Brief #6 in the series Perspectives on Productive Aging
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While the likelihood of working declines with
age, those who remain on the job enjoy it more
and worry about it less. Many Americans ages 65
and older have found ways to work for themselves,
with part-time hours and limited physical
demands. Whether earning a lot or a little, a positive
work attitude is pervasive among those
who could retire but choose, for different reasons,
to continue in the labor force.
Recent studies highlight the benefits of work
at older ages. Some document the financial benefits
for older adults who earn additional income
and accumulate more
wealth (Butrica et al.
2004). Others highlight
the benefits to
society if older adults
delay their receipt of
social insurance benefits
(Butrica, Smith,
and Steuerle 2006).
Other studies find
that longer working
lives help most people
maintain their wellbeing
(Calvo 2006).
Some data suggest that older adults would
like to continue working. A 2003 AARP survey of
employed adults age 50 to 70 reports that 63 percent
of preretirees plan to work at least part time
during retirement. Watson Wyatt, a global consulting
firm focused on human capital and financial
management, reported in 2004 that 1 in 3
workers age 55 and older would continue working
longer than otherwise planned if they were
offered a phased retirement option.
Recent labor market trends also suggest a
desire to work longer. Labor force participation
rates among adults age 55 and older began increasing slowly in 1986, following a fairly
steady decline between 1950 and 1985 (Bureau of
Labor Statistics 2005). This increase in work effort
could reflect a personal desire to work longer,
economic necessity, an increase in the number of
jobs available for older adults—or a combination
of all three.
This Perspective offers additional insight into
work at older ages. Data from the 2002 Health
and Retirement Study (HRS)1 are used to examine
job characteristics and attitudes about work
among adults age 60 and older and to explore
whether richer and poorer workers differ.
Findings include substantial increases in the
number of working adults who report being selfemployed
as age increases. Also, adults working
past their normal retirement age of 65 say they
enjoy work even more than workers age 60 to 64.
Also, remarkably few differences in attitudes
about work exist across the income scale. The
results suggest that the vast majority of adults
working at older
ages feel satisfied
with their work.
More knowledge
about these workers,
their job characteristics,
and their
outlook on work
could provide guidance
for policymakers
seeking to
extend work lives.
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Disclaimer: The nonpartisan Urban Institute publishes studies, reports, and books on timely topics worthy of public consideration. The views expressed are those of the authors and should not be attributed to the Urban Institute, its trustees, or its funders.
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