s survey tied the drop mainly to weak savings, with 59% currently saving for retirement versus 64% in 2025, while inflation, economic uncertainty, healthcare costs and housing costs also weighed on confidence.
Debt emerged as a major obstacle, with 58% of workers saying it interferes with retirement saving; among workers lacking confidence, little or no savings was the top reason cited.
The survey also found a participation gap: 6 in 10 workers said they were saving in an employer plan when they were not, often because they assumed they had been enrolled or would be auto-enrolled.
Longer term, only 2 in 10 workers felt confident their money would last for life, helping drive demand for guaranteed lifetime income options in workplace retirement plans.