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NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 1
About AARP
AARP is a nonprofit, nonpartisan organization, with a membership of nearly 38 million, that helps people turn their goals and dreams into real possibilities, strengthens communities and fights for the issues that matter most to families such as healthcare, employment and income security, retirement planning, affordable utilities and protection from financial abuse. We advocate for individuals in the marketplace by selecting products and services of high quality and value to carry the AARP name as well as help our members obtain discounts on a wide range of products, travel, and services. A trusted source for lifestyle tips, news and educational information, AARP produces AARP The Magazine, the world's largest circulation magazine; AARP Bulletin; www.aarp.org; AARP TV & Radio; AARP Books; and AARP en Español, a Spanish-language website addressing the interests and needs of Hispanics. AARP does not endorse candidates for public office or make contributions to political campaigns or candidates. The AARP Foundation is an affiliated charity that provides security, protection, and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. AARP has staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. Learn more at www.aarp.org.
Acknowledgements
AARP staff from the New York State Office; Community, State and National Affairs (CSN); and AARP Research
contributed to the design, implementation and reporting of this study.
Contributors include:
Beth Finkel, Bill Ferris, David McNally, Erik Kriss, Erin Mitchell, Donna Liquori and Kimberly Spell from the New
York State office; Sarah Mysiewicz and Reshma Mehta from CSN; Angela Houghton, Eowna Young Harrison,
Brittne Nelson, Kate Bridges, Rachelle Cummins, Darlene Matthews and Cheryl Barnes from AARP Research;
and Doris Gilliam, Office of General Counsel.
Special thanks to Precision Opinion for the collection and tabulation of these data.
Copyright © 2015 AARP
AARP Research
601 E Street NW Washington, DC 20049
www.aarp.org/research
For more information contact:
Angela Houghton, Senior Research Advisor
State Research
AARP Research
Tel. (202) 434-2261
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 2
TABLE OF CONTENTS
Introduction ................................................................................................................................................. 3
Executive Summary ...................................................................................................................................... 4
About the Survey & Report Terms ................................................................................................................ 7
Detailed Survey Findings .............................................................................................................................. 8
Current Financial Situation ......................................................................................................................... 8
Confidence In Retiring .............................................................................................................................. 10
Access to retirement plans (Among employed) ................................................................................... 12
Retirement Savings Behavior ............................................................................................................... 13
Retirement Income Expectations......................................................................................................... 14
Debt and Other Barriers to Saving ............................................................................................................ 16
New York Affordability.............................................................................................................................. 18
Support for A State Facilitated Retirement Savings Option........................................................................ 20
Demographic Profile of Respondents ......................................................................................................... 23
Methodology ............................................................................................................................................. 25
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 3
INTRODUCTION
This year Generation X turned 50. With 2.5 million members across the state, AARP New York is
the state’s leading advocate for the 50+, and we believe now is the time for us to take stock of the
financial plans of Gen Xers and how prepared they are for their financial future. To that end,
AARP New York presents, “High Anxiety: New York’s Gen X and Boomers Struggle with Stress,
Savings and Security,” a report detailing the findings behind a groundbreaking statewide voter
survey of New York voters aged 35-69, Generation X and Baby Boomers together.
As Generation X emerges from the long shadow cast by the Baby Boomers, they find themselves
sandwiched between raising their children and caring for their aging parents while working longer
hours to pay the bills. We found that Gen Xers lack the time and knowledge needed to manage and
plan for their future. Not building a secure retirement is adding more worry to this most important
and stressed population. It is vital that these worries are addressed by our elected leaders because
an uncertain financial future for New Yorkers is an uncertain financial future for the state.
Last year, we presented a voter survey that showed a majority of working New York Baby
Boomers plan to leave the state for their retirement. This year, we found even more members of
Gen X intend to flee New York – 66 percent, compared to the Boomers’ 55 percent. In fact, one
quarter of Gen X voters interviewed say they are “extremely likely to leave New York” when it’s
time to retire because they don’t believe they can afford to stay in the state. Our state’s cost of
living, including the highest utility bills in the country, may lead to a “Gen-Xodus” for New York.
But it doesn’t have to be that way. At AARP New York we believe the critical insights into the
economic position of the voters of both generations contained in this “High Anxiety” report can
help serve as a roadmap for fostering better financial and retirement security and independence
including access to a new kind of retirement blueprint.
One solution that other states such as Illinois and Washington recently created is a state-
facilitated retirement plan for those with no workplace pension or 401k, which AARP believes
would ease Gen Xers’ and future generations’ worries. New York’s elected officials and state
policymakers are in a position to lend working New Yorkers a helping hand by ensuring that all
who want to save for their retirement have a simple option for doing so.
AARP is committed to ensuring New Yorkers are able to live their best lives as they age, and we
believe financial and retirement security are key to that goal. In the long run, helping our citizens
plan for their future and help themselves helps us all.
Sincerely,
Beth Finkel
State Director, AARP New York
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 4
EXECUTIVE SUMMARY Much attention has been paid to America’s retirement crisis.1 With disappearing pensions,
increasing longevity, a culture of spending versus saving and most recently the impact of the Great
Recession on wealth and security – the very
way that Americans “retire” is changing.
While Boomers are at the forefront of this
evolution, Gen X is the first generation that
will fully come into retirement age with a
new playbook, having lived the entirety of
their working years during the rise of 401k
plans and a shift away from traditional
pension plans.
As the first Gen Xers turn 50 this year,
survey results reveal that New York’s Gen X
voters are even more anxious about
retirement than their pre-retiree Boomer
counterparts. With lower confidence in Social
Security, fewer guaranteed benefits from
retirement plans and more widespread debt,
Gen X has reason to be worried.
