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Americans are retiring later in life

A new Gallup poll indicates that, on average, Americans don't retire until age 62, later than they used to but years before they had planned.

By MSN Money Partner May 1, 2014 11:41AM

This post comes from Krystal Steinmetz at partner site Money Talks News.

Money Talks News o MSN MoneyThe average age of retirement in the U.S. is on the rise.

A new Gallup poll shows that, on average, Americans don't leave the workforce until they're 62 -- the highest retirement age since Gallup first started compiling the data in 1991. The average retirement age was 57 in both 1991 and 1993.

Couple on vacation © Image Source/SuperStockThe age that working Americans say they'll retire has also inched up, from 63 in 2002 to age 66 this year. But often people don't work as long as they thought they would because of health issues, job loss or family responsibilities.

Why are people retiring later in life than they used to? According to Gallup, baby boomers are hesitant to retire. Some are pushing off retirement because they lost a significant amount of savings as a result of the Great Recession.

But other factors play into working longer.

"This likely reflects the changing landscape of retirement, including longer life spans, changes in Social Security benefits and employer-sponsored retirement plans, and lifestyle choices such as a desire to keep working after reaching the traditional retirement age," Gallup said.

Americans born after 1960 won't receive full Social Security benefits until they turn 67.

According to 24/7 Wall St, an increase in retirement age has an unfortunate, though unintended, consequence for the younger workforce:

Traditionally, as Americans have retired, the vacated jobs have gone to younger people. This "replacement factor" likely does not happen at the same pace as older people continue to work. That may be among the reasons that young Americans, those in their late teens or 20s, have found it increasingly difficult to find work, even as the recession has ended.

Not surprisingly, Gallup found that more young Americans expect to retire before age 55 than any other age group. It's likely an unrealistic expectation. Gallup said:

This could be because younger Americans, given the many years they have until retirement, may not understand the financial realities and challenges of funding retirement that middle-aged Americans are more familiar with.

When do you think you’ll retire? Have you saved adequately for retirement?

More from Money Talks News

May 1, 2014 12:17PM
Because they can't. The golden years are now the tin years for a lot of people that had their retirement stolen by the 'too big to jail' crowd.
May 1, 2014 1:16PM
After two terms of obama many of them will never retire.
May 1, 2014 1:26PM

So when could have you have retired if you were not having to pay for someone else's retirement?  When could you have retired if you were able to control your own retirment investment planning?

When could you have retired if you were not paying for others lifestyles?


We need to get rid of the government's involvement in the retirement planning process and get back to retirement planning being a personal responsibility and not a redistribution of wealth program.

May 1, 2014 1:11PM
There will come a point where we will all be suing the US government for our money. So retire early, get what you can get before it goes belly up.
May 1, 2014 3:00PM

Food Stamps are one of the most abused and wasteful social program this country has ever developed. A family of four receives more money monthly then my family of five spends a month on food. The amount paid out each month should be cut by at least one third. Purchases by food stamps should be (if not already) restricted to the following: Fresh/frozen non prepared meats & fish, fresh/frozen non prepared vegetables, deli meats/cheeses, canned goods, breads, non sweetened dairy, and non sweetened juices. The following should always be banned, and processes need to be in place where not already, to restrict: Soda, bottled water, power and energy drinks, sweetened juices, coffee, tea, ice cream, candy, energy bars, any pre-prepared meals or sandwiches, snacks/junk food, or any food that is mail ordered or shipped anywhere. If these rules would be followed, and recipients would learn how to shop and properly eat, no one would be hungry and we the taxpayers would save billions.

            Tobacco and alcohol should be banned from purchase by welfare funds. No cash should be allowed to be pulled off of any assistance cards except at banks and should be limited to a very low percentage of funds.

May 1, 2014 1:07PM
.1% gdp growth is our obama recovery.
May 1, 2014 12:20PM
I could retire earlier if I wasn't supporting loser democrats who vote for a living.
May 1, 2014 12:37PM
"Some are pushing off retirement because they lost a significant amount of savings as a result of the Great Recession."

This shows just how badly Americans lie to themselves about finances. What savings was lost? None.

No, they didn't lose their savings. Perhaps their investments didn't grow as fast as they hoped, but that is not the same thing as losing what you actually have.

