Retired in America

Your Guide to a Confident Retirement

  • Home
  • Personal finance
  • Retirement Life
  • Saving & Spending

Here’s the No. 1 Reason Seniors Work Well into Retirement

October 14, 2019 · Retirement Life

A recent poll has looked at the retirement situation in America, bringing to light some particularly upsetting finds. While we typically think of retirement as a sort of relaxing, golden period of our lives, it turns out that statistically, it’s not fantastic for everyone. 
Out of 10 retirees, 6 have admitted to working into retirement for financial reasons and while that sounds pretty disheartening, wait till you hear the more specific reasons behind this choice. 
Seniors aged 65 to 85 claimed that they simply couldn’t afford retirement and without at least a part-time job, they’d be struggling day to day. Keep in mind that some still even worked full-time in order to stay afloat. Another big reason behind this phenomenon is the fact that they need to work to support their families, which also sheds an interesting albeit disheartening light on our economy. 

The issue of debt is also a very big reason why so many retirees choose to stay in the workforce. Owning money pushes a lot of people into work well beyond their full retirement age and their savings and Social Security simply cannot keep up with it. 
Emergencies, coupled with health care costs can spring up at any moment and keeping up with everything can feel daunting and impossible without a working wage to back it all up. Some seniors might be doing alright financially, but that may also be because of workplace benefits. Without them, some have claimed that they’d simply not be able to remain stress-free. 

A senior woman reviewing retirement savings and financial documents at home.
A focused senior woman reviews her financial documents and savings charts at her kitchen table.

Savings overview

The number everyone’s talking about in 2019 when it comes to health-care costs is $285.000. That’s not a small amount and it feels especially daunting when the study also showed that on average, seniors had saved $133,108 for retirement. That’s not even half of what’s supposed to last through medical care alone, not to mention any other expenses. 
Seniors rely on their workplace to cover a chunk of health, life and disability insurance, so a lot of times leaving the workforce is simply not an option.
Financial advisors typically say you should have 8 times your starting salary by the time you turn 60, so keep that figure in mind when you’re planning out your retirement. 

 

If you find yourself in the same situation, here are a few things to keep in mind:
1. Always keep an eye on your money. Don’t just look at your saving accounts every once in a while. You should stay on top of any investments and profit-sharing plans, not to mention employee stock ownership plans from your office. 
You should always be aware of every last dollar, including any benefits you’re entitled to. That’s why it’s crucial that you’re aware of your full retirement age, calculated based on your birth year. So don’t take just anyone’s words on when that is and look it up for your own as some people might experience it sooner or later even if they’re close in age.
2. Stay on top of your required minimum distributions. You could face as much as a 50% penalty if you forget about your RMDs when it comes to 401(k) and individual retirement accounts. So, no matter the amount you avoid withdrawing will see a 50% cut unless you’re still working. 
There are some confusing exceptions, though. You must still withdraw if you own 5% or more of the company, for example. As far as IRAs go, you also have to withdraw whether you’re still working or not. 
So don’t lose sight of what you can or can’t avoid depending on your personal financial situation.
3. Planning for retirement is more than the numbers in your account. Everyone’s retirement is different, there’s no doubt about that. Sometimes it seems natural to just go with the flow and take hints from everyone else around you, but if you want to be fully prepared, consider speaking to a financial advisor.
They can help you look at your situation from the outside while giving insight on what you should expect and what you shouldn’t worry about. Some retirees can become so stressed about their monetary situation that they forget about certain benefits, requirements and even their inheritance plans. 
An outside opinion could help put you at ease. 

Share this article

Facebook Twitter Pinterest LinkedIn Email

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

Latest Posts

  • A warm mid-century gouache illustration of an older couple happily planning a trip to Europe with a colorful map on their kitchen table. The Cheapest Months to Fly to the Most Popular European Destinations
  • An older woman smiling and laughing while talking on her phone at a sunlit kitchen table with a mug of tea. Telephone Reassurance Programs: Getting Paid to Chat With Seniors
  • An older woman at her sunlit dining table organizing paperwork and folders. Supplemental Security Income: Do You Qualify for Extra Help?
  • An older man happily restoring a wooden chair in his sunlit home workshop, symbolizing flexible and rewarding part-time work. 8 Flexible Part-Time Work That Won't Affect Your SS Benefits
  • A retired woman sits thoughtfully at her sunlit kitchen table, reviewing papers and bills with a warm mug of tea nearby. 16 Things Retirees Often Overpay For Without Realizing
  • An older couple stands on their porch during sunset, looking at a moving truck parked in their driveway. Retirees Regret Choosing These 5 States (Based on Cost and Lifestyle)
  • An older couple sitting at a wooden kitchen table reviewing organized tax documents in warm morning light, representing tax planning. 5 Tax Breaks You Can Claim Without Itemizing in 2026
  • An editorial illustration of a retired couple rolling back a rug to reveal hidden wealth and resources beneath their floorboards. The Retirement Benefits Beyond Traditional Checks - Find Them Here!
  • An editorial gouache illustration showing a stylized Social Security card sliced at the top, revealing gold coins inside. Could Social Security Taxes Change Again?
  • An editorial gouache illustration showing stylized hands adjusting a large monthly benefit check with a ruler and compass. The Benefit Rule That Could Affect Your Monthly Check

Newsletter

Get retirement planning tips, savings strategies, and lifestyle insights delivered to your inbox.

Related Articles

10 Unexpected Threats to Your Retirement in 2022

There’s no reason why your retirement planning shouldn’t run smoothly, as long as you’re well…

Read More →

Top 13 Retirement Destinations of 2020

As costs for retirement seem to be on the rise, more and more seniors are…

Read More →

10 Secrets about Retirement Your Government Doesn’t Want You To Know

Did you know that in 2020, only half of Americans have calculated how much money…

Read More →
A silver motorhome parked on a scenic desert ridge at sunset, overlooking a vast canyon under a purple and orange sky.

8 Retirement Destinations Perfect For RV Lovers

Hitting the open road offers an unmatched sense of freedom, turning your golden years into…

Read More →
A senior couple reviews financial data on a tablet in a bright, modern living room.

15 Mistakes Even Smart Retirees Could Make

Discover the 15 most common financial, healthcare, and lifestyle mistakes retirees make—and learn actionable strategies…

Read More →

Be Careful! 5 Dangerous Scams Targeting Retirees

Regardless of age, everyone might become a target for con artists. In 2018, the Federal…

Read More →
A happy senior couple walks through a sunny town square, symbolizing a comfortable and affordable retirement.

These 23 Budget Cities Help Seniors to Retire With $1500/Month

Discover the 23 most affordable retirement cities in the US where seniors can live comfortably…

Read More →

10 Best Spots in the U.S. to Spend Your Retirement Years

Discover the 10 best retirement spots in the USA, featuring destinations that perfectly balance tax…

Read More →

Will You Work During Retirement? 10 Shocking Retirement Stats!

Most seniors vividly dream about how they’re going to spend their time during retirement. Will…

Read More →
Retired in America

Your Guide to a Confident Retirement

Inedit Agency S.R.L.
Bucharest, Romania

contact@retiredinamerica.com

Trust & Legal

About Us

Editorial Policy

Advertiser Disclosure

Frequently Asked Questions

Contact Us

Disclaimer

Terms and Conditions

Privacy Policy

Subscribe

Unsubscribe

Categories

  • Personal finance
  • Retirement Life
  • Saving & Spending

© 2026 Retired in America. All rights reserved.