Workers Prioritize Emergency Savings, Sufficient Retirement Income: J.P. Morgan
New research from J.P. Morgan Asset Management underlines the leading themes of retirement planning, from spending habits to claiming tactics for Social Security.
As participants navigate inflation and volatile markets, many are choosing to prioritize emergency savings funds and having sufficient income for the years ahead. “This year’s findings show that the top concerns for retirees and those preparing for retirement are generating sufficient income, managing spending volatility and maintaining emergency savings,” said Michael Conrath, chief retirement strategist at J.P. Morgan Asset Management. “As people live longer and the retirement landscape becomes more unpredictable, advisors need practical tools to help clients and participants understand and navigate retirement challenges. The Guide is a valuable resource that provides real data and meaningful guidance to support more informed financial decisions to help achieve a secure retirement.”
The findings also explore how timing when claiming Social Security benefits could impact savings. According to J.P. Morgan, while many expect to retire at age 65 and claim benefits then, the actual median retirement age is 62. Claiming at age 62 rather than 65 could lead to a permanent reduction of 70% of the full benefit. This number could be further reduced due to impending insolvency matters with the federal benefit.
“Social Security remains one of the most important, and often misunderstood, components of retirement planning,” said Sharon Carson, J.P. Morgan Asset Management Retirement Strategist. “We continue to see that the timing of when you claim benefits can have a lasting impact on your financial security. It’s critical for individuals to understand the trade-offs, debunk common myths, and consider their personal circumstances so they can make the most informed choices for their retirement.”
The findings touch on other strategies, like understanding income replacement goals and having a defined savings target, as ways to further savings.
It also references the impacts of retirement plan accessibility and automatic features. According to the findings, access to a workplace retirement plan drives retirement savings further: 62% of workers with a workplace account have at least $100,000 saved compared to 5% of those without a plan.
The full 2026 Guide to Retirement can be found here.
Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with nearly a decade of experience and a passion for telling stories and reporting news. She is originally from Queens, New York, but now resides in Denver, Colorado.