Most Americans Will Never Retire—Here’s How to Make Sure You Do
Retirement isn’t guaranteed—unless you take these critical steps today.
How many retirees do you personally know who have gotten to live the retirement dream—traveling, lying on white-sandy beaches, and doing all of it with their favorite person?
Not many? Me neither. Unfortunately, that dream (or whatever their dream is) rarely comes true. For most Americans, life in the latter years can feel more like a nightmare.
Here’s the reality:
58% of Americans aged 65 and older have $100,000 or less in their 401(k) accounts—nowhere near enough to retire comfortably.
Nearly 50% of American households have NO retirement money.
Social Security won’t save you—the average monthly payment is just $1,976.
Whether you’re 25 or 55, you may never stop working if you don’t take action now.
The Problem: Why Most Americans Won’t Retire
The biggest issue isn’t that people don’t want to retire; they can’t.
Think Social Security is the answer? It’s not. The first payments were issued in 1940, and it hasn’t been practical since.
Think about this: The average Social Security payment in 1940 was $23/month. The average rent was $18. That left $5—enough for food, gas, essential utilities, and movie tickets if they were into that.
The average monthly payment for Social Security in 2025 is $1,976. The average rent in America? $2,050. Still think Social Security is the answer? It won’t save you.
And it’s only one piece of the thing giving people nightmares in their golden years. Here are all three:
1. Failing Social Security
Social Security only pays 35-40% of your pre-retirement income—it’s not enough.
Not to mention, the system isn’t bullet-proof. As of January 2025, the SSA (Social Security Administration) said it is expected to cut 7,000 jobs. So, if you’re in your 20s, the program may not be around by the time you retire.
2. Waiting Too Long to Invest or Not Investing At All
Far too many people string these words into a sentence: “I’ll invest when I have more money.” Do you know what usually happens? They earn more, their lifestyles increase, and they never have “enough to invest.”
How do I know? I was that guy between the ages of 18 and 23. Start now, not later.
3. Keeping Too Much in Savings
Last week, we covered this in depth, so I’ll be brief today: Savings accounts don’t make you wealthy; the stock market does.
Why? Every year, inflation erodes the buying power of your saved money. Inflation is exactly why something that cost $5.00 in 1980 now costs $19.28 in 2025.
The value of $5 decreases every year.
Example: If inflation averages 3% per year, $10,000 today will be worth $7,440 in 10 years.
Here’s the Point
Retirement isn’t something you can afford to “figure out later.” The longer you wait, the harder it’ll be to catch up.
“If you put nothing away for retirement, I can tell you, to the last penny, how much you will have when you retire: nothing.”
- John C. Bogle
The Solution: How to Secure Your Retirement
Here’s the thing: You don’t need to be wealthy to retire well. You need a plan.
The key to your plan will be mastering three parts: knowing how much you’ll need in retirement, investing in the right assets, and making sure your money grows faster than inflation.
Tomorrow, we’ll talk about all three parts in detail. But for now, here are five essential principles that every strong plan follows:
Know your retirement number: How much do you actually need to retire?
Use tax-advantaged accounts: 401(k)s, Traditional IRAs, and Roth IRAs will help your money grow much more efficiently than a typical individual investment account.
Invest in the right assets: If you aren’t yet comfortable picking individual companies, use low-cost index funds, ETFs, and other high-growth assets. These will help you beat inflation and build wealth—there are over 100 years of history proving it.
Automate your investing – When you have fewer barriers to investing, you’re more likely to stay consistent.
Make smart Social Security decisions – If Social Security is still active when you retire, you can maximize your payouts by claiming those benefits at a specific time.
A Word of Encouragement
Right now, you have a choice—put off retirement planning and hope for the best, or take immediate action to live your retirement dream.
Remember: it doesn’t matter where you’re starting from. What matters is what you do right now. Every decision you make from this point forward will shape the life you get to live in the future.
The future “you” is counting on you. Start now!
💬What’s Next?
In tomorrow’s PRO newsletter, I’ll break down all five principles:
How to calculate your retirement goal (without guesswork)
The exact accounts to use (401(k), Traditional IRA, Roth IRA, and which works best for you)
What to invest in for long-term growth (including some outstanding ETFs)
A simple automation strategy to build wealth on autopilot
Timing Social Security claims to maximize government payouts.
Until then,
-Isaiah from Earn Out Loud