It's hard to feel sorry for people that experienced the greatest economic growth the world has ever seen, failed to save and/or squandered their assets, and now are complaining because the same crazy growth has not continued.
May 1, 2014 4:48PM
I guess I'm very lucky and I know it. I am 61 and retired and love it. I never want to work again unless to volunteer which I do. I wish everyone can be in my position.   
May 1, 2014 3:02PM
Democrats believe (they say) in helping the common man. The problem is they want to help by stealing from others by forcing them to pay taxes (and pocketing some for themselves). They want to force people to accept everything they believe in but they do not believe in free thought. For all their talk, they do not really believe in free will. You only have free will if you think like they do.
May 1, 2014 3:01PM

The majority of Americans consider themselves victims. Yes, THE TRUTH HURTS and it comes from the jackass on top, who is still blaming the previous administration, the radical founding fathers, Christians and Evangelicals for all his problems. Americans have become a mentally sick group of people. The democratic socialist mentality of false victimization is what is destroying this country, and the world.

May 1, 2014 3:01PM

Obo’s Lies

“I ended the war in Iraq” WRONG – Blame Bush, he negotiated the pullout of troops before he left office. Obo was negotiating to keep them there longer, but Iraq said, “No.”

“I saved to auto industry” WRONG – The industry would have gone through an orderly bankruptcy but now instead the U.S. government lost billions buying the company for the unions. You call that saving the industry?

“I’m a black man” WRONG – You are a Negro Caucasian. You are 50% white, 36.5% Arabic and 13.5% black African. Read your own book.

“The majority of people voted for me” WRONG – The majority of Americans did not vote, which means the majority wanted Romney or none of the above.

“The sequester was the Republicans fault” WRONG – It was your idea and is needed because you don’t have the intelligence or guts to do your job and make targeted across the board cuts that will benefit all citizens.

May 1, 2014 3:01PM

Every time I make a little money the government steals 20-30% of it away from me to give away to other countries, lazy Americans and illegals. If my wife and I work longer or work extra, the government hits us with the marriage penalty. If my wife and I work longer or work extra the government penalizes me for saving in a Roth. If I do well in the market, the government hits me with the AMT. My income is nowhere near $250,000. The only hope for this Republic is true Libertarianism.

Let's see, older Americans are working longer because they lost money in the recession resulting in young people not being able to find jobs.  Not because the increased cost of food, housing, energy and taxes have forced people to keep working to maintain any kind of a life style.  See, it's Bush's fault that the youth unemployment is high and old people have to work longer.  I knew it couldn't have anything to do with the current president's policies.
May 1, 2014 3:02PM

It didn’t happen all at once, but the dream that was the United States of America, the Great Republic, has died. Other countries hostile to the idea of true freedom didn’t cause it; it wasn’t caused by a radical religious organization. The downfall of the United States was all from within its own borders, by its own people. The people, for whom others have died, have allowed the country to die a slow death. The me too (fake marine), me first attitude that started many years ago, along with the idea that all are entitled to the fruits of others hard work, has allowed this country to bleed to death. When the British raised the tax on tea, our forefathers should have just shut up and paid the tax. Almost 240 years later, what has changed? Thousands have died for absolutely nothing.

May 1, 2014 12:40PM
Makes sense considering how long people live.
May 1, 2014 3:02PM

Using Jesus

            When liberals are not busy trying to drive all religion out of this country, and when it fits their purpose, they love to bring up the name of Jesus. According to liberals, conservatives are evil because they don’t follow Jesus teaching about giving to the poor. Well here is a lesson for the liberal morons.

Jesus would never support the idea of stealing from one person to give to another. A true Christian gives willingly of themselves and their money. Government steals money from one to give to another. There is nothing good or right about stealing, for any reason. How many of you big mouth liberals can or could call yourselves real Christians? How much have you given willingly?

May 1, 2014 3:01PM

B J Clinton was one of the worst Presidents we ever had. The main job of the President is to be Commander-In-Chief, and in that, he was a total failure. Instead of going after bin Laden when he had the chance, he was busy getting Bl0w J0bs in the oval office. He is responsible for all the deaths on 911. I hope he enjoyed that cigar.

May 1, 2014 5:49PM

Work for cash,  start claiming 9 on your taxes,  only way things are going to change is if WE as a country pull the financial backing to this nightmare.  The government has made us all look like idiots to the rest of the world.  

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