40 United States Retirement Statistics You Need to Know [ New Data ]

What percentage of the U.S. population is currently retired?

According to the U.S. Census Bureau, in 2020, approximately 55.8 million individuals were aged 65 and over, representing 16.8% of the total U.S. population. While age 65 is commonly associated with retirement, not all individuals in this age group are retired, and some younger individuals may also be retired.​

A study by the Pew Research Center indicated that as of the third quarter of 2021, 50.3% of U.S. adults aged 55 and older reported being out of the labor force due to retirement. This statistic provides insight into retirement trends among older adults but does not directly translate to a percentage of the entire U.S. population.

Sources [ ​Pew Research Census.gov]

How many Americans retire each year?

Each year, millions of Americans reach retirement age, marking a significant demographic shift with profound economic implications. Between 2024 and 2027, an estimated 4.1 million individuals will turn 65 annually, averaging approximately 11,200 people per day. ​

However, the number of individuals reaching retirement age does not directly equate to the number of individuals who actually retire each year. Retirement decisions are influenced by various factors, including personal finances, health, and economic conditions. One indicator of retirement activity is the number of new Social Security benefit awards. In 2022, about 5.6 million Americans were newly awarded Social Security benefits. ​

Sources [ WSJ GOBankingRates ]

What percentage of Americans retire before 60?

According to a 2024 study by the Transamerica Center for Retirement Studies, 59% of U.S. retirees left the workforce before turning 65, with a median retirement age of 62. This suggests that a significant portion retire before 60. 

A 2025 article in The Wall Street Journal, referencing the Employee Benefit Research Institute, noted that approximately 20% of retirees reported leaving their careers at age 55 or younger. ​

Additionally, a 2021 report by Hearts & Wallets indicated that 17.3% of Americans aspire to retire before age 55. 

Source [ ​Employee Benefit ​Investment News WSJ  ]

How many Americans have less than $10,000 in retirement savings?

Recent studies reveal a concerning trend: a significant portion of Americans have minimal retirement savings. A 2022 survey by Sagewell Financial found that nearly 30% of individuals aged 55 to 67 have less than $10,000 saved for retirement. The situation is even more pronounced among women in this age group, with 32% reporting savings below this threshold. ​

A 2023 GOBankingRates survey further show this issue, indicating that 36% of Americans across all age groups have accumulated less than $10,000 for retirement. Alarmingly, 37% of individuals aged 55 to 64 fall into this category, highlighting a widespread lack of preparedness among those nearing retirement. ​

Source [ Yahoo Finance MarketWatch GOBankingRates ]

What percentage of retirees rely primarily on Social Security?

​A significant portion of older Americans depend heavily on Social Security for their retirement income. A 2020 report by the National Institute on Retirement Security (NIRS) revealed that approximately 40% of older Americans rely solely on Social Security benefits during retirement. ​

This heavy reliance is concerning, as Social Security is designed to replace only about 40% of an average worker's pre-retirement income. Financial advisors often recommend that retirees aim to replace at least 70% of their pre-retirement income to maintain their standard of living. Therefore, depending exclusively on Social Security may leave many retirees financially vulnerable.​

Furthermore, the NIRS report highlighted that only a small fraction—6.8%—of older Americans receive income from the three traditional pillars of retirement security: Social Security, a defined benefit pension, and a defined contribution plan like a 401(k). ​

Sources [    PR Newswire  NIRS ]

How much does the average retiree receive from Social Security?

As of February 2025, the average monthly Social Security retirement benefit for retired workers in the United States is approximately $1,980.86. ​

It's important to note that individual benefit amounts can vary based on factors such as lifetime earnings, the age at which benefits are claimed, and the number of years worked.

For instance, claiming benefits before reaching full retirement age can result in reduced monthly payments, while delaying benefits beyond full retirement age can increase them. The maximum benefit for someone retiring at full retirement age in 2024 is $3,822 per month. 

