What’s scarier than dying? For most Americans, it’s opening a bank app and seeing a near-zero balance with decades of life still ahead. According to a 2025 study from Allianz Life, 64% of Americans say they fear running out of money more than death itself. Not war. Not disease. Not the unknown. Just the slow, creeping anxiety of financial collapse.
This isn’t just about budgeting or retirement accounts—it’s about what money represents: security, choice, and dignity. And when that feels unstable, the fear hits hard. It’s the kind of fear that doesn’t always show up in headlines but lingers behind every declined invitation, every postponed doctor’s visit, and every late-night scroll through financial “how-to” threads.
If this sounds extreme, it’s not. It’s a daily reality for millions of people across generations—from Gen Xers facing down retirement with shaky savings to millennials trying to stay afloat while paying off student debt. And yet, despite the overwhelming stress, most people aren’t talking about it.
Broke in Retirement? That’s the Real Fear
The idea that Americans fear going broke more than dying might sound like clickbait—but it’s backed by hard numbers. In Allianz Life’s 2025 Retirement Study, 64% of respondents said they’re more afraid of outliving their money than facing death. And that fear isn’t a fringe concern—it spans across generations and income levels.
This is especially true for Gen Xers, the so-called “forgotten generation,” where 70% report fearing financial collapse more than death. Millennials follow closely at 66%. Even 61% of baby boomers, many of whom are already in retirement, say the same. That says a lot about the state of financial confidence in America—when people nearing or in retirement still feel uneasy about money, it’s not just a phase. It’s a widespread reality.
And this fear doesn’t come out of nowhere. It’s rooted in real, visible pressure points:
- Inflation that erodes the value of savings
- Rising healthcare and housing costs
- Shrinking confidence in Social Security, with many unsure it will last into their own retirement
- Market volatility that can wipe out thousands from retirement accounts overnight
These aren’t abstract economic trends. They show up at the grocery store, in medical bills, in the anxiety of checking account balances. And for many, the stress is constant. Unlike death—which is inevitable and, for most, far off—financial instability is immediate and relentless. It nags at every purchase, every bill, every future plan. It’s not just fear of running out of money. It’s fear of losing control, losing options, and losing dignity.
And yet, most people still aren’t reaching out for help. They’re navigating this fear alone, often without a plan, while the system keeps shifting beneath their feet. The silence around money fears doesn’t mean they’re rare. It means people have gotten used to living with them quietly.
The System Feels Rigged—And It Shows
The fear of going broke isn’t irrational—it’s grounded in facts. Americans are dealing with a financial system that feels increasingly fragile, and the stress isn’t limited to those living paycheck to paycheck. Even middle- and higher-income earners are worried, and for good reason.
Inflation has hit everything from groceries to insurance premiums. In 2025, 54% of Americans said rising inflation was the main driver of their financial anxiety, with baby boomers (61%) most likely to point to it. The erosion of purchasing power means even people who’ve been diligently saving are watching their money lose value faster than they can grow it.
Then there’s Social Security, once a core pillar of retirement planning. Confidence in the program is slipping, especially among younger generations who worry it won’t be there when they need it. And they’re not wrong to question it—the Social Security trust fund could be depleted by 2035 unless Congress steps in with meaningful reform. That uncertainty alone is enough to throw off retirement planning for an entire generation.
Retirement savings gaps are another major issue. The average American believes they’ll need about $1.26 million to retire comfortably, according to a 2025 Northwestern Mutual report. But the median retirement account balance for those nearing retirement (ages 55–64) is just $185,000. For Gen Xers aged 45–54, it drops to $115,000. That kind of shortfall doesn’t just make retirement uncomfortable—it makes it feel impossible.
Compounding the problem is the lack of financial education. Most people were never taught how to build a retirement plan, understand compound interest, or navigate market volatility. Instead, many rely on trial and error, often falling into high-interest debt or making short-term decisions with long-term consequences. Without a roadmap, they’re left reacting to crises instead of preparing for them.
