Is The Average Retirement Age Increasing?
10 Apr 2015
Many Americans appear to be giving up on retirement. It’s a sad fact, but there is evidence that seems to back this up. According to a recent poll by the Associated Press, from 2012 to 2014, the average actual retirement age among retirees rose from 59 to 62. Another recent study from Gallup projected that 80% of Americans over 50 will continue to work longer. According to the Pew Charitable Trusts, 21% of the 7,000 households they surveyed said they are never planning to retire.
There are many reasons why this trend seems to be increasing, and not all are bad. The idea of just resting or slowing down is not something a lot of people think about anymore. People are living longer and they often want to stay active well past their “retirement age”. The fact that families with a head of household ages 55 or older that carried debt increased from 2010 to 2013 didn’t help either. Many people work longer, or get a job after they retire to cover bills and other expenses. Things like poor savings habits and wanting to stay on company health insurance add to longer working years as well.
So, if retiring at 62 with a pension and a gold watch is your vision of retirement, you might want to rethink your retirement. You may have some better reasons to continue to be productive in the workforce.
Jeffrey Johnston, ChFC
Investment Advisor Representative
Securities offered through Registered Representatives of Cambridge Investment Research, Inc., a Broker/Dealer, Member FINRA/SIPC. Advisory services offered through Cambridge Investment Research Advisors, Inc., a Registered Investment Advisor. Cambridge and Premier Investments of Iowa, Inc. are not affiliated.