One-fourth of New York’s Gen X and Boomer
aged labor force is not confident they will
ever be able to retire. One very big difference
between Gen X and Boomer generations
regarding retirement relates to their Social
Security expectations. Thirty-eight percent
(38%) of Gen Xers do not expect to receive
any Social Security in retirement, which is
nearly three times the share of equally
pessimistic Boomers (13%). Moreover, the
majority of Gen Xers who do expect to receive
any Social Security think it will be only a
minor share of their retirement income.
In spite of weaker expectations about Social
Security, Gen Xers are only marginally more
likely than Boomers to participate in
retirement savings. Thirty-seven percent of
1 For more discussion, see http://www.forbes.com/sites/edwardsiedle/2013/03/20/the-greatest-retirement-crisis-in-american-history/; and for more economic analysis: Are U.S. Workers Ready for Retirement? Schwartz Center for Economic Policy Analysis. 2014. http://www.economicpolicyresearch.org/images/docs/research/retirement_security/Are_US_Workers_Ready_for_Retirement.pdf
KEY SURVEY FINDINGS
The top personal finance concerns for
both Gen X and Boomer voters are: 1)
not saving enough; and 2) not
preparing enough for retirement.
In both cohorts, a majority feels
anxious about being able to have a
comfortable retirement and one-fourth
does not expect to retire at all.
30 percent of New York Gen Xers and
38 percent of Boomers have no
retirement savings.
Gen X workers have significantly
lower expectations of Social Security
than Boomers.
Paying for education and student loan
debt are barriers to retirement saving.
Seven in ten Gen Xers are either
current or expected future holders of
student debt.
Gen Xers indicate even stronger
likelihood than Boomers to leave New
York during retirement – 66 percent of
Gen X compared to 55 percent of
Boomers.
There is widespread voter support to
improve access to workplace
retirement plans with a state-
facilitated savings option.
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 5
Gen X workers and 48 percent of Boomer workers in New York either do not have access to
employer-sponsored retirement plans or do not participate in currently available employer plans.
Among all voters in each cohort and taking into consideration personal savings in retirement
accounts, 30 percent of Gen X and 38 percent of Boomers do not have any retirement savings
account at all.
For both Gen Xers and Boomers, a common obstacle to saving for retirement is not having enough
money after paying bills, which likely contributes to the lower likelihood of self-funding an
individual retirement account outside of work. AARP research shows that workers are 15 times
more likely to save for retirement if their employer offers a plan.2 In New York State, 54% of
private sector workers, or 3,621,611 people, are not offered a workplace retirement plan through
their employer.3
Paying for children’s education is also an obstacle to saving for retirement, particularly for Gen X.
Twenty-six percent of Gen X voters currently have student loan debt and nearly half (45%) expect
to acquire student loan debt in the future to pay for a college education for themselves or their
children. With two-thirds of student loan borrowers saying these loans make it even harder to save
for retirement, a significant number of Gen Xers are at risk of further jeopardizing their
retirement security due to student loans.
The Schwartz Center for Economic Policy Analysis estimates that 32 percent of New York state’s
present day near retirees are at risk of retiring with incomes below poverty level. The next
generation of retirees has arguably less favorable retirement circumstances, and yet, the majority of
Gen X expects to retire by age 65. This disconnect suggests a retirement reality gap and
demonstrates the need for more public financial literacy as well as new solutions.
Without a drastic change in their current retirement preparedness, Gen X will be forced to make
choices different than their parents’ generation for their retirement years. Retirement options for
many may include resorting to working longer, relying on family and public assistance or by
significantly reducing their standard of living.4 When faced with the reality of having to significantly
reduce consumption, concern about the affordability of living in New York may contribute to a pre-
meditated intention to leave the state post-retirement. Gen Xers indicate even stronger likelihood
than Boomers to leave New York during retirement – 66 percent of Gen X compared to 55 percent of
Boomers, with nearly one-fourth of Gen X saying they are extremely likely to leave.
Whether for themselves or others, a large majority of voters worry about New Yorkers having to
rely on public assistance in retirement because they have not prepared or lack access to plans.
Taxpayers and state government will certainly feel the impact of having to provide aid and
services to increasing numbers of potentially poor retirees.5
2 Data compiled by AARP’s Public Policy Institute from unpublished estimates from the Employee Benefit Research Institute of the 2004 Survey of income and Program Participation Wave 7 Topical Module (2006 data). 3 http://www.aarp.org/politics-society/advocacy/financial-security/info-2014/americans-without-retirement-plan.html 4 The Reality of the Retirement Crisis, January 2015. Center for American Progress. https://www.americanprogress.org/issues/economy/report/2015/01/26/105394/the-reality-of-the-retirement-crisis/ 5 The Cost of Retiring Poor. Retiring Poor Impact Study, January 2015. Notalyss. http://states.aarp.org/aarp-utah-commissions-study-on-cost-of-retiring-poor-in-the-state/
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 6
A legislative proposal for a state-facilitated retirement savings option that would be available to all
workers in New York garners strong support from a majority of all voters in both generational
cohorts, regardless of employment status or current access to workplace retirement plans. Gen X
and Boomer voters clearly want New York elected officials to support the creation of a state-
facilitated retirement savings option so that more New York workers have an opportunity to save
for retirement.
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 7
ABOUT THE SURVEY & REPORT TERMS Except where otherwise noted, data in this report is from a
telephone survey of registered voters in the State of New
York aged 35 to 69.6 For analysis purposes, the sample was
sub-divided into two generational cohorts: Gen X, age 35 to
50; and Boomer, age 51 to 69.
