2026 DC Retirement at a Glance

1. BORED, NOT BROKE — The Canadian Journal on Aging has found that while more than two-thirds (68.7%) of retirees carefully plan their finances, less than half (47.1%) make meaningful lifestyle plans for retirement. When asked about their biggest challenges, only 12% cited financial issues, compared to 13% who cited social isolation and 24% who struggle with “killing time.” (Source: Wall Street Journal)

2. RETIREMENT REGRETS — 55% of Americans who retired in the last five years regret how they saved, with 28% wishing they had started earlier and 13% wishing they had saved more. As a result, only 40% of retirees feel they are on track with their original retirement plans, while just 20% have been able to rely solely on pensions and Social Security, keeping their nest eggs untouched. (Source: Nationwide)

3. SAVINGS SHORTAGE — The median retirement savings among all workers is just $955. When looking only at workers with positive balances in their defined contribution accounts, median savings increases to $40K, while the average is $179K. For those already retired, Social Security accounts for 52% of their total income, meaning retirees need substantial savings to cover the remaining 48%. (Source: National Institute on Retirement Security)

4. BENEFITS VS BILLS — The average healthy 65-year-old couple can expect to receive lifetime Social Security benefits of $802K. That same couple faces lifetime premiums of $689K for traditional Medicare alone. When adding in deductibles, copays, and hearing, vision, and dental plans, total health care costs increase to $955K — more than their total Social Security benefits. (Source: HealthView)

5. $242K PROBLEM — 43% of Baby Boomers are expected to require long-term services and support care (LTSS) in retirement, with an average cost of $242,373. Medicare does not cover these costs, and when LTSS expenses are included in retirement asset analysis, 41% of older adult households that incur them are likely to run out of funds. (Source: Morningstar)^*

6. AI LIABILITY QUESTION — 94% of retirement industry experts expect that by 2030, plan platforms will use hyper-personalized, AI-generated content to tailor financial advice to each employee’s situation. 97% agree AI will provide powerful tools for plan benchmarking, but 73% anticipate ERISA litigation will increase as questions emerge about legal liability if AI recommendations fail to produce desired results. (Source: Transamerica)

7. MATCH MATTERS — Americans 50 and older with student debt have 30% less saved for retirement than their debt-free peers. However, employees who receive annual employer matches for student debt repayments will see an average increase of $200K in retirement savings by the time they reach retirement age. (Source: Fidelity)

8. BENEFITS RESTORED — The Social Security Fairness Act eliminated the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO), resulting in higher benefits for 2.8 million individuals. Through July, the SSA completed more than 3.1 million payments totaling $17 billion to eligible beneficiaries, including retroactive lump-sum payments dating back to January 2024.(Source: CNBC)

9. SET IT AND FORGET IT — 71% of employed target-date fund (TDF) investors feel confident about reaching their retirement goals compared to just 58% of non-investors. 91% of TDF investors agree that investing in them alleviates retirement planning stress versus 73% of non-investors. Among those with TDF options available, 83% of employed participants currently invest in them. (Source: Plan Sponsor)

QUESTION: In December 2024, the Department of Labor launched a “Retirement Savings Lost and Found Database,” and through the end of 2025, the site had 236,269 visitors log in. What percentage of visitors who logged into the site found a “lost” account?