Core Insights - A significant portion of Americans are struggling financially, with approximately 40% living paycheck to paycheck and unable to save for retirement [1][6] - Competing expenses such as debt repayment, housing costs, and unexpected expenses contribute to a "financial vortex" that hinders retirement savings [2] - Inflation and life events like career gaps or divorce exacerbate the challenges faced by workers in saving for retirement [2] Financial Challenges - 35% of Americans have less than $100 left after covering monthly obligations, indicating severe financial strain [2] - A recent survey shows that 58% of American workers feel they are behind on retirement savings [3] - Wages have not kept pace with inflation, with a decline of 0.02% in real wages from Q1 2020 to Q2 2025, further limiting financial flexibility [4] Employment and Savings - The weakening job market has led many to rely on credit cards for survival, resulting in high-interest debt [5] - As immediate financial priorities take precedence, retirement savings are often neglected [5] - The Goldman Sachs report predicts that the percentage of households living paycheck to paycheck without the ability to save for retirement will rise to 55% by 2033 [6]

For some, retirement is starting to feel like the elusive green light in “The Great Gatsby”: much-desired, an essential element of the American Dream … and forever out of reach. Retirement math might not add up anymore, according to recent research from Goldman Sachs. Roughly four in 10 US workers spanning Gen Z, Millennials and Gen X are living paycheck to paycheck, and nearly three-quarters struggle to save for retirement. If that trend continues, more than half could be living paycheck-to-paycheck by 2 ...