Today I Learned...

Key Takeaways:
  • The average retirement age is steadily rising
  • Older adults are increasingly returning to work after the pandemic
  • Many senior citizens return to the workforce for various reasons, including financial concerns and a desire for social interaction
T

he retirement age is going up in America. People are working longer and retiring later than ever before.

The average retirement age has been going up for many years.

It's no secret that Americans are retiring later in life.

Over the past few decades, the average retirement age continues to increase. According to AEI, over the past 30 years, the average retirement age has risen from 62 to 65. The average retirement age for men is 64 and for women an average of 65.

Many of those who retired during the pandemic have gone back to work.

It's true that many Americans are retiring later in life. They're working longer, and many of those who retired during the pandemic have gone back to work. They were forced to retire early, but many are now returning to work with their experience and expertise intact.

Lots of short-term workers retired early by choice.

There was a lot of talk about the "retirement crisis" in the months following the pandemic. But as we've seen, many Americans didn't really retire at allÔÇöthey simply stopped working full-time, and many continued to work part-time or freelance jobs. This isn't surprising, given that only around 20% of Americans actually had 401(k)s or other savings accounts in 2020.

But what's more surprising is that even those who did have good retirement plans were still able to retire early if they wanted to. Short-term workers (those who worked for less than a year at a time) were among those most likely to leave their jobs early during this period because they could collect unemployment benefits for up to six months before having to return home and get another job (or go back into school).

Delayed retirement is becoming more common all over the world.

The trend isn't just happening in the United States, or even in developed countriesÔÇöit's happening everywhere. In fact, later retirement has been found to be associated with longer working lives and greater productivity among older workers in Europe and Asia.

Why exactly are people are working longer?

The reasons for people working longer may be different depending on who you ask.

Some will say it's because they don't have enough money saved up for retirement or because they need the money now. Others will say they want to stay active and productive later in life. But whatever your reason might be, chances are pretty good that you'll want to keep working even after you've reached what used to be considered "retirement age."

Learn more: Why You Should Keep Working after You Retire.

The fact that people are retiring later in life is not surprising, but it does show a lot of signs of change.

The economy has been recovering from the pandemic for several years now, which means that many people who retired during the crisis are now returning to work. This trend is not limited to just America either; many countries around the world have seen an increase in delayed retirement as well. This trend will only continue as more economies recover from their financial troubles and workers want to stay active longer than ever before.

Looking to make money during your retirement years? Read here:

Posted 
Sep 3, 2022
 in 
Work
 category