The majority (76%) of survey respondents is currently in the
labor force based on stated employment status, which is
defined in this report as either currently employed or
unemployed and looking for work. Nearly nine in ten (88%)
Gen X voters are in the labor force; and while comparatively
fewer Boomers are working or looking for work, it remains a
majority of them (63%).
About one-fourth (26%) of all survey respondents, or a
third of all in the labor force, is an owner or employee of a
small business. As a share of labor force participants,
Boomers are more likely than Gen Xers to be small
business owners or employees (41% vs. 31%, respectively).
“Small business” was not defined in this survey.7
6 Additional details on the research methodology can be found in the Method section of this report. 7 The fully annotated questionnaire can be found at www.aarp.org/nygenxandboomers.
63%
88%
76%
28%
2%
15%
8%
10%
9%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
Total
Employment Status of Survey Respondents
Base: New York State Voters Age 35 to 69
In Labor Force Retired Other Out of Labor Force
6%
13%
26%
44%
63%
5%
14%
26%
68%
88%
6%
14%
26%
56%
76%
0% 20% 40% 60% 80% 100%
Looking for Work
Self Employed
Small BusinessOwner/Employee
Employed
In Labor Force(NET)
Type of Labor Force Participation among Survey Respondents
Base: New York State Voters Age 35 to 69
Total
Gen X
Boomers
Terms In This Report
Gen X: Age 35 to 50
Boomer: Age 51 to 69
In Labor Force: Currently
employed or unemployed and looking for work
Workers: Currently employed
With Access to
Retirement Plans:
Currently employed and have access to an employer-sponsored retirement plan
Without Access to
Retirement Plans: Currently employed and do not have access to an employer-sponsored retirement plan
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 8
DETAILED SURVEY FINDINGS
CURRENT FINANCIAL SITUATION
According to the Bureau of Labor Statistics, the Great Recession ended in June 2009 after a 19-
month economic decline8. Since its end, the unemployment rate has decreased, the stock market
has returned to pre-recession levels and home values are increasing. Despite these economic
improvements, many still feel financially insecure. Nationally, as many as 35 percent of Gen X
workers and 40 percent of Boomer workers believe the Great Recession has not yet ended and only
one-fourth of either cohort say the economy is recovering or has fully recovered.9
Among surveyed New York voters age 35 to 69, nearly four in ten are dissatisfied with their
personal financial situation – 24 percent are somewhat dissatisfied and 13 percent are very
dissatisfied. Of note, a larger share of Gen Xers than Boomers report dissatisfaction with their
personal financial situation (40% vs. 33%, respectively).
In a list of personal financial concerns that include saving, debt, expenses and employment
opportunity into older age, the two things both Gen X and Boomers worry about most are saving
and planning for retirement. Nearly three-fourths (73%) of Gen Xers worry about not saving
enough and two-thirds (67%) worry about not planning enough for retirement. Among Boomers, six
in ten worry about not saving enough (62%) and more than half (55%) worry about not planning
enough for retirement.
8 http://www.bls.gov/opub/mlr/2014/article/consumer-spending-and-us-employment-from-the-recession-through-2022.htm
9 The Retirement Readiness of Three Unique Generations:Baby Boomers, Generation X, and Millennials. 15th Annual Transamerica Retirement Survey of Workers, April 2014, Transamerica Center for Retirement Studies (TCRS) https://www.transamericacenter.org/docs/default-source/resources/center-research/tcrs2014_sr_three_unique_generations.pdf
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 9
With the single exception of older worker security, Gen X is more likely than their Boomer
counterparts to worry about personal finances across the board, in particular about not saving
enough, not planning for retirement, having too much debt and not being able to pay bills. Despite
their theoretic longer time to plan for retirement compared to Boomers, this particular worry holds
a top of mind presence as often for Gen X as it does for Boomers.
14%
19%
18%
22%
30%
32%
16%
18%
24%
30%
25%
30%
0% 20% 40% 60% 80% 100%
Not being able to keep or find a jobbecause of age
Not being able to pay your bills
Having or taking on too much debt
Having an unexpected emergency that you won’t be able to pay for
Not planning enough for retirement
Not saving enough
How frequently do you worry about ... when it comes to your personal financial situation?
Base: New York State Boomer Voters
Often Sometimes
62%
55%
53%
42%
37%
29%
9%
21%
24%
23%
30%
41%
14%
26%
31%
35%
37%
33%
0% 20% 40% 60% 80% 100%
Not being able to keep or find ajob because of age
Not being able to pay your bills
Having or taking on too much debt
Having an unexpected emergency that you won’t be able to pay for
Not planning enough forretirement
Not saving enough
How frequently do you worry about ... when it comes to your personal financial situation?
Base: New York State Gen X Voters
Often Sometimes
73%
67%
58%
55%
47%
24%
Gen X:
Boomer:
74%
67%
58%
55%
47%
23%
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 10
CONFIDENCE IN RETIRI NG
As further confirmation that retirement, or rather lack of sufficient retirement planning and
saving, is a source of stress and anxiety, there is also lagging confidence in being able to ever retire
or to do so comfortably.
Among both Gen X and Boomer voter cohorts in New York, one-fourth of those in the labor force is
not confident they will ever be able to retire and another one-third is only somewhat confident. A
similar proportion of each age group feels anxious about not having enough money to live
comfortably through their retirement years, with Gen X slightly more likely to be anxious than
Boomers. It is clear that a substantial share of each generation is facing a tough reality of working
indefinitely and/or having to reduce their standard of living to below what is currently considered
comfortable.
The fact that confidence
levels in this regard
among Gen X are equal
to or worse than
Boomers suggests that
retirement
circumstances are not
going to improve for
younger generations.
