The top 5 financial concerns for Americans in 2026

Americans are feeling the squeeze of higher prices for everyday goods and services and economic instability, leading to personal financial anxiety and near-record low consumer sentiment. And many expect 2026 to be even worse. 

As a financial planning professional, I get the highest volume of questions from people I  work with during challenging economic times. What I heard from people over the last year points to some of the major financial challenges people will face in 2026 —  and a path forward. There were five common concerns. 

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1. We are in the midst of a cost-of-living crisis. 
Though inflation may be cooling, the goods and services we rely on — housing, child care, insurance, and food — continue to cost more and more. For many people, higher costs on nondiscretionary spending are making it difficult to maintain the same lifestyle and leading to tighter budgets. 

Expect this issue to persist into 2026, with employees cutting back on "wants" to afford increasingly high-priced "needs." My recommendation: Track your spending to understand your true baseline. A budget isn't about restriction, it's a tool to clearly see where your money is going and how much flexibility you actually have each month. If costs are rising faster than income, look for adjustments that preserve financial stability. Swap name-brand items for generics, shop at lower-costs stores or buy in bulk and research coupons or cash back programs. Adjust your savings, but if possible, don't abandon it entirely and revisit your plan regularly.  

2. People feel immense financial pressure from higher student loan payments.
I've heard from many people that they're feeling anxiety about student loan relief programs winding down and continued uncertainty about policy changes at the federal level. They're seeing higher monthly student loan payments, and changing their monthly budgets to stay on track. With the average student loan borrower now taking 20 years to pay off their loans, this stress is impacting more and more Americans. 

There are a couple ways people can handle student loan payments. If your loans are federal, the first is to explore income-driven repayment plans. You can also consider refinancing your federal or private loan to another private loan, if the terms make sense for your financial situation. Before making any changes, make sure you have a budget in place and understand your cash flow. This will enable you to have a clear picture on exactly how much you can spend on a payment plan. 

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3. Simply put, people are not saving enough for retirement.
There have been a number of recent policy changes impacting retirement accounts, leaving a significant number of employees confused about how much they should be saving, and where. Retirement may seem far off for many, but it's always better to start saving early — and many employees are already behind, particularly younger workers, who are struggling to balance the competing pressures of debt repayment and student loans with long-term saving goals like retirement. 

The best approach is to contribute at least enough to receive your full company match, as long as you're cash-flow positive and still able to make consistent progress on any debt payments. From there, set a goal to increase your contribution by 1-2% each year as your income grows. Retirement savings should be prioritized, especially early in your career because time in the market and compounding can make a meaningful difference over the long term. That said, retirement saving should never come at the expense of basic financial stability. If contributing creates financial strain or prevents you from covering essential expenses, it's okay to pause or contribute less until your cash flow improves.  

4. Caregiving is a major financial pressure — and many feel unprepared.
The sandwich generation — people who are supporting aging parents and raising children at the same time — have unexpected expenses. On top of the financial demands, they're facing increased stress as they manage other elements of care, holding down a job, managing a household and maintaining their own well-being. 

Without proper financial planning support, employers can expect this financial stress to result in increased absenteeism, lower productivity, and in some cases, workplace safety concerns. Education about benefits options, including retirement and savings support, health plan selections, and child care assistance, is the most essential way employers can support these employees' financial well-being.

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5. Many people feel uncertain about how much to invest in the market.
After several strong years in the stock market, some employees may be tempted to invest more aggressively than is appropriate for their risk tolerance. This makes financial education, particularly around diversification and asset allocation more important than ever. 

With these concerns top of mind for Americans as 2026 kicks off, unbiased financial planning advice is more important than ever. Many employers offer tools to support their employees' financial well-being, which are great for employees who don't know where to start. In lieu of those, there are many things employees can do to think proactively about their financial planning, from setting and sticking to budgets to building an emergency fund to determining clear financial goals. This take-charge mindset is the best way to mitigate these concerns and start off 2026 financially fit.