Gen Z’s Early Retirement Savings: Lessons in Financial Flexibility

Generation Z, born 1997-2012, is the most confident in their retirement savings, starting at a median age of 21, the youngest among generations. Without employer pensions, they rely on self-funded 401(k)s. Inflation has led many to reduce expenses, take side jobs, or borrow money. Over a third have withdrawn or borrowed from retirement accounts, often for emergencies, risking penalties and taxes. Their median emergency savings is $3,000, lower than other workers.