Although Gen X has
more time to accelerate
savings and planning
before a hoped-for
retirement age, they are
not any more optimistic
than Boomers.
In brief, decreasing
retirement confidence
implies a future shift
toward the importance
of earning potential, job
opportunity and work
security during one’s
later years.
14% 19%
23% 25%
43% 35%
19% 20%
0%
20%
40%
60%
80%
Gen X Boomer
How anxious do you feel about having enough money to live comfortably through your retirement years?
Base: New York State Voters Age 35 to 69
Not anxious at all Not very anxious Somewhat anxious Very anxious
62% Anxious 55% Anxious
14%
17%
24%
22%
33%
32%
12%
14%
13%
11%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
How confident are you that you will be able to retire at some point and no longer work for money?
Base: New York State Voters in the Labor Force Age 35 to 69
Extremely Very Somewhat Not too Not at all
25% Not Confident
25% Not Confident
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 11
40%
26%
7%
18%
7%
30%
17% 16% 15% 16%
0%
20%
40%
60%
Under 65 65 66 to 69 70 and over Don't know
Expected Retirement Age Base: New York State Voters in the Labor Force Age 35 to 69, At Least Somewhat Confident They Will Retire
Gen X Boomer
43%
24%
11% 12% 9%
17% 22%
9%
31%
18%
0%
20%
40%
60%
Under 65 65 66 to 69 70 and over Don't know
Expected Retirement Age by Access to Workplace Retirement Plan
Base: New York State Voters in the Labor Force Age 35 to 69, At Least Somewhat Confident They Will Retire
With Access Without Access
For the three-fourths of voters age 35 to 69 currently in the New York labor force who expect to
retire, the average age of expected retirement is 65 for both Gen X and Boomers. However, two-
thirds of Gen X expects to retire at age 65 or before, whereas a larger percentage of older working
Boomers are unsure at what age they will retire.10 Although Gen X has more time to build up
savings, their expectations seem unrealistic considering nearly one-third of New York State’s
present day near retirees are at risk of retiring with incomes below poverty level.11
Having access to an employer-sponsored retirement savings plan makes a significant difference in
worker expectations about working into later life. Forty-three percent of those with access to
workplace retirement plans expect to retire under age 65 compared to only 17 percent of those
without access. On the other end of the spectrum, 31 percent of those without access to a plan
expect to work until age 70 and beyond before retiring, versus 12 percent of those with access to a
plan saying the same.
10 Similar results reported nationally: Gen X workers are significantly more likely than Boomer workers to expect to retire at age 65 (36% vs 18%). https://www.transamericacenter.org/docs/default-source/resources/center-research/tcrs2014_sr_three_unique_generations.pdf 11 Are U.S. Workers Ready for Retirement? Schwartz Center for Economic Policy Analysis. 2014. http://www.economicpolicyresearch.org/images/docs/research/retirement_security/Are_US_Workers_Ready_for_Retirement.pdf
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 12
24%
40%
42%
42%
13%
16%
25%
21%
5%
11%
10%
10%
52%
29%
20%
24%
0% 20% 40% 60% 80% 100%
Small BusinessOwner orEmployee
Boomer
Gen X
Total
Which of the following ways to save for retirement does your current employer provide?
Base: Currently Employed New York State Voters Age 35 to 69
Both Defined Benefit and Defined Contribution DC Only DB Only None
ACCESS TO RETIREMENT PLANS (AMONG EMPLOYED12)
In New York, 20 percent of Gen X workers and 29 percent of Boomer workers have no access to a
workplace retirement savings plan. While many in both generations have access to both Defined
Contribution and Defined Benefit plans, Defined Contribution plans are much more common for
Gen X workers.
For small business owners and employees in the state, half of them (52%) have no access at all to a
workplace retirement savings plan - a level comparable to that of all private sector workers in the
state.13
Retirement confidence is correlated
with access to retirement plans.
Among Gen X and Boomer workers
in New York without access to plans,
nearly one in three (31%) is not
confident they will ever be able to
retire compared to one in five (20%)
among those with access.
12 Survey data includes both public and private sector workers. 13 Fifty-four percent of private sector employees or 3,621,611 New York workers had no access to retirement plans through their employer (average 2010-2012). http://www.aarp.org/politics-society/advocacy/financial-security/info-2014/americans-without-retirement-plan.html
56%
29%
46%
31%
20%
0% 20% 40% 60% 80% 100%
Without Access toWorkplace
Retirement Plan
With Access toWorkplace
Retirement Plan
Extremely/Very confident Not too/Not at all confident
How confident are you that you will be able to retire at some point and no longer work for money?
Base: Currently Employed New York State Voters Age 35 to 69
NET PLAN
ACCESS
Defined Contribution
Total = 63% Gen X = 67% Boomer = 56% Small Business = 37%
Defined Benefit
Total = 52% Gen X = 52% Boomer = 51% Small Business = 29%
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 13
RETIREMENT SAVINGS B EHAVIOR
Taking into account plan participation,
overall workplace retirement saving is
even less common. Thirty-seven percent of
Gen X workers and 48 percent of Boomer
workers are not saving through a
workplace retirement plan. Among small
business owners and employees, the rate
of non-participation is comparatively
lower. Yet, due to limited availability of
plans, nearly two-thirds of small business
owners and employees are not saving for
retirement through a workplace plan.
Without workplace retirement plans, it is
even more important to build up personal
savings through an IRA or other
retirement savings plan. However, just
under half of surveyed New York voters
age 35 to 69 have done so.
