Turning 50 has traditionally been associated with slowing down and preparing for retirement. However, new research suggests that today’s mid-lifers are living differently, with changing priorities, increased financial pressure and a growing disconnect between expectations and reality.
We explore what life at 50 looks like based on recent research, and what it may mean for financial planning in later life.
A Shift in Midlife Expectations
For many, turning 50 no longer marks the beginning of winding down. Instead, it reflects a stage of life that is still active, demanding and, in many cases, financially complex.
People aged 50-54 report feeling, on average, just 43 years old, highlighting how perceptions of ageing are changing. Many are continuing to build careers, support families and pursue personal goals well into their 50s.
However, behind this shift in mindset, there are signs of growing financial pressure.
A Gap Between Expectations and Reality
The research highlights a disconnect between how people expected life at 50 to look and how it has actually turned out.
- 1 in 3 people aged 50+ say they expected to be more financially secure
- Over half of Gen X say that financial security would improve their 50s
- Yet only 13% of those aged 50-59 feel like their life is already enjoyable enough
This suggests that while lifestyles may feel younger, financial confidence is not keeping pace.
Financial Pressure Is Increasing
Compared to previous generations, Gen X households are:
- Spending 20% of income on children, compared to 5% for Baby Boomers
- More likely to still have dependent children at 50
- Managing housing commitments, with the average person having owned 1.42 homes and spending 16% of income on mortgage repayments
These factors contribute to a more complex financial picture, where retirement planning may not always be the immediate priority.
Confidence in Retirement Planning Remains Low
Despite being closer to retirement, many people do not feel confident about their financial future.
- 54% of people aged 45-59 say they do not feel secure about their financial position heading into retirement
- Only 3 in 10 believe they are on track to meet their retirement goals
- Over a third of people aged 45-49 feel financially concerned about turning 50
The combination of low confidence and limited guidance may indicate that some people are not receiving the support or information they feel they need when planning for retirement.
Why Are People Falling Behind?
The research identifies several common reasons for this lack of preparedness.
- 27% cite insufficient savings or contributions
- 24% point to economic factors such as inflation
- 21% say they started saving too late
- 20% experienced periods of unemployment or reduced income
- 14% say they did not fully understand how much they would need
The research suggests that pension planning may not always be a priority amid competing financial demands. Around 1 in 5 people in their 50s admit they have never seriously considered their pension.
A Lack of Clarity on Where to Start
Beyond financial constraints, there is also uncertainty around how to take action.
Some individuals report not knowing who to ask or where to begin, while others assume they have already done enough. Among those who have previously received financial advice, only a small proportion have done so during their 50s.
This can lead to missed opportunities to review pension arrangements, adjust contributions or plan how retirement income will be taken.
More Active Lives, But Greater Complexity
The research also highlights broader lifestyle trends.
Many people in midlife are prioritising health more than previous generations, taking up new hobbies and travelling more frequently, as well as remaining active in work or developing additional income streams.
While this reflects a more dynamic approach to midlife, it can also make long-term financial planning more complex.
Why Planning Becomes More Important at 50
As retirement approaches, the window to make meaningful financial changes begins to narrow.
Decisions made during this stage can have a lasting impact on retirement income levels, how long savings may last and the balance between flexibility and financial security.
Without a clear plan, it can be difficult to understand whether current savings and contributions are likely to support future needs.
Taking the Next Step
The research suggests that many people are entering their 50s without a clear understanding of their financial position or retirement options.
Taking time to review your pension, understand your potential income and explore your options can help provide clarity at an important stage of life. Speaking to a regulated adviser can help you:
- Review how your pension is invested and whether it remains aligned with your objectives
- Identify any gaps in your planning
- Explore options for taking income in retirement
- Make informed decisions based on your circumstances
If you are approaching 50 or already in your 50s, this can be an important point to reassess your financial plans and consider whether you are on track for the retirement you want.
Statistics quoted in this post are from the My Pension Expert report, Thrifty at 50: A report into how Gen X are redefining midlife. When investing, the value of investments can fall as well as rise and you may get back less than you invest.
