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Trend: 60 and still working

By Jennie L. Phipps · Bankrate.com
Sunday, February 3, 2013
Posted: 6 am ET

More people between ages 45 and 60 are planning to continue to punch the clock, letting go of the idea that turning 60 means a leisurely retirement life, according to a report released Friday by the nonprofit research firm, The Conference Board.

The report, which was based on data from the Conference Board Consumer Confidence Survey, found that 62 percent of workers between the ages of 45 and 60 plan to delay retirement. That's up from 42 percent in 2010.

Money -- or lack of it -- is what's motivating people to revamp their retirement planning. According to the survey, in 2012, 62 percent of  people age 45 to 60 experienced a 20 percent drop in the value of their financial assets since 2008. That's compared with only 42 percent who faced this problem in 2010. In his blog, the study's co-author Gad Levanon, director of macroeconomic research for the firm, points out other likely contributing factors, including low interest rates that make it hard to live on investment income.

I thought this report had a negative tone, but it is hard to see the downside to delayed retirement. Being able to decide to stay on the job is a high-class dilemma. The Conference Board pointed out that workers who have a bachelor's degree or higher are more likely to delay retirement than less-educated workers. Business owners are more likely to delay retirement than their employees. And workers in highly paid management and professional positions are more likely than anybody to keep working.

On the other hand, government and education workers with old-fashioned defined benefit pensions tended not to delay retirement at all.

More older workers means more people paying into Social Security instead of collecting it. It also means fewer people dependent on cash-strapped Medicare. And people who work have more money to spend on job-producing goods and services than those who are cutting back to live on fixed incomes.

All in all, continuing to collect a paycheck is not a bad thing.

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6 Comments
Tim
March 06, 2013 at 12:50 pm

Nancy - you say "
it is eaiser to stay on WALFARE and have more kids, cause we get more money,cell phones, rent, groceries, electric, heating,automobiles,BINGO and CASINOS and smokes, medical care, and they pay NOTHING, plus they still get a check to buy the drugs"
Have you ever been on "WALFARE"? I'd be surprised if you have, because you have some very twisted ideas about it. Ask someone who is or has been on it - it's not fun being perpetually broke and living in a place where jobs are nonexistant and crime is frequent, where most welfare recipients are. You've been listening to the propaganda BS on AM talk radio or somewhere. Go down to an inner city area and ask somebody so you'll know the realities.

Nancy
February 06, 2013 at 1:13 pm

My husband age 79 and myself 73 are still working. The stock market crash took most of our 401k's. The rest went to keep us when my husband had his heart attack and his open heart surgery. As far as the younger people needing jobs ??? There are jobs to be have but most everyone wants to start at the top,so as to start at the bottom it is eaiser to stay on WALFARE and have more kids, cause we get more money,cell phones, rent, groceries, electric, heating,automobiles,BINGO and CASINOS and smokes, medical care, and they pay NOTHING, plus they still get a check to buy the drugs.So just saying

joan seiffert
February 05, 2013 at 1:30 pm

What age can u you get as is it 60 or 62

freebird
February 03, 2013 at 5:48 pm

Today's low interest rates give new meaning to the term "fixed income". Seems to me the sins of excessive debt of the past are being paid by the people who are staying on the job longer than they had planned because their nest eggs can't safely earn enough. Continuing to collect a paycheck because you want to is fine, but doing it because you have to I think is a bad thing.

Sheila
February 03, 2013 at 3:57 pm

What's the upside about working if you are burnt out ir dislike your job?

John
February 03, 2013 at 10:37 am

Of course it will make it harder for younger workers to fill the positions not being vacated by older workers.