When taken together and on net, 30
percent of Gen X voters in New York and
38 percent of Boomers have neither a work
sponsored nor a personal retirement
savings plan. A similar share of small
business owners and employees is not
saving at all (35%) and just over half are
saving in personal retirement savings
accounts outside of work.
24% 20% 29%
52% 41% 37%
48%
65%
0%
20%
40%
60%
80%
Total Gen X Boomer Small BusinessOwner/
Employee
Workplace Retirement Plans (Among Workers)*
Base: Currently Employed New York State Voters Age 35 to 69
No Access to Workplace Retirement Plan
Do Not Participate in Workplace Retirement Plan
35%
28%
51%
39%
54%
50%
46%
48%
35%
38%
30%
34%
0% 20% 40% 60% 80%
Small BusinessOwner orEmployee
Boomer
Gen X
Total
Total Retirement Savings (All Voters) Base: New York State Voters Age 35 to 69
None
Personal
Employersponsored
*Note: Survey data includes both public and private workers.
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 14
RETIREMENT INCOME EXPECTATIONS
In spite of lagging participation in retirement plans or savings accounts, both Gen Xers and
Boomers are most likely to expect their largest share of retirement income to come from a
retirement savings plan. But, when it comes to expectations of Social Security, there are
significant differences between the generations.
Nearly eight in ten (79%) Gen Xers say their savings will provide the largest share of their income
in retirement – either from a retirement plan or their own personal savings outside of a retirement
plan or account. Just 14 percent of
Gen X say that Social Security will
be their largest share of income.
Furthermore, 38 percent of Gen X
voters in New York do not expect to
receive any Social Security income
at all.
Among Boomers, twice as many
(30%) say Social Security will be
their largest share of income in
retirement and just 13 percent do
not expect to receive any social
security income at all in retirement.
Among workers without access to
workplace retirement plans, about
half have personal retirement plan
accounts such as an IRA (54%) -
only slightly more than all workers
in the 35 to 69 age cohort (48%).
However, just one-third of workers
without access to workplace
retirement plans expect their
retirement savings to be their major
source of income. Somewhat larger
shares expect personal savings
outside of retirement accounts or
Social Security to provide their
largest share of income, but a fairly
sizeable portion (22 percent) do not
expect to receive any Social
Security income at all.
9%
12%
5%
18%
18%
9%
50%
56%
48%
22%
13%
38%
0% 20% 40% 60% 80% 100%
No Access toWorkplace
Retirement Plan
Boomer
Gen X
Role or Expected Role of Social Security in Retirement Income
Base: New York State Voters Age 35 to 69
Only Source Major Source Minor Source None
62% Any SS Income
87% Any SS Income
78% Any SS Income
12%
24%
28%
35%
9%
11%
30%
49%
7%
18%
14%
61%
0% 20% 40% 60% 80%
Other/Don't Know
Personal savings orinvestments not in a
retirement plan
Social Security
A retirement savingsplan, like a pension,
401k or IRA
Percent Expecting Each Source to Provide the Largest Share of Retirement Income Base: New York State Voters Age 35 to 69
Gen X
Boomer
No Access toWorkplaceRetirement Plan
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 15
Workers currently without access to retirement plans at work see the value of such plans. Nearly
seven in ten (69%) positively affirm they would participate in a way to save for retirement at work
if their employer offered it. Gen X workers in particular are even more likely to take advantage of
employer-offered plans to save (80% likely) with a majority indicating the strongest degree of
likelihood. Fifty-nine percent of Boomer workers without access to a workplace retirement savings
plan would participate in a plan at work if one became available. A similar majority of small
business owners and employees (63%) also would take advantage of a plan to save for retirement if
one were available to them through work.
45%
63%
54%
14%
17%
15%
8%
4%
6%
18%
9%
14%
12%
7%
10%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
Total
If your employer offered a way to save for retirement, how likely would you be to take advantage of it?
Base: Currently Employed New York State Voters Age 35 to 69 Without Access to Workplace Retirement Plan
Very Somewhat Not very Not at all Not sure/Don’t know
69% Likely
80% Likely
59% Likely
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 16
DEBT AND OTHER BARRI ERS TO SAVING
Despite high levels of anxiety about not saving or preparing enough for retirement, current
expenses are considered financial barriers for many New York voters age 35 to 69. The most
reported obstacle is not having enough money left after paying bills –more than half (56%) report
this as an obstacle; and nearly half (49%) are hindered by paying for their children’s education.
Two in five say losing a job or taking a pay cut (41%), facing a major health need (41%), or having
to pay off debt (40%) are
obstacles to saving for
retirement years. Other
major obstacles to saving for
retirement are moving or
purchasing a new home (34%),
caring for an elderly loved one
(33%), and decreased property
value (32%). On all items,
Gen X is more likely than
Boomers to cite them as
obstacles to saving for
retirement, save one: facing a
major health need or problem.
In its ongoing Retirement
Confidence Survey, the
Employee Benefit Research
Institute (EBRI) has
consistently found a
relationship between the
level of debt among workers
and their retirement
confidence.14 In New York,
the majority of Gen X and
Boomer aged voters (80%)
have some form of debt.
When asked about types of
loans or debt currently held,
credit cards (55%) and home
loans (53%) were the most
reported. For nearly all types
of debt included in the survey,
Gen Xers are more likely to
have it than Boomers.