And the traditional safety nets—pensions, affordable healthcare, predictable job stability—are no longer part of the equation for most workers. The shift from employer-managed pensions to individual 401(k)s transferred responsibility to individuals who often don’t have the tools or knowledge to manage that risk. It’s not surprising that people feel unprepared. They’ve been expected to take full control of their financial futures without ever being shown how.
Stuck? You’re Not the Only One
Despite the overwhelming fear of going broke, most Americans aren’t doing much about it. Only 23% have talked to a financial professional. That’s a stunningly low number considering how common financial anxiety has become. But it makes sense when you look closer.
For one, people are busy trying to stay afloat. According to the Allianz study, 62% of Americans admit they aren’t saving as much as they want to. The reasons aren’t abstract—they’re painfully familiar:
- Day-to-day costs like rent, groceries, and childcare
- Credit card debt that snowballs with high interest rates
- Student loans and medical bills that never seem to shrink
When you’re deciding between paying off a credit card or putting money in a retirement account, long-term planning often loses.
Another issue is shame and confusion. Many people feel embarrassed that they don’t “have it together,” especially as they approach midlife. Add to that a lack of financial literacy, and it’s easy to understand why people shut down instead of speak up. They think they’re too far behind to fix it, or that financial advice is only for the wealthy.
Then there’s the paralysis of uncertainty. The rules of the game keep changing—market dips, rising interest rates, political gridlock over Social Security. That uncertainty makes people freeze instead of act. And when the system feels stacked against you, “hustling harder” doesn’t solve the deeper problem. It just adds to the burnout.
This inaction matters because the longer people wait, the harder it becomes to catch up. Retirement planning isn’t just about accumulating money—it’s about building time into the process. The earlier you start, the more you benefit from compounding returns, tax advantages, and simple habit formation. Delaying that process increases the likelihood of falling short later, when options are fewer and the stakes are higher.
Easy Wins for Saving More
Retirement planning doesn’t have to be overwhelming or expensive. You don’t need a financial degree to take steps that can improve your long-term financial security. The key is consistency, not perfection. Here are some practical ways to get started:
- Automate your savings. Set up automatic transfers to a retirement account—even small amounts. Over time, this builds discipline and removes the guesswork. You’re more likely to stick with it when you don’t have to think about it.
- Use a budgeting app or worksheet. Track where your money actually goes each month. Most people underestimate their spending. A clear view of your expenses helps identify areas to cut without drastic lifestyle changes.
- Avoid lifestyle creep. It’s common to increase spending with every raise or bonus. Instead, try saving at least part of any extra income. That simple habit can significantly impact your long-term savings.
- Consider low-effort side income. Whether it’s freelancing, renting out a room, or selling unused items, supplemental income can provide more financial breathing room—especially for paying down debt or building emergency funds.
- Prioritize high-yield savings or CDs. While not a replacement for investing, these options give you a safe place to grow short-term funds. Look for insured accounts with competitive interest rates to protect your money from inflation.
Small, consistent actions can make a bigger difference than occasional big efforts. The goal is to reduce financial stress by gaining control, not perfection.
Start Small, Worry Less
The fear of running out of money in retirement is real, and for most Americans, it’s more unsettling than the idea of death itself. But that fear alone won’t improve your financial outlook. What will make a difference is taking clear, consistent action—even if it’s small at first.
You don’t need to have everything figured out today. What matters is getting started. That could mean reviewing your monthly budget, increasing your retirement contribution by 1%, or talking to a financial professional about turning savings into income. The earlier you begin, the more options you have—and the less control fear has over your decisions.
Retirement shouldn’t feel like a gamble. It’s a phase of life that can be planned for with the right tools and mindset. Make your future a priority now so that it doesn’t become a source of anxiety later. Replace fear with information, avoid guesswork, and commit to building a plan that works for you.
Source:
- Americans are more worried about running out of money than death | Allianz Life. (n.d.). Allianz Life. https://www.allianzlife.com/about/newsroom/2025-Press-Releases/Americans-Are-More-Worried-About-Running-Out-of-Money-Than-Death
