The share of workers who increased their retirement savings dropped to 39% this year from 55% in 2025, while the share who cut back rose to 14% from 8%, according to the 2026 Goldman Sachs Asset Management Survey, released today in the report "The New Economics of Retirement: Making Every Dollar Saved Work Harder." The finding signals a sharpening problem for benefits leaders: access to a retirement plan is no longer the binding constraint on retirement readiness — daily financial demands are.

The survey, conducted in July with 3,612 working individuals and 1,494 retired individuals ages 45 through 75, points to concrete spillover into people processes. More than half of Gen Z employees (53%) and 47% of Millennials reported missing work in the past year because of a personal financial challenge. Nearly half of Millennials (48%) and 47% of Gen X said they had considered changing jobs due to financial worries.

"Retirement security today requires more than telling people just to save more," Chris Ceder, Goldman Sachs' senior retirement strategist, said during a media briefing on the survey. "The next generation of retirement solutions must help every dollar saved work harder, last longer and withstand more pressure along the way that we know life inevitably provides."

On-track confidence slides across generations

Rival financial priorities pushed retirement savings off track in every generation. Since last year, the proportion of Gen Z respondents describing their savings as "on track or better" fell to 66% from 75%. Millennials dropped to 61% from 74%, Gen X declined to 49% from 58%, and Baby Boomers fell to 60% from 69%.

Overall, only 58% of retirement savers said they were on track or ahead of schedule, down from 68% a year earlier.

The barriers were predictable. Housing costs and day-to-day living expenses were each cited by 31% of respondents, while 27% named debt payments. The mix varied by age: 37% of Gen Z and 36% of Millennials called housing their greatest challenge, nearly double the share among Boomers. Daily expenses hit older workers hardest, named by 37% of Gen X and 33% of Boomers. Healthcare and medical expenses cut across all generations, cited by 25% of Millennials, 23% of Gen Z and Boomers, and 20% of Gen X.

Side work is now the norm for younger employees

While 65% of respondents said their primary job provides a stable path to financial security, their behavior suggested otherwise. Some 61% of workers reported working outside their primary job, and 71% of those cited financial need as the reason. The moonlighting rate reached 88% among Gen Z and 77% among Millennials, compared with 57% of Gen X and 37% of Boomers.

Financial strain is also delaying milestones. Among Gen Z, Millennials and Gen X respondents, 83%, 78% and 65%, respectively, reported postponing a major financial goal, and 66% expected to delay retirement. Building emergency savings was the most frequently delayed goal (34%), followed by retirement savings (29%) and debt reduction (25%).

The pattern held at high incomes. Respondents earning more than $500,000 per year reported the highest shares of delayed goals and delayed retirement saving, at 80% and 45%, respectively — above even those earning under $50,000, at 78% and 34%.

Retirement timing rarely goes as planned in either direction. While many workers expected to delay retirement, 44% of retirees reported leaving work earlier than planned — and 46% of those early retirees did so for reasons other than readiness, including health, caregiving and job loss.

Personalized planning and AI show measurable gaps

Whether workers used personalized planning was a major driver of outcomes. Nearly two-thirds of respondents (64%) had a personalized retirement plan. That group reported increased savings in the last year at 46%, versus 26% of those without a plan. They also reported higher retirement income satisfaction (77% versus 51%) and retiree lifestyle satisfaction (49% versus 28%) — a gap that raises the question of how employers and recordkeepers can scale personalized guidance beyond enrollees who seek it out.

AI is becoming a real channel for financial education. 51% of respondents reported having used AI tools, and 94% knew such tools exist. Workers ranked AI among the three most important sources for education and advice, with 21% of working respondents citing it in 2026, up from 14% in 2025. They use it to learn retirement basics, build savings plans and estimate retirement needs.

Human advice still anchors the high-stakes moments: 78% of respondents want a human for decisions tied to major life events, 69% for emotional reassurance and 63% for tax-sensitive planning and retirement income decisions.

"AI services are a bit more of the entry level … [they] can engage people earlier in the process and then help transition them into working with a financial professional," Ceder said.

Workers want menu enhancements and guaranteed income

Respondents signaled demand for changes to their workplace plan menus. The three most-cited enhancements: professionally managed investments with higher return potential (38%), a personalized investment portfolio (38%) and a broader range of asset classes (34%). Among those familiar with private market investments, interest stemmed from potentially higher long-term returns (42%), greater diversification (40%) and inflation protection (38%), with comfort driven largely by professional management (40%) and direct adviser access (39%).

Retirement income demand remains strong. 59% of respondents fear outliving their savings, and 83% want some guaranteed income in retirement. A majority (51%) want a blend of steady income and flexible access, while 32% would optimize lifetime monthly payouts even at the cost of direct control; 17% would keep full control and accept lower guaranteed income.

For benefits teams, the survey suggests the 2026 planning conversation will center less on plan access and more on whether guidance, menu design and income options can absorb the household pressures that are now visibly suppressing savings rates — and showing up in attendance and retention data.