14 2015 Retirement Confidence Survey, Employee Benefit Research Institute. http://www.ebri.org/surveys/rcs/2015/
32%
32%
32%
36%
43%
39%
42%
54%
32%
34%
37%
44%
38%
44%
56%
59%
0% 20% 40% 60% 80%
Decreased home value
Caring for an elderly parent or relative
New home purchase or move
Having a lot of debt to pay off
Facing a major health need
Losing a job or taking a big pay cut
Paying for children’s education
No money left after paying for bills
Major Obstacles to Saving For Retirement Years Base: New York State Voters Age 35 to 69
Gen X
Boomer
11%
15%
33%
46%
51%
74%
10%
26%
44%
59%
59%
85%
11%
21%
39%
53%
55%
80%
0% 20% 40% 60% 80% 100%
Any other type of loan ordebt
Student loan
Auto loan
Home loan
Credit card
Any Loan/Debt (NET)
Types of Loans or Debt Currently Held Base: New York State Voters Age 35 to 69
Total
Gen X
Boomer
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 17
With regard to student loans
specifically, about one in five (21%) of
Gen X and Boomer voters currently
have student loan debt. Notably, even
more (33%) expect to have student
loans in the future – this is true for
both Gen X (45%) as well as Boomers
(20%). One-fourth of Gen X voters
currently have student loans and an
incredible 45 percent expect to
become student loan holders in the
future. Among Boomers, levels are
relatively lower but still one-third
overall are either current or future
student loan borrowers.
Two-thirds of current and future
student loan holders say paying off
such debt has made or will make it
harder to save for retirement.
Significant proportions also say it has
a negative impact on paying bills or
affording a home.
As might be expected, the presence of
debt is correlated with a much higher
likelihood to worry about personal
finances and at a more frequent rate.
While all Gen X and Boomer New
Yorkers worry about saving enough
and planning for retirement, student
loan holders are 33 percent more
likely to worry about these concerns.
Furthermore, holders of student loan
debt are less likely to be satisfied
with their personal financial
situation (47% versus 63% satisfied
among all 35 to 69 year olds); and are
significantly more likely to cite
barriers to saving for retirement, in
particular having no money after
paying for bills (73% vs. 56%); paying
for children’s education (69% vs.
49%); and having too much debt (67%
vs. 40%).
54%
71%
35%
21% 26%
15%
33%
45%
20%
0%
20%
40%
60%
80%
100%
Total Gen X Boomer
Current and Expected Future Student Loan Holders
Base: New York State Voters Age 35 to 69
Current or Future (Net) Current Future
40%
55%
65%
0% 20% 40% 60% 80% 100%
Make it harder for you toafford a home
Make it harder for you topay other bills or make ends
meet
Make it harder for you tosave for retirement
In What Ways Do You Worry that Paying Off Student Loan Debt Will Affect You?
Base: Expected Future Student Loan Holders Among New York State Voters Age 35 to 69
38%
60%
68%
0% 20% 40% 60% 80% 100%
Made it harder to afford ahome
Made it harder to pay otherbills or make ends meet
Made it harder to save forretirement
In What Ways Has Paying Off Student Loan Debt Affected You?
Base: Current Student Loan Holders Among New York State Voters Age 35 to 69
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 18
NEW YORK AFFORDABILITY
For both generational cohorts, the most
commonly cited obstacle to saving for
retirement is not having enough money left
after paying for bills. For New Yorkers, the
affordability of month-to-month housing
expenses is concerning to both Gen X and
Boomer voters. Half or more of each group is
at least somewhat concerned about their
ability to pay rent/mortgage, property taxes
or utility bills in the coming years. In general,
the level of concern is comparable between
the two age groups with little variation or
differentiation.
12%
12%
14%
14%
20%
28%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
How concerned are you about your ability to pay RENT/MORTGAGE in the
future? Base: New York State Voters Age 35 to 69
Extremely concerned Very concerned Somewhat concerned
54%
15%
14%
22%
17%
25%
27%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
How concerned are you about your ability to pay PROPERTY TAXES in the
future? Base: New York State Voters Age 35 to 69
Extremely concerned Very concerned Somewhat concerned
13%
9%
14%
13%
26%
30%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
How concerned are you about your ability to pay UTILITY BILLS in the
future? Base: New York State Voters Age 35 to 69
Extremely concerned Very concerned Somewhat concerned
46%
58%
62%
52%
53%
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 19
Three out of five (60%) New York State voters age 35 to 69 say they are at least somewhat likely to
leave New York once they retire. A 2014 AARP survey of New York voters found that 60% of future
Baby Boomer retirees were likely to leave New York State after retiring, thus creating economic
implications for the state economy when retirees take their consumer expenditures elsewhere. 15
Here again in this survey, a near similar proportion of Boomers age 51 to 69 are at least somewhat
likely to leave the state in the future (55%). Moreover, Gen X presents even stronger intent to
leave the state post-retirement. Nearly one-fourth (23%) of Gen X voters in New York can scarcely
see themselves retiring in the state, reporting extreme likelihood of leaving once they retire. A
total of 66 percent of Gen Xers consider themselves at least somewhat likely to leave.
15 2014 State of the 50+ in New York State, AARP Research. www.aarp.org/nystate50plus
13%
23%
18%
16%
18%
17%
25%
26%
26%
19%
18%
19%
26%
15%
20%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
Total
How likely are you to leave New York State and live somewhere else once you retire/in the future?
Base: New York State Voters Age 35 to 69
Extremely likely Very likely Somewhat likely Not very likely Not at all likely
60% Likely
66% Likely
55% Likely
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 20
SUPPORT FOR A STATE FACILITATED RETIREMENT SAVINGS OPTION
In order to help close the gap in access to
retirement savings plans, New York voters
age 35 to 69 support a state facilitated
retirement savings option for New York.
Specifically, about seven in ten strongly
(44%) or somewhat (27%) support such a
proposal.
A state facilitated retirement savings option
would most directly benefit those without
access to a plan in their workplace, including
small business owners and employees who
tend to have lower levels of access currently.