These figures are subject to annual adjustments, including cost-of-living adjustments (COLAs), to account for inflation and changes in the average wage index. For example, in 2023, a COLA of 8.7% was applied, reflecting significant inflation during that period.

Sources [ Kiplinger.com ​US News Money Money Digest ] 

How many retirees still receive pensions

Pensions continue to play a significant role in the financial well-being of many retirees in the United States. According to the Pension Rights Center, in 2022, approximately one-third of older adults received income from various pension sources, including private company or union pension plans, government pensions, and military or veterans' pensions. The median annual benefit for individuals aged 65 and older was as follows:​

• Private pensions and annuities: $11,040​

• Federal government pensions: $26,380

• State or local government pensions: $24,980​

• Military pensions: $24,130​

• Veterans' benefits: $15,630​

Furthermore, a 2018 report by the Federal Reserve indicated that 56% of U.S. retirees received income from defined benefit (DB) pension plans, which include both private and public sector pensions. The report also noted that only 26% of non-retired individuals had access to DB pensions, suggesting a decline in pension coverage among the working population.​

Sources [  ​Pension Rights Center Retirement Income Journal Statista ]

What percentage of workers have access to employer-sponsored retirement plans?

As of March 2023, approximately 70% of private industry workers in the United States had access to employer-sponsored retirement plans, according to the U.S. Bureau of Labor Statistics (BLS). This figure reflects an increase from 59% in 2010.​

Breaking down the types of retirement plans:​

• Defined Contribution Plans: 67% of private industry workers had access to these plans in 2023, up from 59% in 2010. Defined contribution plans, such as 401(k) plans, are more prevalent and allow employees to contribute a portion of their wages to individual accounts. ​

• Defined Benefit Plans: Access declined from 20% in 2010 to 15% in 2023. Defined benefit plans provide employees with guaranteed retirement benefits based on factors like length of service and salary history. 

Access to employer-sponsored retirement plans varies across industries. For instance, in the financial activities sector, 33% of workers had access to defined benefit plans, while 87% had access to defined contribution plans.

Source [  ​Bureau of Labor Statistics ]

How many Americans actively contribute to their 401(k) each year?

​According to a 2023 report by Capitalize, approximately 71.5 million U.S. private-sector workers had access to 401(k) plans, representing nearly 60% of the workforce. Of these, the average participant contributed $5,191 annually, equating to 7.1% of their pre-tax income.

When combined with employer contributions, the total average savings rate reached 10.4%. Additionally, Vanguard's 2023 report indicated that plans offering automatic enrollment increased to a record 59%, enhancing participation rates.

Furthermore, Fidelity Investments reported that in 2021, 38% of U.S. employees increased their 401(k) contributions, with 83% of workers receiving employer contributions averaging $4,080  

Sources [ 401k Specialist Magazine  Financial Regulation News] 

What is the average credit card debt for seniors?

Recent data indicates that credit card debt among older Americans is a growing concern. According to a 2024 MarketWatch report, 68% of retirees reported having outstanding credit card debt, a significant increase from 40% in 2022. This rise is attributed to factors such as escalating living costs, insufficient retirement savings, and unforeseen medical expenses.​

Specifically, individuals aged 55 to 64 have the highest average credit card debt, amounting to $7,720. Similarly, Credit Karma's analysis reveals that Baby Boomers (ages 59–77) carry an average credit card debt of $7,464, while the Silent Generation (ages 78–95) holds an average of $5,649. ​

Sources [ Forbes  MarketWatch  AARP ] 

How many retirees depend on Social Security

Social Security plays a crucial role in the financial well-being of many American retirees. According to a 2020 report by the National Institute on Retirement Security, approximately 40% of older Americans rely exclusively on Social Security for their retirement income. This indicates that these individuals have no other significant sources of income during their retirement years. 

Further emphasizing the program's importance, a 2024 survey conducted by The Senior Citizens League revealed that 67% of seniors depend on Social Security for more than half of their income. Notably, 27% of respondents reported that Social Security constitutes their entire income. ​

Sources [ ​NIRS The Senior Citizens League ]

How does the U.S. retirement system rank globally?

