Gen X Is Running Out of Time to Retire at 67. Here's How to Catch Up

For nearly 1 in 5 working Gen Xers — those born between 1965 and 1980 — retiring at age 67 may not be in the cards.

A new Zety survey of more than 1,000 employed Gen Xers found that 19% expect to retire at age 68 or older, while another 19% don’t expect to retire at all. Just 20% expect to retire between ages 65 and 67.

Those expectations come as Generation X approaches retirement with a sizable gap between where they are financially and where they thought they’d be. More than half (52%) worry they haven’t saved enough for retirement, and 61% say they’re less financially secure than they expected to be at this stage of life.

Many also wish they had gotten a head start. Forty-three percent say they regret not starting to save for retirement earlier, while 21% wish they had been more consistent about saving over the course of their careers.

Why Gen Xers are pushing retirement back

For many Gen Xers, everyday expenses are leaving little room for retirement savings. Nearly 60% say their income either just covers their expenses or doesn’t cover them at all.

And while Gen X has lived through several major economic shocks, recent inflation and rising costs have hit their finances harder than anything else, according to the survey. Nearly two-thirds (64%) say inflation has negatively affected their finances, compared with 46% who say the COVID-19 pandemic hurt their finances and 23% who say the same about the 2008 financial crisis.

Those financial setbacks have also changed how some Gen Xers think about their retirement plans. More than half (53%) say previous economic downturns have weakened their confidence in their retirement strategy. Of that same group, 20% say they’ve completely lost confidence and made major changes to their plans.

But those changes aren’t limited to just pushing back retirement dates. Some are cutting spending, paying down debt or increasing their savings contributions, while others say they are earning additional income through a second gig or side hustle. About 18% of respondents say they’ve officially delayed retirement.

“One common mistake is treating delayed retirement as a permanent solution instead of using those extra years to build a financial plan,” says Brianna Rodgers, the director of investor education at Madison Trust Co.

In other words, working longer can buy time — but those extra years work best when those extra years are used to strengthen the underlying retirement plan.

Working longer can help — but it’s not a plan by itself

For Gen Xers who are behind on savings, a few extra years of work can give them more time to save before they start drawing down their retirement accounts.

“Working just two or three additional years can make a surprisingly big difference,” says Brian Court, a certified financial planner and financial advisor. “You're not only earning a paycheck for a few more years, [but] you're also giving your retirement savings more time to grow.”

Working longer can also make it easier to delay claiming Social Security. For Gen Xers whose full retirement age is 67, waiting until age 70 to claim would increase their monthly benefit to 124% of the amount they'd receive at full retirement age, according to the Social Security Administration. Benefits don’t increase further after age 70.

And unlike simply trying to earn higher investment returns, continuing to work can mean more income coming in, more money going into savings and fewer years of withdrawals ahead.

But working longer isn’t something everyone can count on.

Among retirees who left the workforce earlier than they planned, 76% said they did so for reasons beyond their control, according to the 2026 Retirement Confidence Survey from the Employee Benefit Research Institute. Health problems or disability were the most common reason, cited by 41%.

“I don't think people should build a retirement plan that depends on being able to work until 70,” Court says. “It can certainly be the goal, but there are too many things outside of our control.”

Health problems, layoffs, caring for a loved one or difficulty finding a job later in life can force someone to retire earlier than expected.

Instead, Court recommends treating additional working years as an “extra cushion.” If someone can work until 70, that can strengthen their finances — but their plan should also account for what happens if they have to stop working at 65 or earlier.

What Gen Xers who feel behind can do now

The first step is figuring out exactly where your retirement savings stand. Rather than simply deciding you haven’t saved enough, look at how much you’ll likely need in retirement and compare that with your current savings, expected Social Security benefits and other sources of income.

From there, focus on changes that are realistic for your budget. One way to do this is to take full advantage of any employer 401(k) match and gradually increase contributions without getting discouraged by how much you can't afford to save today. You could also direct part of each raise toward retirement savings before you get used to spending the extra money.

Gen Xers who are 50 and older may also have more room to catch up. For 2026, the IRS allows workers to contribute up to $24,500 to a 401(k) or similar workplace plan, plus an additional $8,000 in catch-up contributions if they’re 50 or older. Workers ages 60 through 63 may qualify for an even higher catch-up contribution of $11,250, depending on their plan.

It’s also important not to try to make up for lost time by taking on too much investment risk.

“Someone in their 50s shouldn't try to turn 10 years of missed savings into five years by gambling on aggressive investments,” Court says.

It’s also worth looking at the expenses you’ll have to cover in retirement. Court says cutting a recurring expense can be valuable because that’s money you won’t need to replace with retirement income every month. For example, paying off a car loan could eliminate a large monthly payment. For many folks approaching retirement, however, the savings may come from smaller changes that add up, such as canceling unused streaming subscriptions or shopping around for cheaper internet.

For some Gen Xers, working longer may ultimately be part of the solution. But the goal isn’t simply to push the goalpost further away. It’s to use the additional time — while you still have it — to build a retirement strategy that doesn’t depend on everything going exactly to plan. You have to be prepared for the occasional curveball.