These two sub-groups of New York workers
present similarly strong levels of support for
such a solution. More than three-fourths of
workers without access to a workplace
retirement plan support a proposal for a state-facilitated plan; and 70 percent of small business
owners and employees support it.
45%
47%
45%
42%
44%
25%
29%
22%
31%
27%
11%
10%
13%
11%
12%
4%
4%
6%
5%
5%
10%
7%
8%
8%
8%
0% 20% 40% 60% 80% 100%
Small Business Owner orEmployee
Without Access toWorkplace Retirement
Plan
Boomer
Gen X
Total
How Strongly do you support or oppose the proposal for a state retirement savings plan?
Base: New York State Voters in the Labor Force Age 35 to 69
Strongly support Somewhat support Neither/nor Somewhat oppose Strongly oppose
70% Support
73% Support
67% Support
76% Support
70% Support
PROPOSED STATE FACILITATED
RETIREMENT SAVINGS OPTION FOR
WORKERS
One way to help more New Yorkers save would be for
the state to set up a retirement savings plan, similar to
a 529 college savings plan, where workers can
contribute to a private retirement account that is
professionally managed. Workers can choose whether
or not to participate, and the account would be
portable from job to job. The plan would have low fees
and not cost taxpayer dollars.
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 21
When asked about potential features in a state facilitated savings option for retirement, all
features are considered important. The top-ranked important feature is portability. Almost all
(92%) believe account funds should be portable so that the money travels with the owner. About
nine in ten also say it should be easy to use (90%), have a low cost to taxpayers and participants
(89%), provide tax advantages to enrollees (88%), be voluntary (88%) and be available to everyone
(87%). Many (81%) also believe it is important for the money to be professionally managed.
51%
68%
68%
66%
72%
76%
74%
82%
30%
19%
20%
22%
17%
13%
16%
10%
0% 20% 40% 60% 80% 100%
Professional money management
Available to everyone in the state
Voluntary enrollment
Tax advantages for enrollees
Low cost to participants
Low cost to taxpayers
Easy to use
Portability (account can move from job to job)
If New York Were to Implement a Retirement Savings Plan, How Important Would Each Feature Be?
Base: New York State Voters Age 35 to 69
Very Important Somewhat Important
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 22
Most (75%) New York voters age 35 to 69 agree that New York elected officials should support
creating a state managed retirement savings plan so more New York workers have an opportunity
to save for retirement. Forty-three percent strongly agree that this should be a concern of elected
officials.
Taxpayers themselves are
concerned that New Yorkers are
not saving enough for retirement.
A majority (82%) are concerned
that many could end up relying on
public assistance. Almost half of
New York voters are very
concerned while another third
(34%) are somewhat concerned.
Although Gen X and Boomers are
comparably worried, Boomers are
slightly more likely to be very
concerned that retirees are ill
prepared and will become reliant
on public aid.
50%
46%
48%
33%
35%
34%
9%
12%
10%
7%
6%
7%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
Total
How concerned are you as a taxpayer that some New Yorkers have not saved enough for
retirement and could end up reliant on public assistance?
Base: New York State Voters Age 35 to 69
Very Somewhat Not very Not at all
82% Concerned
81% Concerned
83% Concerned
45%
43%
43%
29%
33%
33%
12%
12%
12%
3%
3%
3%
8%
7%
7%
0% 20% 40% 60% 80% 100%
Boomer
Gen X
Total
Should New York elected officials support the creation of a state managed retirement savings plan?
Base: New York State Voters Age 35 to 69
Strongly agree Somewhat agree Neither/nor Somewhat disagree Strongly disagree
75% Agree
76% Agree
74% Agree
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 23
DEMOGRAPHIC PROFILE OF RESPONDENTS
72%
3%
9%
15%
24%
74%
22%
26%
25%
26%
36%
24%
23%
13%
28%
30%
21%
17%
9%
13%
16%
15%
16%
14%
18%
29%
21%
26%
23%
1%
12%
11%
69%
4%
Married or living with a partner
Widowed
Divorced or separated
Never married
AARP Member
AARP Non-Member
High school graduate or less
Post high school or 2 year degree
4 year degree
Post graduate study or graduate degree
Democrat
Republican
Independent
Something else
Conservative
Moderate
Liberal
None of these
<$30K
$30K-<$50K
$50K-<$75K
$75K-<$100K
$100,000-<$150,000
$150,000+
Don't know/Refused
35-44
45-50
51-60
61-69
Asian
Black or African American
Hispanic or Latino
White or Caucasian
Mixed/ some other race
CIV
IL S
TATU
SA
AR
PED
UC
ATI
ON
PA
RT
YA
FFIL
IAT
ION
PO
LITI
CA
LV
IEW
SIN
CO
ME
AG
ER
AC
E
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 24
Gen X Boomers
Civil Status
Married or living with a partner 72% 64%
Widowed 1% 5%
Divorced or separated 3% 14%
Never married 19% 12%
Membership
AARP 7% 42%
AARP Non-Member 92% 56%
Education
High school graduate or less 18% 27%
Post high school or 2 year degree 26% 25%
4 year degree 27% 23%
Post graduate or graduate degree 28% 24%
Party Affiliation
Democrat 34% 38%
Republican 22% 25%
Independent 25% 21%
Something else 16% 11%
Political Views
Conservative 26% 30%
Moderate 30% 29%
Liberal 20% 22%
None of these 20% 14%
Income
<$30K 8% 11%
$30K-<$50K 8% 18%
$50K-<$75K 15% 18%
$75K-<$100K 17% 12%
$100,000-<$150,000 18% 13%
$150,000+ 17% 11%
Don't know/Refused 16% 18%
Race/Ethnicity
Asian 2% 1%
Black or African American 15% 10%
Hispanic or Latino 13% 8%
White or Caucasian 65% 72%
Mixed/ some other race 3% 5%
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 25
METHODOLOGY
AARP 2015 NY State Gen X-Boomer Survey
Prepared by Precision Opinion for AARP
May 2015
SUMMARY:
The AARP 2015 New York State Gen X-Boomer Survey was conducted as a telephone survey among
registered voters age 35 to 69 in the state of New York. The survey collected the opinions of New York
registered voters on issues related to financial worries and retirement security. The survey was
approximately 15 minutes in length. The interviews were conducted in English by Precision Opinion from
February 26th to March 12th, 2015. Respondents were sampled from a voter list with a total of 801
interviews completed: 400 among 35 to 50 year old voters (“Gen X”) and 401 among 51 to 69 year old voters
(“Boomer”). The sample was split into two strata by age (Gen X and Boomer) and quotas were set in order to
achieve a 50/50 split among these two cohorts. In addition, quotas were set by gender within age group in
order to maintain the proper representation of males and females. The margin of sampling error for the New
York statewide sample of 801 is +/-3.5%. The margin of sampling error for the Gen X and Boomer samples
of 400 each is +/-5.0%.
