MINNEAPOLIS–(BUSINESS WIRE)–While many Americans expect to work longer to strengthen their retirement outlook, the reality is often different. A significant number leave the workforce earlier than planned—often due to circumstances outside their control, according to the 2026 Annual Retirement Study* from the Allianz Center for the Future of Retirement, part of Allianz Life Insurance Company of North America (Allianz Life).

While 53% of retired Americans say they retired about when they expected, a striking 42% retired earlier than planned. Only 5% say they retired later than expected.

“When retirement comes early, it can quickly turn a solid plan into a fragile one,” said Kelly LaVigne, VP of consumer insights at Allianz Life. “That’s because fewer working years and more retirement years can put significant pressure on savings—especially when early retirement isn’t a choice.”

Most Americans (53%) say they have a specific age at which they plan to retire.

Why Americans retire early

There is a disconnect between why Americans expect to retire early—and why many actually do. The most common reasons for retiring earlier than anticipated were health issues that prevent performing job (30%), unexpected job loss (21%), and financially ready earlier than expected (21%). In contrast, Americans who are still working thought the most likely reasons they would retire early would be wanting to spend more time with family (36%), being financially ready earlier than expected (32%) and wanting to reduce stress (31%).

The desire to retire early is common. Seven in 10 (70%) say they aspire to emulate the financial strategies of those who achieve early retirement. The majority of Americans (54%) say they would retire immediately if they won the lottery.

Working longer isn’t always an option

The vast majority of Americans (80%) think retiring later and working longer would help to financially support all the things they want to do in life. But circumstances like unexpected job loss or health issues can interrupt that plan.

More than one in three (35%) say they would likely decide to retire if they lost their job in the next six months. More boomers (58%) say they would likely decide to retire if they lost their job in the next six months than Gen Xers (29%) or millennials (30%). Many Americans (54%) also worry that potential cognitive decline will impact their ability to work for as long as they hope.

“These findings show that many retirement plans may have a blind spot, because people assume their job and health will stay stable right up to retirement,” LaVigne says.

Preparing for retirement timing risk

Most Americans (59%) worry that they will not be able to retire on their own terms. The most common factor holding Americans back from feeling empowered to retire on their own terms is not having enough money saved (57%).

“It’s important that your retirement strategy ensures your money lasts your lifetime – even if retirement starts sooner than you planned,” LaVigne says. “A financial professional can help you manage risks and build flexibility into a strategy that can adapt when plans change.”

* Allianz Center for the Future of Retirement® conducted the 2026 Annual Retirement Study in January 2026 with a nationally representative sample of 1,000 respondents age 25+ with an annual household income of $50K+/$75K+ (single/married) OR investable assets of $150K+.

The Allianz Center for the Future of Retirement® produces insights and research as a part of Allianz Life Insurance Company of North America.

About Allianz Life Insurance Company of North America

Allianz Life Insurance Company of North America (Allianz Life), one of the Ethisphere World’s Most Ethical Companies®, has been trusted since 1896 to help millions of Americans prepare for financial uncertainties and retirement with a variety of innovative risk management solutions. In 2025, Allianz Life provided additional value to its policyholders via distributions of more than $18.7 billion. Allianz Life is a leading provider of fixed index annuities, registered index-linked annuities, and indexed universal life insurance. Additionally, Allianz Investment Management LLC (AllianzIM), a registered investment adviser and wholly owned subsidiary of Allianz Life, manages the suite of AllianzIM exchange-traded funds (ETFs). Allianz Life and AllianzIM are part of Allianz SE, a global leader in the financial services industry with more than 156,000 employees in nearly 70 countries. Allianz Life is a proud sponsor of Allianz Field® in St. Paul, Minnesota, home of Major League Soccer’s Minnesota United.