The upcoming retirement boom: Are your clients financially prepared?
This content is categorized as:Baby boomers are making history again, this time with retirement. As millions of Americans reach retirement age, the nation is experiencing a major demographic shift that can impact retirement planning for years to come.
Understanding the coming retirement wave
Baby boomers have been retiring for years, and the youngest turned 61 in 2025. They are part of Peak 65®, a four-year period (2024 –2027) when more than 4 million Americans, 11,200 every day, turn 65.1 By 2030, two in five Americans will be 65 or older.2 The next generation, Gen X, isn’t far behind with the oldest members turning 65 the same year.
Why baby boomers and Gen X are reshaping retirement trends
Both generations are redefining what retirement looks like. They are working longer, retiring in stages, and often seeking flexible income sources. Unlike earlier generations, Gen Xers have fewer pensions, more debt and longer expected retirements. These shifts are driving demand for new financial solutions that balance growth, protection and income.
Key financial concerns among today’s pre-retirees
Over half of working Americans feel behind on saving for retirement3, and only 14% of Gen Xers say they have saved enough.4 Among these groups, their top concerns include outliving their assets, market losses, rising living and health care costs, uncertainty about Social Security and having to return to work to help cover expenses.
Starting the client conversation early
You play a key role in helping clients explore growth and income strategies that help build financial confidence. Regular check-ins can keep plans on track and help prepare clients for challenges like inflation, market swings and funding a potentially longer retirement.
Tools and resources to help build client confidenceNo matter where clients are in planning, you can help them retire with confidence. Visit our collection of worksheets, tips and articles designed to help you and your clients ask questions, uncover obstacles and explore solutions tailored for their needs. Download our ebook, Build Confident Clients, today for ideas to help you start meaningful conversations. |
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Common roadblocks that influence retirement decisions
Emotions, market uncertainty and misinformation often keep people from making sound financial choices. Modern annuities, for example, can be valuable in retirement strategies. Annuities help address some of the most common concerns, such as managing market volatility, growing value and providing a stable income or legacy. However, misconceptions can cause hesitation.
Four key uncertainties that shape client behavior
Athene partnered with behavioral experts from the UCLA Anderson School of Management to better understand what’s called the annuity puzzle. Through their research, they uncovered four uncertainties that often affect financial decision-making.
1. Longevity uncertainty
How long will I live?
How long will my retirement last?
It’s natural for these questions to surface in retirement planning conversations, especially when annuities enter the discussion. It can be uncomfortable to discuss, but addressing longevity helps clients plan realistically. Reframing the topic around lifestyle and legacy can help keep the conversation productive.
2. Spending uncertainty
How much money do I need to retire?
Answering this question with 100% certainty requires a peek into the future, and every client’s answer is different. You can guide clients by exploring lifestyle expectations, health needs and income sources to create a clear spending strategy.
3. Investment outcome uncertainty
Could I outperform the market on my own?
Some people overestimate their investment skills. Clients who try to outperform the market alone may miss opportunities. Helping them understand options like fixed indexed annuities, which can offer growth potential and downside protection, can help strengthen their confidence and their retirement plan.
4. Decision-making uncertainty
Do I understand enough to decide?
Complex financial solutions can feel overwhelming. Breaking concepts into small, clear steps can help clients feel informed and empowered to act.
Helping clients navigate retirement roadblocks
You can help guide clients through these challenges with education and empathy. These tips could help lead the conversations.
Educating clients on modern annuities
Explain how annuities work and the benefits they provide, such as growth potential, protection from market downturns, lifetime income and legacy options, so clients can make informed choices.
Breaking down complex decisions into simple steps
Simplify conversations by starting with clients’ risk tolerance, then introduce one concept at a time. This helps prevent information overload and decision paralysis.
Strategies for reducing choice overload
More options allow for tailored solutions specific to a client’s needs, but too many choices can stall decisions.
Chunking complex information into smaller bites and talking about them one at a time could help keep clients from information overload leading to stalled decisions.
The mechanics of an annuity’s growth potential and interest crediting structure, protection from market loss and guaranteed income are important components to explain, as well as withdrawal charges, Market Value Adjustments (if applicable) and tax considerations. Giving clients a complete picture of what they’re buying is important for assessing suitability, and it can help clients feel more confident about their decision. Using plain language and breaking information into bite-sized chunks can make it easier to understand.
