As we enter 2024, some surveys indicate that Americans may be looking to prioritize their financial wellness. The past several years have brought a pandemic, fears of a recession, high inflation, and unsettling global headlines. All of this uncertainty has kept people focused on just staying afloat.
Now, as economic pressures seem to be lightening, Americans may once again be thinking about the importance of saving for the future and rearranging their lives to make this possible.
A recent study found that 55% of Americans feel they are behind on their retirement savings. During the pandemic, many people tapped into their savings or stopped saving altogether to deal with more pressing financial needs. But this year, that may be changing.
According to a survey from Voya, 72% of respondents said they were likely or extremely likely to save for retirement in 2024. Additionally, fewer employed Americans plan to take loans from their retirement plans next year compared to previous years. This shows a positive shift in mindset towards long-term savings.
Another encouraging insight: younger generations like Gen Z and Millennials, who have had less time in the workforce to build wealth, are expressing a strong interest in improving their financial health. They are eager to make good financial choices and get on track to secure their future. Will Gen Z maintain their motivation to save aggressively for retirement? Time will tell, but it's definitely worth watching this demographic in the coming years.
Taken together, these results suggest a more optimistic outlook for financial wellness in 2024, with many Americans recommitting to their goals and making more strategic plans for the future.
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