A Look at the 2025 EBRI Retirement Confidence Survey

The Paradox of Retirement Confidence 

Have you noticed how often clients say they feel confident about retirement—yet still admit to nagging doubts? That mix of optimism and unease captures the tone of the 2025 EBRI Retirement Confidence Survey (RCS). Now in its 35th year, the survey offers a reality check on how Americans perceive their retirement readiness. The findings reveal a steady sense of confidence overall, but also deep concerns about inflation, healthcare costs, and the long-term reliability of income sources — all critical factors for advisors guiding clients toward durable retirement security. 

Confidence Remains Solid, but the Underlying Tensions Are Sharp 

Worker & Retiree Confidence 

About two-thirds of workers say they are somewhat or very confident they’ll have enough money to live comfortably throughout retirement; among retirees, the share is closer to eight in ten. That optimism is encouraging — yet only about one in four describe themselves as very confident. 

The difference between “somewhat” and “very” confident may sound subtle, but it matters. It reflects the uncertainty that inflation, longevity, and healthcare costs continue to create, even in an economy that feels more stable than it did two years ago. 

Inflation and Healthcare Costs Still Top of Mind 

More than half of workers and retirees say inflation and future healthcare expenses are major concerns. Retirees, in particular, cite healthcare costs more often than any other factor as the reason their expenses are higher than expected. 

For advisors, this reinforces the importance of stress-testing retirement plans for inflation persistence and variable medical costs — not just assuming today’s cost trend will hold. Showing clients how rising healthcare expenses or sustained inflation could affect their income projections helps turn abstract risks into manageable planning variables. 

Gaps Between Expectation and Reality 

Working Longer vs. Retiring Earlier 

As in past surveys, workers expect to retire later than retirees actually did. The median expected retirement age is 65, while the median actual retirement age remains 62. This persistent gap suggests that health issues, caregiving responsibilities, or job market shifts continue to push many people out of the workforce sooner than planned. 

For advisors, that means modeling earlier retirement scenarios — even if clients insist they’ll “keep working a few more years.” It’s better to show them what happens if they retire earlier than expected than to assume everything goes according to plan. 

Retirement Income Sources 

Roughly three in four retirees rely on Social Security as a major income source, while only about one-third of workers expect to do so. That expectation gap could create planning blind spots, especially if clients underestimate how dependent they’ll be on guaranteed income sources once market volatility or withdrawals become emotionally harder to manage. 

Advisors can use this data to reinforce the value of diversifying income streams — including pensions, annuities, or systematic withdrawal strategies — that help smooth cash flow and preserve confidence during market swings. 

Confidence Without a Plan Is Just a Feeling 

One of the clearest findings in the RCS, year after year, is that confidence correlates strongly with having a written retirement plan. Workers with a plan — even a simple one — report significantly higher confidence levels than those without. 

That’s a useful message for advisors: planning is not just about math; it’s about mindset. When clients see their income, expenses, and contingencies clearly mapped out, uncertainty turns into clarity. Confidence backed by a plan becomes more than optimism — it becomes conviction. 

Closing 

The 2025 RCS shows that most Americans feel confident about retirement — but feelings alone aren’t a plan. For advisors, it’s an opportunity to help clients move from general optimism to informed action, grounding their confidence in data, discipline, and well-structured income strategies that can adapt to whatever the future brings. 

Takeaways 

• Confidence is up, but certainty is not. Most workers and retirees feel positive, but only a minority are very confident about a lasting income. 

• Healthcare and inflation dominate worries. These remain the two biggest perceived threats to retirement security. 

• Expectations and reality still diverge. Many plan to work longer than they likely will, and fewer expect to rely heavily on Social Security than actually do. 

• Written plans build confidence. Clients with a documented retirement plan consistently report higher confidence and peace of mind.