Talking Points

of respondents in a recent study by Fidelity Investments said they kept their financial resolutions for 2021, up from 58% in 2020. This suggests that actions taken at the start of the pandemic—such as budgeting better and replenishing one’s emergency savings fund—may be growing into permanent habits for many.

1.6 million households engaged in planning interactions with Fidelity during last year’s second quarter alone — a 24% increase over the same period in 2020.


Source: Fidelity Investments, “2022 New Years Financial Resolutions Study”

As households age, overall consumption declines, says a CRR study.
Household consumption declines about 1.5% to 1.6%, on average, every 2 years into retirement. Therefore, 20 years in, households consume about 12% to 13% less than at the start.

Households with poor health tend to consume less, earlier on, as health issues restrict lifestyle. Households with very good or excellent health consume about 1.3% less every 2 years.

The wealthiest households consume about 0.7% less every 2 years. Middle and low-wealth households consume 1.6% and 2% less, respectively, every 2 years.

Source: Center for Retirement Research at Boston College, “Do Retirees Want to Consume More, Less, or the Same as They Age?”