I am concerned that many of you are banking on a retirement strategy that may not work out. According to a national survey, more than four in 10 Americans say they plan to keep working past the age of 65.
For many of today’s workers, the motivation to delay retirement is financial: A concern they lack the savings to cover all their retirement costs, including health care expenses.
It’s a logical plan to address a major concern, but I need you to listen to me: thinking you can just keep working may be unrealistic. In the same survey from the Employee Benefit Research Institute, just 15% of retirees said they kept working past age 65. That’s a serious gap between expectations (>40% plan to keep working past 65) and real life (only 15% retired after age 65.)
A big portion of people who retired earlier than they expected were sidelined by illness or disability. Taking care of a family member can also derail plans, as can being downsized or pushed out of a job.
If your retirement plan is centered around the assumption you will just keep working longer, please consider these important steps: