BOSTON–(BUSINESS WIRE)–Fidelity Investments^® today released its 2026 State of Retirement Planning Study, revealing Americans are increasingly redefining retirement, as nearly 7-in-10 are considering a non-traditional approach to the next chapter of their lives. Encouragingly, the general outlook on retirement prospects is also trending in a positive direction, with 72% expecting to retire on their own terms, up five percentage points from last year. The increase is driven in part by a renewed focus on planning, as nearly 3-in-4 say they have a plan in place to reach their retirement goals.

The study, which has been conducted since 2019 and examines how people are viewing and planning for retirement, focused this year on the different paths Americans are taking to, and in, retirement. Regardless of motivation, one thing stood out: alternative thinking to retirement is becoming mainstream, as Americans increasingly embrace a “new retirement playbook,” where they reinvent what the next phase of life looks like, including designing how they’ll phase in different ways of staying engaged and “working.” In fact, 61% of Americans say they intend to transition into retirement. Among all respondents, the top alternatives include gig work and side hustles (35%), starting a small business (29%), consulting part-time (26%), or switching industries altogether (20%).

“Retirement is being reframed, it’s no longer a single date and instead is an adaptable stage in the next chapter,” said Rita Assaf, vice president of retirement offerings at Fidelity Investments. “As Americans lean into this new retirement playbook, the importance of planning becomes even more pronounced. Knowing what a phased or transitional path can look like in your situation—and how to make sure your financial plan such as your withdrawal strategies and health care coverage can work with your emotional plan—can be a differentiator in achieving the retirement you envision.”

Retirement as a transition

The study also reveals that perhaps as a result of another year of economic uncertainty, financial realities have been front-and-center for many Americans. Saving for retirement is a long game, but the short one is keeping people up at night: dealing with inflation (36%), paying monthly bills (35%), and paying for an emergency expense (27%) are among the top concerns.

Encouragingly, according to recent Fidelity data, Americans are still contributing about $9,000 on average annually to their 401(k), and 88% are capturing an employer contribution¹—meaning they’re still keeping the long game in mind.

When to retire increasingly appears to depend on “when it feels right,” both personally and financially rather than a specific age. This mindset shift, embracing the idea that there are options, is gaining traction, particularly among younger generations: nearly 8-in-10 Gen Zers and over 6-in-10 Millennials plan to gradually phase different kinds of work into retirement.

As Americans adopt a new perspective, their renewed focus on near-term finances shape how and how fast they retire. The reality is some are extending their working years to meet essential expenses or buffer against uncertainty. More than half (51%) say the rising cost of living has been a competing priority to saving for retirement, and 28% cite paying off personal debt as another pain point. Health care looms large, too, as 8-in-10 (81%) agree retirement related health care costs will be high, upwards of $172,500 for an individual, according to Fidelity’s Retiree Health Care Cost Estimate.

Perhaps as a result, among those that say they never plan to retire, more than half (52%) say it’s because they won’t be able to afford to fully stop working. Even so, while a large number cite affordability concerns, many who will continue to work point to staying active and engaged (34%), wanting to keep working (25%), and a desire to continue building wealth (19%), evidence that both necessity and preference are playing a role.

Retirement in motion: turning intention into action

As flexible retirement gains traction, the focus turns to how to make those paths work in practice. Americans report an average of six employers over their careers, and nearly 1-in-4 of those with a retirement savings account² say they still maintain multiple accounts from both past and current employers. It’s no surprise that savers are prioritizing retirement account portability and consolidation, a key component of a retirement income strategy and simplifying multiple accounts that can accumulate. Leveraging the potential power of compound interest can be an easy first step to help streamline drawdown strategies as income shifts in retirement.

With more Americans than ever expected to retire in 2026³, those closest to retirement are understandably growing unsure: two-thirds of Gen X believe their retirement savings won’t last forever, and nearly one-half say they may need to adjust their current lifestyle in retirement. The good news? The data shows a potential key to success is a simple one: define and refine your plan. Americans with a financial plan in place are more than twice as likely than their peers (83% vs. 38%) to feel confident about their retirement prospects.

