Planning on Working In Retirement?
The Employee Benefits Research Institute (EBRI) conducts an annual Retirement Confidence Study. The study consistently finds that workers are far more likely to expect to work for pay in retirement than retirees are to have actually worked. In the 2017 study, 79 percent of workers indicated that they expect work in retirement, but just 29 percent of retirees reported that they have worked for pay in retirement. That’s a big gap between planning to do something and actually doing it.
BTW, almost all retirees who work for pay in retirement give a positive reason for doing so, for example over 90% wanted to stay active and involved and 82% enjoyed working. However, financial reasons also played a role in that decision, such as:
- Wanting money to buy extras,
- Needing money to make ends meet
- A decrease in the value of their savings or investments, or
- Keeping health insurance or other benefits.
Bottom line: if working for pay in retirement is part of your retirement planning, you may want to take steps now to make sure you are part of the 29% of retirees who actually end up working after their official retirement day.