Retirement timelines are moving further out of reach for many U.S. workers as rising costs, limited savings, healthcare expenses, housing costs, and debt continue to strain household finances. According to the latest Retirement Reality Gap Report from MyPerfectResume, a premium resume-building service, 35% of workers say their expected retirement age has moved later over the past three years, more than twice the share who say they now expect to retire earlier.
The national survey of 1,000 U.S. workers found that retirement is increasingly becoming a moving target rather than a fixed milestone. More than half of workers (55%) expect to retire at age 65 or later, including 14% who do not expect to fully retire at all. At the same time, 51% say they are behind on retirement savings or have not started saving.
Key Findings:
- Retirement is being delayed: 35% of workers say their expected retirement age has moved later over the past three years.
- Most workers expect to retire later in life: 55% expect to retire at 65 or later, including 14% who do not expect to fully retire.
- Cost of living is the top barrier to early retirement: 64% cite it as a factor preventing them from retiring as early as they would like.
- Retirement readiness remains weak: 51% are behind on retirement savings or have not started saving.
- Confidence is not secure: 32% are not confident they will be able to fully retire.
- Early retirement feels unrealistic for typical workers: 51% say retiring before age 60 is not realistic for someone with a typical full-time job.
- FIRE is seen as out of reach: 71% say retiring early through aggressive saving and investing is unrealistic for most people or only realistic for high earners or wealthy households.
“Many workers are not just worried about retirement. They are actively revising their timelines,” said Dr. Jasmine Escalera, Career Expert at MyPerfectResume. “When more than one-third of workers say retirement has moved further into the future, it signals a deeper financial strain. Rising costs are forcing people to rethink when they can stop working, what retirement will look like, and whether full retirement is realistic at all.”
Retirement Is Being Delayed
Retirement is shifting further into the future for many workers. Over the past three years, workers have been more likely to delay retirement than accelerate it:
- 52% say their expected retirement age has stayed about the same
- 35% say they now expect to retire later
- 13% say they now expect to retire earlier
Among workers whose plans changed, respondents were more than twice as likely to delay retirement as to advance it.
For many, retirement is no longer expected before the traditional retirement age. When asked when they realistically expect or plan to retire, respondents said:
- 27% expect to retire between ages 65 and 69
- 21% expect to retire between ages 60 and 64
- 17% expect to retire between ages 50 and 59
- 14% expect to retire at age 70 or older
- 14% do not expect to fully retire
- 7% expect to retire before age 50
Together, 55% expect to retire at age 65 or later, including those who do not expect to fully retire. Another 24% expect to retire before age 60, while 21% expect to retire between ages 60 and 64.
Rising Costs Are Pushing Retirement Further Away
Financial pressure is the leading reason workers say they cannot retire as early as they would like. Cost of living is the top barrier by a wide margin, followed by income, savings, healthcare, housing, and debt.
Top barriers preventing workers from retiring as early as they would like include:
- 64% cite cost of living
- 37% cite not earning enough income
- 34% cite not having enough retirement savings
- 31% cite healthcare costs
- 30% cite housing costs
- 30% cite debt
- 21% cite job instability or economic uncertainty
- 16% cite supporting children or family members
- 9% cite other barriers
Retirement Readiness Is Falling Short
As workers delay retirement, many are also struggling to build enough savings to feel prepared. When asked how they would describe their current retirement savings progress, respondents said:
- 34% are behind where they need to be
- 33% are about on track
- 17% have not started saving
- 16% are ahead of where they need to be
In total, 51% are either behind or have not started saving for retirement, compared with 49% who say they are on track or ahead.
Retirement confidence is also showing cracks. Although many workers still believe retirement may be possible, 32% say they are not confident they will be able to fully retire. When asked how confident they are, respondents said:
- 20% are not very confident in being able to fully retire
- 12% are not at all confident
- 31% are somewhat confident
- 37% are very confident
Early Retirement Feels Unrealistic for Many Workers
Early retirement remains appealing, but many workers do not see it as realistic for someone with a typical full-time job. When asked whether retiring before age 60 is realistic, respondents were nearly split:
- 34% say no, not really
- 28% say yes, somewhat
- 21% say yes, definitely
- 17% say no, definitely not
Overall, 51% say retiring before age 60 is not realistic for a typical full-time worker, while 49% say it is at least somewhat realistic. Only 21% say early retirement is definitely realistic.
Most Workers See FIRE as Out of Reach
The FIRE movement, which stands for Financial Independence, Retire Early, remains appealing to many workers, but most do not see it as broadly realistic. When asked which statement best describes their view of FIRE, respondents said:
- 44% say it sounds appealing, but unrealistic for most people
- 27% say it is realistic only for high earners or wealthy households
- 22% say it is realistic for people like them
- 7% say they would rather work longer and enjoy life now
In total, 71% believe FIRE is not broadly realistic, either because it is unrealistic for most people or because it is only achievable for high earners or wealthy households.
When asked how achievable FIRE would feel for them personally right now, respondents said:
- 27% say it feels somewhat achievable
- 23% say it does not feel very achievable
- 22% say it does not feel achievable at all
- 17% say it feels very achievable
- 11% say they are not interested in pursuing FIRE
Together, 44% say FIRE feels achievable, while 45% say it does not. Another 11% say they are not interested in pursuing FIRE. To view the full report and obtain more information, please visit https://www.myperfectresume.com/career-center/careers/basics/retirement-reality-gap.
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