Vanguard: Less Than Half of U.S. Retirees Ready to Maintain Pre-Retirement Lifestyle

Vanguard’s 2025 Retirement Outlook reveals less than half of U.S. savers are on track to maintain current lifestyles in retirement, highlighting a widespread readiness gap. Older Gen Z (ages 24-28) are best prepared at 47%, while millennials (42%), Gen X (41%), and preretirement Baby Boomers (40%) lag. Almost 90% of Boomers own homes, suggesting home equity or downsizing may help. Key guidance: Aim to save 10–12 times your final salary to cover 70–80% of preretirement expenses. Take advantage of employer 401(k)/403(b) matches (median 4.0%); those with DC plans are twice as likely to meet goals. Consider Medicare Savings Programs, Low Income Home Energy Assistance Program, and part-time work in retirement; about 20% of those age 65+ were working in 2024.