Generation X Is Retiring:

Who Has Their Plans In Order?

By Paul Nicol

I remember the moment vividly. I was enjoying a break over Christmas and the New Year period, and during a quiet period scrolling online, the following news snippet popped up on my news feed.

“With the arrival of 2025, the first members of Generation X turn 60, marking the start of their collective journey towards retirement”.

Upon seeing the news feed, I recall my initial reaction. I’m Generation X and too young to think about retirement. That’s for the baby boomers! By coincidence, a few nights later, at dinner with some friends, the topic of retirement was raised. I am used to having conversations about retirement; in fact, I talk about retirement almost every day with clients. But at dinner with friends around my age, it felt odd, but I listened intently as our friends carefully detailed their plans.

Then, the inevitable question was asked. When are you planning to retire, Paul? My first reaction was to defer the question to my wife and then make a joke about the discussion around retirement. I was a little embarrassed to talk about it. Pressed a little more, I finally confessed – I don’t know. As the conversation evolved, it became clear that a precise retirement date wasn’t necessary. However, our approach to household finances had been too focused on the present and not thinking far ahead.

My wife (Lisa) summarised it well. Paul, you are a Financial Adviser and cannot explain our retirement plans. Are we going to be able to retire comfortably?

To recap, Generation X was born from 1965 to 1984, and I am in the middle of that age group. By now, you can guess my age.

The news headline in early 2025 and the discussion with our friends sparked me into action. Lisa and I sat down and started to discuss what retirement looked like. We both agreed that we would like to be in a position at 60 to retire, but we didn’t see ourselves stopping work at 60. We also chatted extensively about our retirement, with goals set about the likely income we wanted and how our lifestyles would look. What became immediately evident was my need for hobbies, so I wouldn’t always step on Lisa’s toes. It was also apparent that we had a big bucket list of things we wanted to do in retirement, so we needed to knuckle down.

We then created a financial plan. We set a goal for the level of wealth required to generate our desired retirement income. We committed to increasing our savings, additional super contributions, and updating our estate planning and personal insurances. A big item for us was also helping our children buy their first house. While not an immediate need, it was clear we needed to be more purposeful with how we could achieve this. We also love the Queensland lifestyle with its beaches and weather. In due course, we could see ourselves spending more time in Queensland, particularly during winter, so we wanted to include the possibility of a Queensland property purchase in our financial plan. And we wanted to make sure we could help our parents if required.

The good news is that we now have a clear plan for what retirement may look like. We can reach our goals with a financial plan and regular monitoring.

The bottom line is that retirement is looming quickly if you are Generation X. There is no excuse not to plan. We also have many clients with Generation X children, and reminding your children that they need to have their plans in place is the best advice you can give them.

What’s the one constant regret I hear when chatting with clients?

“I wish I had started earlier.”