Why are people still working past 75?
The decision to continue working well into the traditional retirement years is a complex one, influenced by a mix of financial, health, and personal factors. For some, it is a choice driven by purpose, while for others, it is a necessity fueled by economic realities.
Financial necessity and security
One of the most significant motivators for working past 75 is financial. The retirement landscape has changed dramatically over the decades, with the decline of traditional pensions in favor of 401(k) plans. Many older adults find their retirement savings insufficient to cover the rising costs of living, healthcare, and extended lifespans.
- Insufficient savings: A substantial portion of older workers do not have adequate retirement savings, forcing them to continue working to cover expenses.
- Higher costs: Healthcare expenses and other costs tend to increase with age, making a supplementary income source necessary to maintain a comfortable lifestyle.
- Social Security maximization: Delaying the collection of Social Security benefits can significantly increase the monthly payout. Working longer allows individuals to wait until age 70 to maximize their benefits.
Health, purpose, and social engagement
Financial reasons are not the only driver. Many older adults who are healthy enough to continue working choose to do so for personal fulfillment. Research shows that staying engaged and active can have significant health benefits.
- Mental and physical health: Studies have linked working past 65 with improved cognitive function, lower rates of depression, and a reduced risk of death. The mental stimulation and routine of a job keep the mind agile.
- Sense of purpose: A job can provide a crucial sense of purpose, identity, and structure to daily life that many retirees find they miss. It offers a way to feel useful and contribute to society.
- Social connections: The workplace provides a built-in social network, which helps combat loneliness and social isolation. Continued interaction with colleagues of different ages can be particularly beneficial.
The modern senior workforce: Opportunities and challenges
The profile of the older worker is evolving. Many are not in physically demanding roles but rather transitioning to more flexible, less stressful positions. However, the path isn't without obstacles, and the experience varies greatly depending on the individual's health and financial situation.
Opportunities for older workers
- Valuable experience: Older workers bring decades of experience, expertise, and a strong work ethic to the table. This institutional knowledge is highly valued by many employers.
- Flexible work: The rise of remote work and the gig economy has created more opportunities for flexible work arrangements, such as part-time or consulting roles, that appeal to older adults.
- Mentorship roles: Senior workers can serve as valuable mentors to younger employees, helping with knowledge transfer and bridging generational divides within an organization.
- Bridge employment: Many transition to less stressful or part-time jobs—sometimes called "bridge jobs"—that serve as a stepping stone into full retirement.
Challenges for older workers
- Ageism: Older workers frequently face discrimination in hiring, promotions, and training opportunities. Many employers hold incorrect stereotypes about an older worker's adaptability and technological skills.
- Health issues: While many are healthy, the prevalence of age-related health issues, chronic conditions, and slower recovery from injury can present challenges. Accommodations may be necessary.
- Technological gaps: Rapid technological advancement can be a hurdle, though many older workers are eager and capable of learning new skills, especially with proper training and support.
- Caregiving duties: A growing number of older adults are also caregivers for their own aging parents, spouses, or even grandchildren, which adds to their responsibilities.
Working past retirement: Choices and considerations
| Feature | Working by Choice (Lifestyle) | Working by Necessity (Survival) |
|---|---|---|
| Primary Motivation | Personal fulfillment, purpose, social engagement, using skills. | Insufficient retirement savings, rising costs, covering debt. |
| Financial Status | Already have sufficient savings; work provides extra income for travel or hobbies. | Dependent on current income to cover basic living expenses. |
| Job Type | Often flexible, part-time, or bridge employment in a preferred field. | Could be demanding, physically taxing, or a gig economy role to make ends meet. |
| Work-Life Balance | High degree of control over hours and workload, prioritizing flexibility. | May have little control over schedule and feel pressure to work despite physical limitations. |
| Emotional Impact | Increased satisfaction, happiness, and sense of identity. | Can lead to increased stress, burnout, and emotional strain. |
| Health Considerations | Use work to stay physically and mentally active; prioritize health. | Potential to negatively impact health if job is physically demanding or stressful. |
Conclusion
As life expectancy increases and retirement patterns evolve, it is increasingly common to find people working well past the age of 75. This growing segment of the workforce is not a monolith; it includes individuals who choose to work for purpose and social connection, as well as those who must continue for financial survival. The modern landscape offers more flexibility, with a shift toward bridge jobs and part-time roles that allow older adults to leverage their extensive experience. However, persistent challenges like ageism and health considerations must be addressed by both employers and policymakers to create truly inclusive workplaces. The growing number of seniors in the workforce signals a fundamental change in how society views later life, moving beyond the traditional image of full retirement towards a more active, purpose-driven model.
Learn more about policies supporting older workers and financial planning strategies at the National Council on Aging website.
