Many Americans are heading into retirement with anxiety rather than optimism. Even as life expectancy grows, doubts about financial security linger—so much so that more than half believe they’ll need to go back to work after retiring.
According to US Bank’s 2025 Wealth Report—which surveyed 5,000 U.S. adults aged 18 and older between June 9 and June 26, 2025—63 percent worry they’ll have to return to work after retiring. While 61 percent expect retirement to last at least 15 years, only 58 percent believe their savings will be able see them through. As well as this, 81 percent say retiring today is harder now than it was for their parents.
Not Financially Ready
“That fear is very real—and it isn’t limited to people with modest savings,” Adam Spiegelman, founder and wealth advisor at Spiegelman Wealth Management, told Newsweek. “In my 25 years of advising clients, I’ve seen people with millions of dollars still worry that they’ll run out of money.”
Retirement is lasting longer for many Americans, but confidence in their financial readiness isn’t keeping pace.
He says the concern goes beyond math—it’s a mindset shift.
“There’s a major psychological shift that happens when someone goes from receiving a paycheck every two weeks to relying on their own portfolio for income. It triggers a scarcity mindset that can make even the financially secure feel vulnerable.”
Unlike previous generations, today’s retirees face a system that depends heavily on individual savings.
“In the U.S., retirement is largely self-funded. We don’t have the kind of social safety nets that exist in parts of Europe, and confidence in government programs like Social Security is shaky,” Spiegelman said.
Inflation, rising living costs and market volatility headlines help fuel this fear. But all is not lost, with Spiegelman adding that planning can counter that anxiety.
“When clients take the time to project their income needs, account for inflation, and stress-test different market scenarios, the numbers often show they’re in better shape than they think.”
Will Retirees Really Go Back to Work?
While fear of “unretiring” is high, Spiegelman says the reality looks very different.
“In my personal and professional experience, it’s not common at all,” he said, noting only one client in over two decades seriously attempted to re-enter the workforce—and found it very difficult to get rehired.
Instead, he says many people “cycle” their retirement rather than fully reverse it: they may consult, volunteer or work part-time for purpose rather than necessity.
Bobbi Rebell, personal finance expert at CardRates.com, points out that financial pressure isn’t always what sends people back to work.
“What many people misunderstand about seniors returning to the workforce is that it is often not a sign of crisis but a need for other things, with some supplemental income being one of them,” she told Newsweek. “Many times returning to the workforce is to fill a need for structure, purpose and most of all social connection.”
Longer Lives, Bigger Budgets
In recent years, older Americans have also been staying in the workforce for longer. A 2023 Pew Research Center report found that around one in five Americans aged 65 and older were still employed at the time, nearly twice as many as 35 years ago: some 19 percent of adults ages 65 and older are employed, but in 1987, only 11 percent of older adults were working.
While some, as Rebell points out, stay in the workforce as they are still physically and mentally “very capable” and may “miss the routine and challenge of work,” there is also the factor of increased life expectancies. In 1987, the life expectancy was 74.77 years. Now, it has reached 79.4 years. To save enough for living longer, that can mean working longer, and many savings plans may not be accounting for just how long a retirement could last.
“Many plans underestimate longevity. You’re doing clients a disservice if you assume they’ll live only into their 80s,” Spiegelman said.
His firm plans assuming both spouses live to 100—not to cause worry, but to prevent someone from running out of money in the event they live well into their 90s.
‘Take Control’
For those nearing retirement who fear their savings won’t last, Spiegelman offers one blunt first step: “The B-word can be a nasty word — and that’s ‘budget.’”
He recommends going through statements, getting a clear picture of spending and stress-testing future income against realistic costs.
“Knowledge is power. Once you see the numbers, you’ll know what adjustments are needed.”
Rebell agrees that today’s retirees need a new mindset.
“Today’s retirement savings are to a large degree stuck in the past,” she said.
Without guaranteed pensions, she says, being “proactive, and intentional is a non-negotiable…You are the largest stakeholder in your future—take control.”
Read Newsweek’s full interview with Adam Spiegelman below
Q: The survey shows that 63 percent of people worry they’ll need to return to work after retiring. From your perspective, how realistic is that concern, and what drives it?
That fear is very real—and it isn’t limited to people with modest savings. In my 25 years of advising clients, I’ve seen people with millions of dollars still worry that they’ll run out of money. There’s a major psychological shift that happens when someone goes from receiving a paycheck every two weeks to relying on their own portfolio for income. It triggers a scarcity mindset that can make even the financially secure feel vulnerable.
