Americans were financially confident in 2024 and will likely remain so this year, finds New York Life’s Wealth Watch survey .
Findings found that despite ongoing financial pressures, 64% of adults are confident they’ll be able to reach their financial targets. Adults were more aggressive in their savings habits for 2024, with the average aiming to save $8,505.89. In reality, the average adult in New York Life’s findings saved $7,460.94—a moderate increase from $6,138 in 2023.
Millennials saved the most out of all generations, at 12,004.87 in 2024, followed by Gen Xers ($7,463.17), Gen Zers ($6,164.67), and Baby Boomers ($3,466.13).
Adults are also preparing for the unexpected, as 47% say they’ve built an emergency savings with an average of $18,483.04 saved up.
Despite the confidence, 43% of adults admit feeling less financially secure than they did at the end of 2023, while 25% are unsure whether they feel less or more secure, the research reports.
Those who work with a financial advisor report feeling more financially secure compared to the end of 2023 (52%), compared to 27% of adults who do not work with an advisor.
Similarly, most adults who do have retirement savings are more confident in their financial future, with 67% believing their savings will last the rest of their lives.
“Consumers are looking for security and control, especially when it comes to their finances,” said Jessica Ruggles, corporate vice president of Financial Wellness at New York Life. “Our data has shown people who work with financial professionals tend to feel more secure and are more likely to have a financial strategy in place, inclusive of retirement savings and debt management.”
Ruggles notes how caregivers and Gen Xers may benefit the most in collaborating with a financial professional. Gen Xers in the survey reported additional strain from credit card debt—the highest out of any generation at $10,140.99—along with lower financial confidence.
Furthermore, while 54% of Gen Xers are confident in achieving their financial goals, it’s less than any other age group surveyed. For example, Millennials are the most confident, as 68% believe they will reach their goals.
Working with an advisor, who can help clients identify household goals and priorities, address barriers like debt, and adopt a financial resiliency mindset, can greatly benefit Gen Xers’ financial confidence.
“These steps are especially important for Gen Xers, as they are approaching retirement, but still carry the highest credit card debt, and just over one-third have retirement savings,” Ruggles added.
Caregivers also reported unique challenges, as most struggle to save between daily expenses and the cost of caregiving responsibilities. Caregivers were more likely to have some type of debt compared to non-caregivers, at 75% compared to 62%.
Still, many expect their financial situation to change in 2025. New York Life data shows that 82% of caregivers plan to take action this year in response to factors affecting their finances, more so than non-caregivers at 68%. This includes cutting back on discretionary spending and building a secondary income stream. Additionally, more are balancing their responsibilities with work and are seeking out support from their employer.
On the broader end, all adults surveyed aim to be more proactive with their finances, with 57% reviewing their financial strategies or budget at least every quarter. Close to three-quarters (73%) are also adjusting their financial habits in the new year: 37% are reducing discretionary spending and 28% are modifying their budgets or financial strategies. Another 35% are making changes to their investment portfolio or strategy in 2025.
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