The United States' retirement system has been evaluated in recent global assessments, revealing areas where it lags behind other nations.​

According to the 2024 Mercer CFA Institute Global Pension Index, the U.S. ranked 29th out of 48 countries, earning a C+ grade. This evaluation considered factors such as adequacy, sustainability, and integrity of pension systems. In comparison, the Netherlands secured the top position with an A grade, followed by Iceland, Denmark, and Israel. 

Similarly, the 2024 Natixis Global Retirement Index placed the U.S. at 22nd among 44 countries, a decline from its 20th position in 2023. This index assesses retirement security based on material well-being, finances, quality of life, and health. Switzerland, Norway, and Iceland led this ranking.

Several factors contribute to the U.S.'s lower rankings:​

• Access to Retirement Plans: A significant portion of U.S. workers lack access to employer-sponsored retirement plans, impacting their ability to save adequately for retirement. ​

• Pre-Retirement Withdrawals: The U.S. system allows for early withdrawals from retirement accounts, leading to potential depletion of savings before retirement. ​

• Social Security Benefits: The U.S. offers relatively modest public pension benefits compared to top-ranked countries, affecting the overall adequacy of retirement income.

Sources [  ​NBC New York  AARP]

What is the average annual healthcare expenditure for retirees?

According to Fidelity Investments 2022 Retiree Health Care Cost Estimate, a 65-year-old couple retiring in 2022 is projected to need approximately $315,000 to cover medical expenses throughout retirement.

For single retirees, the estimate is $150,000 for men and $165,000 for women. These figures assume enrollment in traditional Medicare (Parts A and B) and Medicare Part D for prescription drugs. ​

Breaking this down annually, the Center for Retirement Research at Boston College reports that the average retiree household incurs about $21,400 in total healthcare costs each year. Of this amount, approximately 22% is paid out-of-pocket by retirees, equating to roughly $4,700 annually. Notably, 10% of retiree households face annual healthcare costs of $43,500 or more. ​

Sources [  Money   Fidelity Newsroom ]

What percentage of retirees still pay a mortgage or rent?

Recent studies indicate that a notable portion of retirees in the United States continue to manage housing-related financial obligations:​

• Mortgage Debt: According to a 2024 study by Nationwide, 26% of retired investors are still paying off their mortgages. 

• Rent Payments: Specific statistics on retirees paying rent are less prevalent. However, the U.S. Department of Housing and Urban Development reported in 2020 that approximately 21% of households headed by individuals aged 65 and older were renters. This suggests a significant number of retirees continue to incur rental expenses.​

These figures shows the importance of incorporating housing costs into retirement planning, as a substantial number of retirees manage ongoing mortgage or rent payments.

Sources [ ​National Mortgage News Mortgage Professional ]

How many workers expect to delay retirement past 70?

​Recent surveys reveal a significant portion of American workers anticipate delaying retirement beyond the traditional age of 65, with many expecting to work past 70.

According to the Transamerica Institute's Retirement Survey for 2025, 36% of workers plan to fully retire after age 70, and 52% expect to continue working in some capacity during retirement. ​

Similarly, a 2023 survey by F&G Annuities & Life, Inc. found that 64% of pre-retirees are considering or have taken action to delay their retirement. While financial concerns such as insufficient savings and inflation are primary factors, nearly one-third (29%) of respondents expressed a desire to remain in the workforce because they enjoy their work, and 27% appreciate the intellectual stimulation it provides. 

Furthermore, a 2024 survey by Goldman Sachs Asset Management reported that 60% of workers expect to delay retirement due to challenges in balancing financial priorities. Among these individuals, 27% anticipate postponing retirement by one to three years, 9% by four to five years, and 10% foresee a delay of more than five years.

Sources [ Investopedia AP News ]

What percentage of retirees live below the poverty line?

Source [ KFF ]