Plan to Work in Retirement? Think Again

Photo (cc) by pedrosimoes7

If your notion of retirement is to continue to work — or even to gradually ease out of work — it’s time for a backup plan.

Nearly half — 48 percent — of the retired members of the baby boomer generation who aren’t currently employed would like to be working but cannot do so, according to a recent report from the Bankers Life Center for a Secure Retirement.

Health limitations (35 percent) are by far the most common reason why these boomers aren’t employed despite their desire to work. Being unable to find a job (8 percent) and the obstacles posed by the health of a loved one (5 percent) are also factors.

The Bankers Life report — titled “New Expectations, New Rewards: Work in Retirement for Middle-Income Boomers” — is based on two nationwide surveys of middle-income baby boomers. The first survey polled more than 1,000 people, while the second survey featured more than 2,200 respondents.

The Bankers Life study found that 69 percent of retired middle-income baby boomers report having retired earlier than expected — largely due to reasons beyond their control, including personal health, layoffs and loved ones in need of care:

Even for those who expect or want to work as part of their retirement plan, work is not always a guaranteed option.

Bankers Life is not the only institution to argue that medical issues can trip up retirement plans or finances.

For example, the national nonprofit Employee Benefit Research Institute’s latest annual Retirement Confidence Survey found that unexpectedly having to retire sooner than planned — mostly due to health problems or disability –may be part of why Americans find themselves short on retirement savings. (See “The Retirement Savings Gap: Where Do You Rank?“)

Easing out of work is not always an option either, even though recent research from the TransAmerica Center for Retirement Studies, a division of the nonprofit Transamerica Institute, found that 41 percent of workers envision retiring that way.

Such workers want to gradually reduce their work hours while gradually increasing their leisure time, or they want to work in a less demanding, more satisfying capacity.

With these types of retirees-to-be, employers often trip up workers’ plans. The TransAmerica study states:

Nearly a quarter of workers (23 percent) say their employers don’t offer any of the listed ways to facilitate transition. … However, a third of workers (33 percent) aren’t sure what their employer offers, suggesting dialog between employees and employers is necessary.

If you’re worried about retirement, beware of “7 Reasons Why You’ll Retire Poor.”

Like this story? SHARE it on Facebook!

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Read Next
14 Products That Keep Foods Fresh Longer
14 Products That Keep Foods Fresh Longer

We’ve rounded up innovative Amazon purchases to lengthen the life of your favorite foods and beverages.

New Ways to Save Money on Insurance of Every Kind
New Ways to Save Money on Insurance of Every Kind

Tech startups are making it easy to find the best rates for all kinds of insurance policies — and get covered fast.

5 Reasons You Should Work for as Long as You Live
5 Reasons You Should Work for as Long as You Live

These benefits might make you think twice about retirement.

26 Work-From-Home Jobs That Pay $100,000
26 Work-From-Home Jobs That Pay $100,000

These lucrative gigs let you work in your slippers.

11 Signs That You Chose the Wrong Place to Retire
11 Signs That You Chose the Wrong Place to Retire

Health and happiness in retirement rely on some key factors.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Most Popular
9 Things You’ll Never See at Costco Again
9 Things You’ll Never See at Costco Again

The warehouse store offers an enormous selection, but these products aren’t coming back.

11 Things Retirees Should Always Buy at Costco
11 Things Retirees Should Always Buy at Costco

This leader in bulk shopping is a great place to find discounts in the fixed-income years.

Over 50? The CDC Says You Need These 4 Vaccines
Over 50? The CDC Says You Need These 4 Vaccines

Fall is the time to schedule vaccines that can keep you healthy — and even save your life.

11 Senior Discounts for Anyone Age 55 or Older
11 Senior Discounts for Anyone Age 55 or Older

There is no need to wait until you’re 65 to take advantage of so-called “senior” discounts.

11 Household Items That Go Bad — or Become Dangerous
11 Household Items That Go Bad — or Become Dangerous

When you get the impulse to stockpile these everyday items, pay close attention to their expiration dates.

8 Things You Can Get for Free at Pharmacies
8 Things You Can Get for Free at Pharmacies

In this age of higher-priced drugs and complex health care systems, a trip to the pharmacy can spark worry. Freebies sure do help.

7 Ways to Boost Your Credit Score Fast
7 Ways to Boost Your Credit Score Fast

Your financial security might soon depend upon the strength of your credit score.

These Are the 4 Best Medicare Advantage Plans for 2020
These Are the 4 Best Medicare Advantage Plans for 2020

Medicare Advantage customers themselves rate these plans highest.

The 10 Most Commonly Stolen Vehicles in America
The 10 Most Commonly Stolen Vehicles in America

A new model parks atop the list of vehicles that thieves love to pilfer.

19 High-Paying Jobs You Can Get With a 2-Year Degree
19 High-Paying Jobs You Can Get With a 2-Year Degree

These jobs pay more than the typical job in the U.S. — and no bachelor’s degree is required.

The 15 Worst States for Retirees in 2020
The 15 Worst States for Retirees in 2020

Based on dozens of metrics tied to affordability, quality of life and health care, these are not ideal places to spend retirement.

9 Deep Discounts Available on Amazon This Friday
9 Deep Discounts Available on Amazon This Friday

These items are all steeply discounted — but the deals won’t last long.

5 Ways to Get Amazon Prime for Free
5 Ways to Get Amazon Prime for Free

Hesitant to drop $119 a year on an Amazon Prime membership? Here’s how to get it for free.

26 States That Do Not Tax Social Security Income
26 States That Do Not Tax Social Security Income

These states won’t tax any of your Social Security income — and in some cases, other types of retirement income.

10 Reasons Why You Should Actually Retire at 62
10 Reasons Why You Should Actually Retire at 62

If you can, here are several good reasons to retire earlier than we’re told to.

3 Ways to Get Microsoft Office for Free
3 Ways to Get Microsoft Office for Free

With a little ingenuity, you can cut Office costs to zero.

5 Keys to Making Your Car Last for 200,000 Miles
5 Keys to Making Your Car Last for 200,000 Miles

Pushing your car to 200,000 miles — and beyond — can save you piles of cash. Here’s how to get there.

5 Things That Make Life More Meaningful for Retirees
5 Things That Make Life More Meaningful for Retirees

Retirees agree: These are the things that give them purpose and fulfillment in their golden years.

14 Things That Are ‘Free’ With Medicare
14 Things That Are ‘Free’ With Medicare

These services could save you money and help prevent costly health problems.

View More Articles

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Add a Comment

Our Policy: We welcome relevant and respectful comments in order to foster healthy and informative discussions. All other comments may be removed. Comments with links are automatically held for moderation.