Today’s 50-Year-Olds Face Different Financial Pressures Than Previous Generations

Shouldn’t life feel more financially secure by the time you reach your 50s?

Many people certainly expected it would. In fact, more than half (54%) of people aged 50 and over say they believed this stage of life would be more financially secure than it has turned out to be.

The reality is that today’s 50-year-olds are often juggling financial commitments that earlier generations faced less often. From supporting children later in life to managing mortgage repayments and preparing for retirement, many find themselves balancing competing priorities at a time when they expected life to become simpler.

As retirement expectations continue to evolve, understanding how these pressures affect long-term financial planning has been more important.

The Midlife Reality Looks Different Today

Reaching their 50s no longer means fewer financial responsibilities for a lot of people.

The research found that people aged 45 to 59 spend an average of 20% of their income on their children’s upkeep, compared to just 5% among Baby Boomers at the same stage of life. More than one in five Gen X households (22%) spend over 30% of their income on children, compared to only 45% of Baby Boomer households.

Many are also becoming parents later in life, meaning it is increasingly common to have children under the age of 16 while approaching or entering your 50s.

Alongside family commitments, housing costs continue to play a significant role. The report found that people who are currently 50 spend an average of 16% of their income on mortgage repayments.

Taken individually, these commitments may seem manageable. Together, however, they can create competing demands on household finances at a stage of life when retirement planning is becoming increasingly important.

Why Financial Security Still Feels Out of Reach

It’s perhaps no surprise that many people feel caught between present-day responsibilities and future goals.

For earlier generations, the years leading up to retirement may have offered an opportunity to focus more heavily on long-term financial planning. Today’s 50-year-olds often face a more complex balancing act, managing family commitments, housing costs and everyday expenses while also thinking about the future.

Retirement Planning Often Takes a Back Seat

When life is busy, retirement planning can easily become something to think about another day.

The report found that almost two-thirds (64%) of people turning 50 in the next five years have never sought advice about their income in later life.

That doesn’t necessarily mean retirement isn’t important to them. More often, it reflects the reality of competing priorities. Work, family responsibilities and day-to-day financial pressures can make it difficult to find the time or headspace to engage with long-term planning.

For some, retirement still feels distant. For others, the thought of reviewing pensions and retirement income can feel overwhelming. Yet delaying those conversations can make it harder to understand whether you’re on track for the retirement you want.

What Does This Mean for Retirement?

The financial pressures people experience in their 50s don’t automatically disappear when retirement begins.

That’s why understanding your pension and retirement options can be valuable long before you decide to stop working.

Whether your goal is to travel more, support family members, pursue hobbies or simply enjoy greater financial freedom, your pension is likely to play an important role in helping fund those plans.

The sooner you understand how your pension fits into your wider financial picture, the more opportunity you may have to make informed decisions about the future.

Looking Beyond Today’s Commitments

Supporting children, paying a mortgage and managing everyday expenses can make retirement feel like something to think about later.

Yet for many people, their 50s can be an important opportunity to take stock of their long-term plans and assess whether their finances are aligned with their goals.

Understanding where you stand today doesn’t mean making immediate decisions. It simply means gaining clarity about your options and the future you’re working towards.

My Pension Expert can help people navigate retirement planning with clear, straightforward guidance and regulated financial advice.

Speaking with a pension expert could help you better understand how your pension fits alongside your wider financial commitments and whether you’re on track for the retirement you want.