Nearly half of Gen Z workers (48%) reported feeling financially insecure in 2025, up from 30% the prior year, according to Deloitte’s 2025 Gen Z and Millennial Survey, which surveyed more than 23,000 respondents across 44 countries.Yet behind all the salary and side-hustle activity, a gap in workplace retirement plan participation continues to widen at the start of young workers’ careers.Edward Jones and Morning Consult research describe the gap as both a crisis and an opportunity for employers and young workers.Edward Jones data shows Gen Z skips workplace retirement plans Nearly four in five Gen Z workers do not contribute to any workplace retirement plan, according to 2025 research from Edward Jones and Morning Consult.The study also found that roughly one-third of Americans had their first investment experience through an employer-sponsored plan. That entry point matters because compounding rewards early starts, and the years between age 22 and 32 are especially important for long-term outcomes.Related: Why Gen Z is ditching internships for Uber, GoPuff this summerAbout 66% of Gen Z workers said they would be more likely to join a workplace plan if enrollment processes felt easier, the research showed.The Edward Jones data indicated that simpler enrollment processes consistently produce higher participation rates among first-time investors entering the workforce today.Higher salaries have not translated into stronger Gen Z saving habitsHigher starting salaries have not translated into stronger savings habits across this generation, and the disconnect is showing up everywhere advisors look these days.About 62% of Gen Z workers stopped or reduced their retirement savings in the past six months due to the current economic environment, according to the fourth quarter 2025 Quarterly Market Perceptions Study from Allianz Life.More Personal Finance:Bank of America offers critical debt elimination planFidelity challenges long-standing retirement savings ruleGallup data expose record financial anxiety in the U.S.The pause looks like a signal rather than a verdict, with consistency mattering more than contribution size for young investors, Julia Bartak, a financial advisor at Edward Jones, wrote in a Fortune commentary published June 21. Modest, consistent contributions can establish financial stability and unlock the freedom to pursue other goals over time, Bartak wrote in the commentary.
Edward Jones says Gen Z’s savings challenge is behavioral, not income-driven, as consistent investing outweighs contribution size long term.FG Trade Latin/Getty Images
Employer plan design has become a retention toolWorkplace retirement plans now function as a recruitment and retention strategy, not simply a benefits checkbox tucked into an offer letter packet.Bartak made the case for employer action. “Employers who modernize now can build a more resilient, engaged workforce for today and the future.”The 2025 Deloitte survey cited in the commentary indicates that offering high-quality retirement plans, matching contributions, and financial education resources can build employee financial confidence and strengthen engagement and retention.Plan sponsors can deduct qualifying employer matching contributions on the employer’s federal income tax return under Internal Revenue Code Section 404,subject to a 25% cap on total eligible compensation, the IRS stated.Access to professional guidance is a wide blind spotAmong financially stressed U.S. adults, just 14% engage a professional financial advisor, compared with 60% of their financially fulfilled peers, the Edward Jones and Gallup Money and Meaning: Understanding Financial Fulfillment study found in June 2026.Kelly Hahn, head of retirement research in Vanguard’s Investment Strategy Group and co-author of the Vanguard Retirement Outlook released in October 2025, said that retirement readiness extends beyond savings rates, calling for a broader infrastructure of access and support for workers at every career stage. “Retirement readiness isn’t just about saving, it’s about having the right tools, support, and access throughout a worker’s career,” Hahn said. “Retirement security is a shared responsibility. Policymakers, employers, and individuals all have a role to play in building a more resilient future.”Gen Z workers tend to engage advisors earlier in their careers than previous generations did, yet many still rely on social media for guidance. A strong workplace financial wellness program can help close that gap, Bartak wrote in the Fortune commentary.Addition Wealth, a digital financial engagement and education platform backed by Edward Jones Ventures and rolled out to Edward Jones practice teams, is one example of a tool designed to make personalized financial education accessible at scale, Bartak wrote in the Fortune commentary.Early action carries lasting consequences for retirement balancesEdward Jones research highlighted that early contributions carry outsized weight in final balances because compound growth depends heavily on time in the market.Each year of skipped contributions removes a year of compounding from the back end of a worker’s retirement timeline, Edward Jones research found.Edward Jones and Morning Consult research found that 66% of Gen Z workers would be more likely to enroll if workplace plan processes were easier, pointing to employer plan design as a leverage point.Edward Jones research frames workplace retirement plan participation as both a recruiting lever for employers and a compounding opportunity for young workers.Related: Paycheck panic is changing work/life balance for Gen Z