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Federal Reserve Releases New Report: Just 35% of Workers View Their Retirement Savings As On Track
Last Updated: June 16, 2025
By Pension Consultants Inc. | Commentary
The Federal Reserve recently released its annual Report on the Economic Well-Being of U.S. Households, a comprehensive survey that captures how Americans perceive their financial health across a variety of areas, including saving and planning for retirement. This report provides a valuable snapshot of the challenges and realities many workers face as they prepare for their financial futures.
One key finding from the 2024 data: only 35% of non-retirees view their retirement savings as on track. While that’s a slight improvement over 2023 (34%) and 2022 (31%), it remains significantly lower than the 40% reported just three years ago.
Despite the uptick, the bigger story may be the lack of meaningful progress over time. Retirement confidence has hovered in the same narrow range year-after-year: 34% in 2023, 31% in 2022, 40% in 2021, 36% in 2020, 37% in 2019, and 36% in 2018.
The Federal Reserve’s findings align with a growing body of research confirming that too many Americans remain off track for retirement. Evidence Continues to Pile Up: Americans Aren’t On Track for Retirement →
The trend line isn’t moving—it’s circling the same problem. For years, employers have invested in tools designed to support financial well-being, managed accounts, education campaigns, engagement platforms. Yet the percentage of workers who feel confident in their ability to retire has barely moved.
If you work in HR or Finance, these numbers probably don’t surprise you. They confirm what many see firsthand:
📊 Infographic – When Your Employees Aren’t on Track for Retirement, Financial Stress Shows Up →
– Employees delaying retirement
– Financial stress impacting retention and productivity
– Plans that are active—but not necessarily effective
With more than 70 million Americans participating in 401(k) plans, these findings raise a hard question: Why aren’t more employees on track?
For most workers, the 401(k) is their primary—and often only—way to save for retirement. Yet too many plans focus on simply getting employees enrolled rather than helping them be prepared for retirement when it arrives. While access and education are important, what’s really needed is thoughtful management that keeps retirement readiness front and center.
After all, as the Federal Reserve’s recent report shows, only 35% of workers feel their savings are on track. We believe that number can improve—and that with intentional management and accountability, 401(k) plans can break the trend and help employees build the retirement security they deserve.
We explore this problem more closely in our article, “Evidence Continues to Pile Up: Americans Aren’t On Track for Retirement” →.
WHAT NOW?
📺 We invite you to join our upcoming webinar, What’s Your Problem, 401(k)?, where we’ll discuss what’s behind these challenges—and practical steps to help 401(k) plans fulfill their potential to support employees on the path to a secure retirement.
