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Gen Z builds early retirement savings, with one Fort Lauderdale saver at $300,000
The profile says Natalie Baddour, 26, puts 50% of each paycheck toward retirement and has saved $300,000 so far, even as housing costs remain high.
A new profile highlighted a trend some commentators call “retirement maxxing,” where younger workers prioritize retirement savings early rather than focusing on day-to-day spending. Yahoo Finance points to Fort Lauderdale, Florida, saver Natalie Baddour, 26, who has accumulated $300,000 so far.
Baddour, featured in a Bloomberg story, told Bloomberg she started saving aggressively while young because it felt key to building the life she wants. Yahoo Finance also notes she is saving despite economic pressures, pointing to higher unemployment, low wages, and a high cost of living reported by the World Economic Forum.
According to the profile, Baddour saves 50% of every paycheck from her job at pet supply company Chewy Inc., and she follows a tight budget. The story says she splits rent with a roommate, eats at home most of the time, drives a car that is nearly as old as she is, and is managing living costs even as Fort Lauderdale rent is described as 77% higher than the national average.
The article also says Gen Zers began investing in retirement accounts as early as age 19, and cites Charles Schwab survey findings that teens as young as 13 are interested in investing, with Yahoo Finance adding that by 2024 Gen Z had three times as much invested in 401(k)s and other retirement accounts as Gen Xers at the same age.