Why Most Americans Are Financially Behind by Age 35–44 — And What to Do About It
- Barry Group
- 1 day ago
- 4 min read
🚨 A Growing Financial Crisis for Working Americans
A 2024 Investopedia study exposes a critical truth: Americans aged 35 to 44 are not saving enough to sustain their futures.
Average retirement savings: $141,520
Median retirement savings: Only $45,000
Median checking/savings account balance: Roughly $7,500
This is especially troubling, as this age range typically represents prime earning years for professionals and families.
According to Fidelity, you should have at least 3x your annual salary saved by age 40 and 4x by age 45. If you earn $75,000 per year, that’s at least $225,000–$300,000—a figure far beyond what most people have.
Without a change in strategy, this generation risks arriving at retirement unprepared, overextended, and vulnerable.
🧓 Social Security Alone Isn’t Enough
Far too many Americans assume Social Security will cover their basic needs in retirement.
But here’s the reality:
Average monthly benefit for retirees: $1,999.97
Average benefit for all Social Security recipients: $1,855.57(Source: SSA.gov, 2025)
Even with full benefits, retirees receive just 40% of their pre-retirement income on average. But most experts agree retirees need at least 70–80% to maintain their standard of living.
The Result: Growing Senior Poverty
10.2% of Americans age 65+ live below the federal poverty line
14.2% fall below the line after accounting for healthcare expenses and inflation
Nearly 42% live below 200% of the poverty threshold(Sources: U.S. Census Bureau & Kaiser Family Foundation, 2024)
That means millions of retirees are living check to check, skipping medications, or delaying food purchases. This is not financial freedom—it’s survival.
🔍 Why Traditional Savings Methods Are Failing
Let’s break down a commonly used "safe" savings tool: Certificates of Deposit (CDs).
CDs are offered by banks as a secure place to park cash. While they’re guaranteed and FDIC-insured, their limitations are significant.
Feature | Certificates of Deposit (CDs) | High-Value Cash Strategies (e.g., Cash Value Policies) |
Interest Rate | Fixed (3–5%) | Guaranteed + Potential Dividends (4–6% historically) |
Access to Funds | Penalty for early withdrawal | Access via policy loans or withdrawals |
Taxation | Interest taxed annually | Tax-deferred growth; tax-free access |
Duration | 6 months to 5 years | Lifetime growth & benefits |
Inheritance Benefit | None | Tax-free legacy paid to beneficiaries |
Flexibility | Limited | High (education, retirement, emergencies) |
If you’re using CDs or basic savings accounts as your primary strategy for long-term financial goals—you're saving, not growing your wealth.
The key to lasting financial stability is protection, liquidity, and growth—all in one place.
🧱 Why a Financial Foundation Matters More Than Ever
Before you invest in the stock market or buy more real estate, it’s essential to have a core financial foundation in place.
Here’s what that foundation should do:
✅ 1. Protect Your Income
If your ability to earn an income disappears tomorrow, how will your family maintain their home, pay bills, or stay on track financially? Most people don't realize the largest asset they have is their ability to earn over time.
Protecting that income is step one.
✅ 2. Grow with Guarantees
Markets go up and down, but your foundational dollars shouldn’t be at risk. Instead of chasing returns, a strong foundation should offer steady, tax-deferred growth that’s contractually guaranteed.
✅ 3. Provide Emergency Liquidity
Emergencies happen—job loss, medical issues, family needs. Your financial foundation should provide liquid access to capital without penalties, fees, or taxes. You shouldn't have to drain your 401(k) or go into debt during a crisis.
✅ 4. Supplement Retirement Income
When Social Security falls short (as it often does), your foundation should step in to fill the gap. That means providing a tax-free income stream you can count on for life.
✅ 5. Transfer Wealth Tax-Free
True financial strategies look ahead to the next generation. Your core assets should include vehicles that pass on wealth quickly and without probate or taxes, ensuring your family doesn’t start over.
🏡 A Better Way to Build Wealth
Many of the wealthiest families in America follow a simple principle: Protect, then grow.
Before they build portfolios or speculate on markets, they set up structures that:
Offer guarantees
Provide tax advantages
Serve multiple purposes: income protection, savings, retirement, and legacy
These strategies are not just for the ultra-rich. They’re available to every working household—but only if you’re shown how to use them.
🔓 Stop Renting Your Financial Plan—Start Owning It
If your entire strategy relies on:
401(k)s tied to market performance
CDs or savings accounts with minimal growth
Hoping Social Security will be enough
Then you’re renting your future—with limits, fees, and risk.
The financially secure own their strategy. They build plans that:
Provide income no matter what happens
Grow consistently and predictably
Create wealth that lasts beyond their lifetime
📞 Take Control of Your Financial Future Now
At Barry Group & Associates, we specialize in building complete, tax-advantaged financial strategies for individuals, families, and business owners. If you’re behind on saving, or if your current strategy lacks protection, liquidity, or long-term security—we can help.
💼 We help you:
Maximize your income and protect it
Create lifelong financial foundations
Build retirement income without market risk
Pass on tax-free wealth
👉 Call 866-540-9122 or visit www.barrygroup.net to schedule a no-obligation Discovery
Call with an elite advisor today.
Your future shouldn't be built on hope—it should be built on strategy.
🔎 References
Investopedia: How Much Money Americans Really Have Saved by Age 35–44
Social Security Administration: 2025 Average Benefits
U.S. Census Bureau: Poverty Among Seniors
Fidelity Retirement Benchmarks
Bankrate: Certificate of Deposit Basics
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