How annuities can help support retirement readiness
Annuities may feel intimidating to some clients. Your financial knowledge and people skills can help change that. Keep explanations clear and use everyday terms to describe how annuities can help protect assets, create income and build confidence in retirement.
Protecting against market loss
The idea of losing what you’ve worked hard to save for years can be devastating. Explain how fixed and fixed indexed annuities can help protect assets, even during market downturns.
Generating lifetime income
Annuities can supplement Social Security, pensions and personal savings with a steady income stream clients can’t outlive.
Supporting spouses and legacy planning
While life insurance can provide for a surviving spouse, some clients may not qualify later in life. Certain annuities include options for death benefits to help a surviving spouse or leave a legacy.
Locking in interest credits for long-term growth
Besides protection from market loss, fixed indexed annuities can earn interest credits linked to the upward movement of a market index. Once earned, those credits can’t be lost in a market downturn.
Strategies to help build client confidence
Listening for concerns can help reveal what’s holding a client back and where you can add value.
Guiding clients through economic and market uncertainty
Re-focus conversations with your clients on long-term goals and diversification. Remind them that market downturns are normal and show how their retirement strategy is designed with volatility in mind. It may be a good time to introduce options that balance protection and growth opportunities, like a fixed indexed annuity.
Strengthening retirement plans through protected income
Market volatility highlights the need for stability. Talk about annuities that provide guaranteed income — a “retirement paycheck” — to help ease the effects of inflation.
Positioning your practice for the retirement boom
With millions of baby boomers and Gen Xers retired or nearing retirement, proactive communication and education can help set your practice apart. Try hosting webinars or sharing news about economic trends and market shifts on your digital platforms. Consistently check in with your clients.
Next steps for financial professionals
As clients shift from saving to spending, some may be unsure how to draw down assets without knowing:
- Exactly how long they’ll live
- The kind of spending they will do in retirement
- How market activity could impact their assets
Help them understand their options, anticipate risks and plan for longevity.
As people live longer and seek active retirements, you can play a key role in helping your clients be prepared.
Share the retirement mindset quiz
Help clients communicate their approach to retirement planning so you can tailor strategies that fit their goals.
Explore the Build Confident Clients resources
Access a library of expert tips and tools designed to help clients feel more prepared for retirement.
Support clients with simplified, repeatable planning processes
Use these insights to guide meaningful, confident client conversations as you help clients retire their way.
Insights on Athene Connect. Tips, tools and resources to grow your business by helping clients retire with confidence.
1 Alliance for Lifetime Income by LIMRA report on Peak 65 and retirement in America.
2 U.S. Census Bureau. 2023 National Population Projections Tables: Main Series — Projected Population by Five-Year Age Group and Sex (Table NP2023-T3, Excel file np2023-t3.xlsx). Released November 9, 2023.
3 The Bankrate 2023 survey on Generation X confidence in retirement funds.
4 ”The lost-retirement generation?” Schroders 2024 Retirement Survey. Accessed December 15, 2025.
Athene does not provide tax, financial or legal advice. Taxpayers should consult their own independent qualified professionals as to their personal circumstances.
Indexed annuities are not stock market investments and do not directly participate in any stock or equity investments. Market indices may not include dividends paid on the underlying stocks, and therefore may not reflect the total return of the underlying stocks; neither an index nor any market-indexed annuity is comparable to a direct investment in the equity markets.
Guarantees provided by annuities are subject to the financial strength and claims paying ability of the issuing insurance company. Guaranteed lifetime income is available through annuitization or an income rider. Income riders may be built into the contract or optional for a charge.
Not affiliated with or endorsed by the Social Security Administration or any governmental agency.
Death Benefit provisions vary by contract. Please review the Contract's Certificate of Disclosure for details.
The interest earned is subject to certain limitations such as an Annual Spread, a Cap Rate and Participation Rate. These limitations are declared by the Company before the beginning of each Index Term Period.
Although fixed indexed annuities offer principal protection from market downturns, the deduction of applicable charges could exceed any interest credited, resulting in the loss of principal.
