Nearly 60% of Americans born between 1965 and 1989 are making automatic contributions toward their retirement savings,compared to 46% of non-retired Baby Boomers born between 1946 and 1964. In addition, the younger generations that followed Boomers start saving for retirement, on average, in their mid- to late-twenties, nearly a decade earlier than Boomers, according to a survey released by TD Ameritrade.
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Generation X, defined by the study’s authors as those born between 1965 and 1976 and Generation Y, defined as those born from 1977 to 1989, according to TD Ameritrade, “have learned from the mistakes of their elders.”
Meanwhile, Gen Z, those born from 1990 to 1999, according to the survey, “show some signs of nest egg naivety. “Gen X and Y have accepted the reality of the past few years, and rather than being discouraged, they are using what they've witnessed to their advantage by saving earlier and regularly,” says TD Ameritrade. “The hope is that tomorrow's investors, Gen Z, follow suit as they near retirement."