The First DIY Retirement Generation

Generation X is approaching retirement and has been largely responsible for figuring out their own retirement because pensions disappeared and the financial system basically said, “Good luck, you’re on your own!” In many ways, it's a bit of a scramble to turn decades of saving and investing into an actual retirement plan that lasts longer than a phone battery. Will it be enough? It's too soon to tell, but let's take a look at what's happening.

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Here are Five Fast Facts on the first DIY retirement generation:

1. 😣 The Hard Way - Gen X is the first generation mostly responsible for funding their own retirement through accounts like 401(k)s and IRAs after traditional pensions largely disappeared.

2. 🙃 Confident But Disorganized - Nearly 80% of Gen X investors say they're confident about their investment decisions, yet almost half (40%) don’t have a written financial plan. That’s like being confident you can cook dinner but ignoring the recipe.

3. 📝 Advisors...Maybe - Around 71% say financial advisors are important for helping make investment decisions, but only 43% have actually worked with one to create a plan. Yes, it's important to do…later!

4. 🥪 Make Me A Sandwich - Many Gen Xers are balancing saving for retirement while supporting kids, helping aging parents, and trying to leave a legacy for their own family. Retirement planning often feels like spinning plates while riding a unicycle over a burning tightrope.

5. 🤔 That Tracks - It makes sense that Gen X is forging its own path to retirement. After all, less than half (47%) think Social Security will have their back. That's probably a wise assumption!

🔥Bottom line: Gen X is the DIY generation of retirement for a reason - they grew up during the switch from pensions to personal savings accounts and had to evolve whether they liked it or not. Now that retirement is getting closer and there are fewer paychecks remaining, the big challenge isn’t just saving money, it’s turning that pile of investments into a long-lasting plan that covers lifestyle, longevity, and leaving something behind for the kids.

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Are you part of Gen X? How's your retirement doing?

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