Many retirement-age Americans are planning to continue working — forever.
Some 51% of employed Americans 65 or older say they expect to work “indefinitely,” according to a recent report from Asset Preservation, a financial advisory firm. Meanwhile, about 6 in 10 respondents say they plan to work “at least five more years” before retiring, putting the earliest age they would consider retiring at 70.
“Financial insecurity and related concerns are a driving reason for this decision, but they’re only part of the bigger picture,” says Stewart Willis, financial advisor and president of the firm, in the report. “Some people continue to work because they’re not quite ready to quit. Others find their job gives them a sense of purpose or helps them feel valued or mentally engaged.”
The analysis is based on the firm’s poll of 1,000 Americans aged 65 to 99 who are still working either part- or full-time.
Working through retirement: a new norm?
Asset Preservation’s report provides a snapshot of the motivations of those who are working through their retirement years.
Why older Americans are working so late in life seems to be a fairly even split between necessity and choice. About one half works to cover basic living expenses, like food, health care and housing, while the other half chooses to work to stay mentally and physically active.
For those working out of financial necessity, the picture can be grim. A 2024 report from the nonpartisan Government Accountability Office found that 49% of Americans 55 and older have no retirement savings whatsoever. And it’s not because they intend to fall back on pensions: Defined-benefit plans have become rare, with only 17% of that group enrolled in one.
“Pensions have become much less common as defined-contribution plans, such as 401(k)s, have become the primary type of retirement plan,” the report states. “This shift has increased the risks and responsibilities for individuals in planning and managing their retirement.”
But this change in the U.S. retirement system is part of what’s pushing many Americans to continue working well into their 60s and 70s. At the same time, some older folks actually want to continue working.
“For many Americans, the definition of retirement seems to be changing from ‘retiring from work’ to ‘finding a role that’s more meaningful to me,’” John Roberts, an executive vice president at Northwestern Mutual, said in the firm’s 2025 retirement study. “Instead of golf, cruise boats and cocktails, large percentages see themselves employed at an organization or a cause that they believe in.”
A separate Northwestern Mutual survey investigated why people choose to work past 65, and the top responses were that they enjoy their job and want to continue it, want disposable income or simply want to stave off boredom.
Retirement expectations versus reality
Overall, working late in life remains relatively rare and could be an overblown fear fanned by the economic woes du jour.
According to the nonprofit Employee Benefits Research Institute, or EBRI, only 29% of retirees in 2025 reported actually having worked during their retirement for pay — far below the expectation from workers, of which 75% said they planned to work during their retirement. These figures have remained largely unchanged since 1999.
Similarly, EBRI’s research shows that Americans typically overestimate the age in which they retire. The latest report found that the median expected retirement age is 65, but the actual median starting age of retirement was 62.
Economic and political crises — such as high inflation or dwindling Social Security funds — can distort retirement expectations. When inflation ticks up, for example, the amount of money Americans believe they’ll need to retire balloons. (It’s currently $1.3 million, far more than what most people typically retire with.)
And Social Security’s impending insolvency heightens fears that the program won’t be around to support future retirees. (The truth: Even in the unlikely event that Social Security funds run dry, the program will still pay out benefits, albeit at a reduced rate.)
Still, if you want to ensure that you don’t spend your golden years working 9-5, preparation is key. While you may not need over $1 million in your 401(k) to retire, you will want to build a healthy savings to round out your Social Security benefits.
The sooner you start saving, the better.
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According to a recent report from financial advisory firm Asset Preservation, 51% of employed Americans aged 65 or older expect to work indefinitely. The report also found that about 6 in 10 respondents plan to work for at least five more years before retiring, with the earliest age for retirement being 70. However, the decision to continue working through retirement is not solely driven by financial insecurity. Some individuals find their job gives them a sense of purpose or helps them feel valued and mentally engaged.
The report is based on a survey of 1,000 Americans aged 65 to 99 who are still working either part- or full-time. It sheds light on the motivations of those who are choosing to work through their retirement years. For many, the decision is a combination of necessity and choice. About half of the respondents work to cover basic living expenses, while the other half choose to work to stay mentally and physically active.
However, for those working out of financial necessity, the outlook can be bleak. A 2024 report from the Government Accountability Office found that nearly half of Americans aged 55 and older have no retirement savings. This is due in part to the decline of defined-benefit plans and the rise of defined-contribution plans, such as 401(k)s, which place more responsibility on individuals to plan and manage their retirement.
But this shift in the retirement system is also leading to a change in the definition of retirement for many Americans. Instead of simply retiring from work, many are seeking roles that are more meaningful to them. According to a retirement study by Northwestern Mutual, a large percentage of Americans see themselves employed at an organization or cause they believe in, rather than spending their retirement on leisure activities.
A separate survey by Northwestern Mutual found that the top reasons for working past 65 include enjoying their job, wanting disposable income, and wanting to stave off boredom. This suggests that for many, retirement is no longer seen as a time to relax and unwind, but rather as an opportunity to continue pursuing fulfilling work.
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