By Naomi Sheehan
Americans are working past the traditional retirement age more than ever before. According to the federal Bureau of Labor Statistics, one in five people over age 65 are working — the highest percentage in half a century.
Economic uncertainty
Unsurprisingly, the economy is the major factor behind the decision to continue working later in life. Millions of Baby Boomers are entering retirement age with inadequate savings or a pension plan that doesn’t cover their cost of living. Some, whose 401(K) pensions were swept away in the 2008 financial crisis, feel they have no choice but to continue working.
A June 2016 survey of 5,100 American workers by global advisory firm Willis Towers Watson found one in four expect to work beyond age 70. According to the survey, “while the average US employee expects to retire at age 65, they admit there is a 50% chance of working to age 70.” Five percent said they didn’t think they’d ever be able to retire.
While the economy poses uncertainty for many people, it isn’t all bad news driving older Americans to work.
Longer, healthier lives
People live longer than they did when the retirement age was set at 65 as part of the Social Security Act back in 1935. Those who are 65 today have a life expectancy several years higher than their parents, and workers with higher education and better healthcare can expect to live well into their 80s.
Retirement obviously has health benefits for workers in strenuous physical jobs like manufacturing, and most retirees enjoy getting away from the daily grind. But research has also shown that continuing to work has health benefits for older people because it maintains social engagement and a feeling of productivity.
Starting a new career
Often, people make a decision to change careers because they don’t like their current job, boss, or company, says Dr. Randall S. Hanson, founder of Quintessential Careers (livecareer.com/quintessential). The first step in making a change is to identify what you do like, not just what you don’t. “What do you really like doing when you’re at work, when you’re at home — in your spare time?” Hanson asks.
Take career assessments. “The key is spending some time rediscovering yourself,” Hanson suggests. Think about skills you already have that might be transferable to a new career. Don’t underestimate the value of experience!
Research careers that match your interests. The Bureau of Labor Statistics’ O*NET Online (onetonline.org) is full of up-to-date information on hundreds of professions.
Visit your local community college and talk to a career counselor about training options. In as little as 6 to 9 weeks, you could earn a certificate to boost your employability with up-to-date skills. Community college advisors can also help you with your resume and job-hunting.
Some programs in in-demand fields like advanced manufacturing and healthcare have partnerships with businesses that will give you a networking edge, if not a foot directly in the door of your next employer.
Box:
Career 2.0
Online resources for your next step:
Encore.org: Careers focused on social engagement and pursuing your passions.
AARP.org/work/working-at-50-plus/: Professional advice, links for job-hunters, and more.
Livecareer.com/quintessential/mature-jobseekers: Resources for career-changers age 50+.
Volunteermatch.org/: Not sure what you want to do? Find a cause in your area.