DESIGN AND DATA COLLECTION PROCEDURES:
Sample
The survey respondents were sampled from a registered voter list provided by L2 (Labels & Lists). The voter
list was age targeted to 35-69 based on L2’s database of registered voters in the state of New York. The
sample list was a blended landline and cell phone. A total of 36,178 records were dialed. From this total,
12,329 cell phone records were dialed, from which 98 surveys were completed.
Questionnaire Development and Testing
The questionnaire was developed by AARP staff. Prior to this project’s launch, testing was completed
internally at Precision Opinion and additionally by AARP staff. Further, Precision Opinion ran a simulated
data set and conducted a full review of said data prior to commencing field work.
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 26
Contact Procedures
Precision Opinion asked to speak with the registered voter listed on file. If that person was unavailable,
Precision Opinion asked to speak with another registered voter in the household aged 35-69.
WEIGHTING
The sample was weighted by gender and region within the Generation X and Baby Boomer strata. The
combined sample was weighted by gender and region to reflect the total population of registered voters in
the state of New York age 35-69.
Total 35 to 69 Unweighted
Total 35 to 69 Weighted Factor
N= % N= %
Total 801
801
Male 366 45.69% 368 45.99% 1.00650
Female 435 54.31% 433 54.01% 0.99453
NYC 208 25.97% 306 38.16% 1.46953
Long Island 101 12.61% 137 17.13% 1.35853
Erie 56 6.99% 42 5.20% 0.74379
Onondaga 27 3.37% 20 2.51% 0.74463
Dutchess 7 0.87% 13 1.58% 1.80797
Monroe 42 5.24% 32 4.04% 0.77049
Capital Region 31 3.87% 38 4.73% 1.22217
Rest of state 329 41.07% 213 26.65% 0.64883
Gen X Unweighted
Gen X Weighted Factor
N= % N= %
Total 400
400
Male 180 45.00% 182 45.50% 1.01111
Female 220 55.00% 218 54.50% 0.99091
NYC 110 27.50% 171 42.68% 1.55200
Long Island 54 13.50% 66 16.56% 1.22667
Erie 28 7.00% 19 4.86% 0.69429
Onondaga 14 3.50% 9 2.32% 0.66286
Dutchess 2 0.50% 6 1.42% 2.83999
Monroe 21 5.25% 15 3.80% 0.72381
Capital Region 13 3.25% 18 4.42% 1.36000
Rest of state 158 39.50% 96 23.94% 0.60608
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 27
Boomer Unweighted
Boomer Weighted Factor
N= %= N= %=
Total 401
401
Male 186 46.38% 185 46.25% 0.99711
Female 215 53.62% 216 53.75% 1.00250
NYC 98 24.44% 140 34.82% 1.42478
Long Island 47 11.72% 73 18.23% 1.55537
Erie 28 6.98% 22 5.42% 0.77622
Onondaga 13 3.24% 11 2.65% 0.81742
Dutchess 5 1.25% 7 1.77% 1.41954
Monroe 21 5.24% 17 4.18% 0.79818
Capital Region 18 4.49% 20 4.87% 1.08493
Rest of state 171 42.64% 113 28.06% 0.65802
Note: Universe proportions according to L2 database for all registered voters, state of New York age 35-69.
RESPONSE RATE / COOPERATION RATE / REFUSAL RATE
The response rate for this study was measured using AAPOR’s response rate 3 method. The cooperation
rate was measured using AAPOR’s cooperation rate 3 method. The refusal rate was measured using
AAPOR’s refusal rate 3 method. The table below contains these rates.
Response Rate Cooperation Rate Refusal Rate
Total 11% 92% 4%
Gen X 10% 93% 3%
Boomer 12% 92% 5%
*Source: AAPOR Outcome Rate Calculator Version 2.1 May 2003
ANNOTATED QUESTIONNAIRE
A fully annotated questionnaire and more information about this survey can be found at:
www.aarp.org/nygenxandboomers.
NEW YORK GEN X AND BOOMERS STRUGGLE WITH STRESS, SAVINGS AND SECURITY 28
AARP New York
780 Third Ave 33rd Floor
New York, NY 10017
Phone: (866) 227-7442
Email: [email protected]
Website: http://www.aarp.org/ny
AARP Research
601 E Street NW
Washington, DC 20049
www.aarp.org/research