Working late...in life.

A recent article in the Wall Street Journal seemed to be describing older people lifestyle. 
The article examined why elderly folks keep working, or have to work, well into their normal retirement years. 

According to figures collected in 2010, 5.6% of Americans over the age of 75 still seek some form of work.  That's up from 2.6% in 2006. As of  December 2011 there were 1.31 million people ages 75 or older working – a 25% jump from 2005.  
When the 78 million baby boomers get to their seventies, the figures will expand even more. Those seeking employment could be 10% by 2018. 

Why is this happening and what impact will this trend have on our economy and society?  
It may be that people who were born in the 1930s spent much of their money in their early lives having a good time and didn’t save as much as their parents did.  This might be true, however, the present economy had huge impact on savings and investments.  Many 70-year-olds thought they saved enough to enjoy a comfortable retirement only to see their investments dwindle over the past five years. I'm sure these people are not happy about having to work to be able to afford to live the lifestyle they wanted to enjoy at retirement.

Few of the people in their seventies to their eighties may have not imagined that they would live as long as they have.  
Our healthcare system as imperfect as it is, has provided longer and healthful living than we could have ever ithought possible just a short while ago. Longevity tables predict that many boomers may live through their eighties. Those reaching age 100 may surpass the 100,000 presently alive. Active lifestyle will allow many baby boomers life into the mid-twenty-first century.

Unfortunately Social Security and pension plans did not keep up with longevity. Many retirees are realizing that their retirement planning was too optimistic and have come to understand that they may want to continue working because we still enjoy life and are not ready to slow down or because they may need the income. In 1981 Social Security paid 52% of an average worker’s pre-retirement earnings. Twenty years later, in 2001, the amount shrunk to 39% and will probably continue to drop. 

Insurance can have a bigger role in future planning for upcoming generations. Insurance premium, if started at a young enough age, can generate generous returns at an older age. Permanent Life Policy of $500,000 can offer great security when purchased at young age with a payout at retirement age.
Some people enjoy keeping up with today’s challenges in the working world in an effort to stay young and alert as long as possible and today’s work environment keeps them on their that way. 


Working in our seventies can be a choice or a chore. Many times it boils down to choices we've made with our savings and the amount of risk we've taken. Stay well and prosper.

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