A recent study from artificial intelligence (AI) platform Pearl reveals that nearly two-thirds of Gen Z and millennials would follow AI-generated retirement advice based on their health, financial, and personal data. This trend highlights a significant generational shift in financial planning approaches.
As Moira Corcoran, CPA and Finance Expert at Pearl.com, explained: “As digital natives, millennials may tend to put more faith in technology than the generations before them and have a proclivity for easy, on-demand solutions.” This preference for technology extends beyond convenience—41% of Americans report feeling more comfortable discussing finances with AI than with human financial advisors, according to The AI Trust & Accountability Report from Pearl.
The appeal is understandable. AI offers privacy for sensitive financial discussions without fear of judgment, 24/7 availability, and no appointment scheduling. For younger generations who view retirement as a distant milestone, the immediacy and accessibility of AI solutions are particularly attractive.
However, some experts warn this reliance could have serious consequences. “GenAI’s faulty advice may continue to financially stunt this generation, further pushing off their retirement, home ownership, and savings growth,” Corcoran cautioned.
According to the Pearl report, cited recently in BenefitsPro, there is a stark generational divide in AI trust: 51% of millennials prefer AI over financial advisors, compared to only 29% of baby boomers. Similarly, while 50% of Americans would trust AI to predict their retirement timeline, 58% of boomers would reject AI retirement advice due to trust concerns.
Usage patterns also correlate with income levels. Higher-income households ($100,000+) use AI approximately 10 times weekly, while those earning $45,001-$55,000 use it about 6 times per week.
Pearl emphasizes that AI should complement, not replace, human financial planners. The ideal approach is hybrid—using AI for data analysis and quick insights while consulting human experts for complex decisions and long-term strategy. Retirement planning encompasses numerous life milestones beyond simple saving: home buying, family planning, career transitions, healthcare costs, tax planning, and estate considerations all require nuanced guidance.
As Corcoran noted: “The future of intelligence is not about choosing human intuition or AI precision. It’s about uniting them seamlessly.”
This research underscores the importance of developing solutions that leverage both technological efficiency and human expertise to effectively serve the changing preferences and differing priorities and needs of today’s multi-generational workforce.