“The heart of the new retirement playbook is keeping things personal and practical,” said Assaf. “Planning is what turns preference into payoff. With the right plan—built around retirement income, taxes, health care, and consolidation, investors can have the tools in their corner to help define a successful retirement journey.”

Take on your retirement: where to get started

• More than one-in-four Americans have yet to put a plan in motion. For those individuals, Fidelity’s Planning Retirement Page is a great place to start, with educational resources about the solutions that can help them achieve retirement goals.
• Respondents that regularly work with a financial professional are less likely to worry about their financial situation and retirees who work with a financial professional are more likely to feel confident about the longevity of their retirement savings. Teams at Fidelity’s Investor Centers nationwide are here to help collaborate on a financial plan, discuss goals and investment strategies, and provide guidance on investors’ unique financial situations.
• Fidelity’s Retirement Education Center has resources to help Americans prepare for, and live in, retirement, including content from Fidelity Viewpoints (Is $1 Million Enough to Retire and How to Maximize Tax-Advantaged Savings), Smart Money (Eight Moves to Help Snowball Retirement Savings, and Money Unscripted (Ways to help supercharge your retirement savings this year).

For a more detailed look at the 2026 State of Retirement Planning study, go here.

About the 2026 State of Retirement Planning Study

This study presents the findings of a national online survey consisting of 2,015 U.S. adults who are ages 18-79, are sole decision-makers or share responsibility with someone else in the household for investment decisions, and have an IRA, 401(k), annuity, pension, Health Savings Account (HSA), or brokerage account. Interviewing was conducted December 2-8, 2025, by Big Village, which is not affiliated with Fidelity Investments. The results may not be representative of all adults meeting the same criteria as those surveyed.

About Fidelity Investments

Fidelity’s goal is to strengthen the financial well-being of our customers and deliver better outcomes for the clients and businesses we serve. We help customers with their most important financial goals, provide employee benefit programs for businesses, and support financial institutions with innovative investment and technology solutions. Fidelity’s strength comes from the scale of our diversified, market-leading financial services businesses that serve individuals, families, employers, wealth management firms, and institutions. With $18 trillion in assets under administration as of December 31, 2025, Fidelity remains focused on meeting the unique needs of a broad and growing customer base. Privately held for 79 years, Fidelity employs more than 80,000 associates across North America, Europe, and Asia-Pacific. For more information, visit About Fidelity.

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Keep in mind that investing involves risk, including the risk of loss. The value of your investment will fluctuate over time, and you may gain or lose money.

Past performance is no guarantee of future results.

Views expressed are of the date indicated, based on the information available at that time, and may change based on market or other conditions. Fidelity does not assume any duty to update any of the information.

The Retiree Health Care Cost Estimate (RHCCE) is based on a single person retiring in 2025, 65-years-old, with life expectancies that align with Society of Actuaries’ RP-2014 Healthy Annuitant rates projected with Mortality Improvements Scale MP-2020 as of 2022. Actual assets needed may be more or less depending on actual health status, area of residence, and longevity. Estimate is net of taxes. The Fidelity Retiree Health Care Cost Estimate assumes individuals do not have employer-provided retiree health care coverage, but do qualify for the federal government’s insurance program, original Medicare. The calculation takes into account Medicare Part B base premiums and cost-sharing provisions (such as deductibles and coinsurance) associated with Medicare Part A and Part B (inpatient and outpatient medical insurance). It also considers Medicare Part D (prescription drug coverage) premiums and out-of-pocket costs, as well as certain services excluded by original Medicare. The estimate does not include other health-related expenses, such as over-the-counter medications, most dental services and long-term care.

Generations as defined by Pew Research: Baby Boomers are individuals born between 1946 – 1964, Gen X are individuals born between 1965-1980, Millennials include individuals born between 1981 – 1996 and Gen Z includes individuals born between 1997 – 2012.

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¹ Fidelity Investments Q4 2025 Building Financial Futures report
² Retirement accounts defined as IRA, 401(k), or 403(b)
³ Historical and Projected Population Estimates 1940-2100” Office of the Chief Actuary: Social Security Administration, 2023, https://www.ssa.gov/OACT/HistEst/Population/2023/SSPopDec_TR2023.xlsx