51% of Singaporean Gen Z confident about covering retirement costs—but most haven’t started planning amid different financial habits and aspirations

SINGAPORE: Despite nearly three quarters (72%) of Gen Z Singaporeans not having a concrete retirement plan, 51% said they are confident about covering their retirement expenses, including daily necessities and healthcare—confidence that is higher than Millennials (45%) and Gen X (38%), Singapore Business Review reported.

The Prudential survey, conducted in July 2025, gathered responses from 1,000 residents aged 17 to 76.

Many Gen Z respondents, who are still students and just entering the workforce, said they are focused on building their careers first and intended to start saving once they had more income to spare.

More than four in ten (41%) said they are actively seeking to build multiple income streams, while 60% placed career growth ahead of work-life balance. Others were drawn to remote work opportunities (32%), allowing them to travel, while 22% expressed interest in taking several “micro-retirements” during their lifetime. Meanwhile, 54% expect to retire by 60, while 20% hope they can start retirement by 50.

On the other hand, 94% of baby boomers, aged 55 and above, said they wished they had started saving at 28 instead of 40. Many of them cited regretting not forming strong financial habits (61%), delaying retirement due to lack of preparation (49%), and facing stress from not having enough savings for retirement(45%), while others pointed to missed investment opportunities (35%) and unnecessary spending (28%).

All age groups noted that rising costs remained their biggest concern (75%), followed by healthcare costs (56%) and limited income growth (50%).

When asked how they plan to fund their retirement, most respondents cited CPF savings (67%) and bank savings (62%), while others mentioned investments in bonds, exchange-traded funds (ETFs) such as the S&P 500, mutual funds, and stocks, along with insurance policies and investment-linked plans (ILPs).

Notably, unlike the older generation, Gen Zs and Millennials tend to invest more in index funds and ETFs over insurance products. /TISG

Read also: Hong Kong women urged to invest sooner, not just save, with retirement costs expected to reach nearly 70% of their income

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