Part of the anxiety is structural. In the U.S., retirement is largely self-funded. We don’t have the kind of social safety nets that exist in parts of Europe, and confidence in government programs like Social Security is shaky. People know it’s there, but they also know it was never meant to fully fund a retirement. Add inflation, rising living costs, and headlines about market volatility, and the fear of having to “unretire” starts to make sense.
The good news is that planning can ease a lot of that anxiety. When clients take the time to project their income needs, account for inflation, and stress-test different market scenarios, the numbers often show they’re in better shape than they think. You don’t have to work with a professional to start—even simple online calculators can help. But having a clear plan, with real cash-flow projections and contingencies, turns fear into understanding. That’s usually when confidence starts to replace worry.
Q: In your experience, how common is it for retirees to actually re-enter the workforce?
In my personal and professional experience, it’s not common at all. I’ve had that occur or a client attempt to do that once—and this is a 20-plus-year career. My clients tend to have higher net worths and come to me because they have money but don’t know how to structure it efficiently. Even though many are concerned about spending through their assets, very few ever go back to work.
A lot of retirees will volunteer or “cycle” through retirement—taking a step back, maybe working part-time, consulting, or shifting to something more purposeful. The one client I had who tried to re-enter the workforce had retired early, in his 50s, and regretted it. He was essentially aged out and found it very difficult to get rehired. So while the fear is understandable, the reality is that it’s very rare. For most people, once they retire, they stay retired—and once we run the numbers, they realize they can.
Q: Do you expect ‘unretiring’ to become a more common trend as people live longer and costs continue to rise?
I do think people will work longer, though not necessarily “unretire.” Rising costs, inflation, and longer lifespans are all contributing factors, but so is purpose. I think a lot of people simply don’t want to stop being productive. It’s not healthy to just sit back at 50 or 55 with nothing to do—people need structure, engagement, and meaning.
Working, in some form, provides that. Whether it’s part-time, consulting, or passion-driven work, staying active has real psychological benefits. That said, I don’t think people who have been fully retired for a few years will easily return to traditional employment. Once you’re out of the workforce, especially as you age, it’s harder to find the same level of opportunity or income. So I think the bigger trend is delayed retirement—not necessarily “unretirement.”
Q: Are today’s retirement savings strategies failing to account for longer lifespans, or is it a matter of external factors people can’t control—like the economy or inflation?
It depends on who you ask, but I think many plans underestimate longevity. You’re doing clients a disservice if you assume they’ll live only into their 80s. For our planning purposes, we assume both spouses live to 100. Clients sometimes laugh at that, but you never want someone calling you at 92 saying, “We only planned to 85, and I’m out of money.”
It’s always better to plan conservatively. If you live shorter than expected, that’s a good problem to have. But you also have to account for healthcare, long-term care, helping kids or grandkids, and leaving a legacy—those add up.
Many people simply start too late. They think financial planning begins in their 40s, but it should start in their 20s. Build the saving habit early, invest in a diversified portfolio—real estate, markets, whatever fits your risk level—and let compounding do its work. Plan for inflation. Don’t rely on inheritances or home equity. Be conservative, but make sure your portfolio still has growth potential. That combination—discipline and long-term perspective—is what actually works.
Q: For someone nearing retirement who worries their savings won’t last, what is the first step you recommend they take?
The B-word can be a nasty word—and that’s “budget.” Most people don’t like hearing it, but it’s one of the most powerful tools in financial planning. It’s not glamorous, it takes time, and it’s uncomfortable. But you can’t make good decisions if you don’t know what you’re actually spending. You don’t need to necessarily keep to the budget but knowing your bottom line—where your money really goes—is the key to all of this!
Go through your credit cards, bank statements, and bills. Most people underestimate their expenses, so whatever number you think you spend each month, increase it by a third. There are plenty of software tools that can help organize it, but even a simple spreadsheet is a start.
Assume you’ll spend at least as much in retirement as you do now—probably more, given healthcare costs, travel, and inflation. Then stress-test your plan. Know where your income will come from—retirement accounts, Social Security, investments—and make conservative assumptions. Knowledge is power. Once you see the numbers, you’ll know what adjustments are needed. Be realistic, plan early, and check your plan regularly. Don’t count on windfalls or inheritances. Do the work, update it every year or two, and most of the worry goes away.