Age Is Just a Number? Millennials Will Retire ‘as Soon as Possible’

Millennials are defining retirement by financial independence rather than age. 

According to a recent survey, over half say retirement is defined not by age 65 but by financial independence where they can indulge their lifestyles without relying on traditional employment. 

When asked if they see themselves retiring at some point, 47% of respondents said “they will retire as soon as they can afford it,” and 22% will keep working, either because they “enjoy it or they don’t have sufficient retirement savings.”

The majority (55%) hold themselves accountable for ensuring they have sufficient retirement savings, while 25% say their employer is responsible, and 20% believe the government should provide their retirement savings.

Of those who answered “employer," 37% said to make a comfortable retirement viable, employers should offer a robust retirement benefits package like a 401(k) or similar plan along with a competitive employee match; 24% want a traditional Defined Benefit plan with investments selected by investment professionals, where the employer assumes all the risk and is required to pay the employee a fixed monthly sum when they retire.

"The survey underscores a fundamental shift from what we previously understood: millennials don't perceive retirement solely as a departure from the workforce, Lowell M. Smith, Jr., co-founder of IRALOGIX, said in a statement. "Instead, they define it as a stage of life characterized by enhanced career flexibility and an opportunity to pursue passion projects and hobbies, fostering personal fulfillment and making a meaningful social impact."

When it comes to balancing short-term financial goals like vacations, buying a home, and paying down student loans/other debt with saving for retirement 62% indicated they try to “strike an even balance” between the two, and 29% are entirely focused on “living in the now” by focusing only on their short-term goals.

Millennials appear to be able to contain their consumer debt reasonably well, with 55% saying they have between $0 and $20,000 in debt, excluding their mortgages.