1 in 3 Americans have no emergency savings—while boomers’ $2,000 cushion dwarfs Gen Z’s $400, survey finds

That’s according to a new survey by Empower, a retirement and financial services company, which found 32% of Americans have no emergency savings set aside. But not everyone is equally short on cash: Gen Zers have a median of $400 in their crisis funds, while boomers have saved up to five times as much. The online survey was conducted from June 3–5, 2025 and surveyed 2,202 Americans aged 18 and older. It was weighted to be nationally representative of U.S. adults. 

Financial advisors recommend saving at least 20% of your monthly paycheck, but this has become increasingly difficult due to rising inflation, high interest rates, and stagnant wages. Americans across the board have little left over each month after their necessities have been paid for. 

“More than half say saving for emergencies feels ‘almost impossible’ with how expensive everything is right now,” the study said.

A lack of emergency savings is about to become a real issue for many people, as prices continue to rise due to inflation. In August, consumer prices rose 2.9%, above the Fed’s 2% target, according to the Bureau of Labor Statistics’ report released last week. With elevated interest rates and rents at an all-time high, housing takes up a major chunk of people’s monthly spending. 

“Close to half (46%) say their emergency savings account has less money compared to a year ago and more than 2 in 5 (42%) say their savings wouldn’t help them if they lost their job today,” the survey found.

Gen Z is debt-ridden—and unemployed

Gen Z has found it especially difficult to manage the cost-of-living crisis while being expected to have money left over to save. 

With the most prohibitive debt burden across all generations and high rates of unemployment, young people are overwhelmed. While the younger generations are historically generalized as irresponsible spenders—and that’s true, that they are more likely to shell out for food and travel— but the cost of necessities, particularly student debt, make up a significant chunk of their monthly spending. They’re also starting to save earlier than previous generations, but they’re setting aside less as their debts reach an all-time high.

A Newsweek poll found Gen Zers, on average, face over $94,000 in debt, divided between credit-card and student-loan obligations. For millennials, that number is $60,000;for Gen X, it’s $53,000. Simply: The older you are, the more money you’re likely to have in your emergency savings. And that’s bad news for Gen Z.

Natalia Brown, chief compliance and consumer affairs officer with National Debt Relief, told Fortune last month that Gen Zers are entering their first jobs on a shaky financial footing: “Many [Gen Zers] are entering adulthood with a heavy financial burden: student loans, credit card debt, and rising costs of living.”

“Their debt feels heavier because it hits earlier—right as they’re launching their careers,” she added.

Instead of paying off their formidable debts or pursuing traditional markers of success like buying a house, this generation is confronting another crisis: They’re struggling to find jobs that could even help them chip away at their mounting expenses. 
Entry-level hiring has plunged to an all-time low, as tariff uncertainties stall companies’ hiring plans and AI eliminates more entry-level roles than ever before.