Behind on your retirement planning? You’re not alone. A recent study from Gallup found that more than half of Americans worry that they won’t have enough money in retirement.[1]

For many of those concerned workers, the solution seems obvious. They’ll simply work longer, or they’ll work part time in retirement. A Bankrate study found that 70 percent of workers want to continue working as long as possible. More than 40 percent of those respondents said they’ll have to keep working because they will need the money.[2]

Working late into life may seem like a reasonable strategy. After all, if you’re working, you’ll have regular income to rely on. You won’t need to drain your retirement savings, and you may even be able to continue contributing to your retirement accounts.

Unfortunately, a strategy to work late into retirement age may not be as reliable as you might think. Below are a few reasons why you may want to rethink your plans to work into your 60s or even 70s. While working longer may be a good idea, it may also be wise to have a backup strategy.




The Council for Disability Awareness estimates that the average adult has a 25 percent likelihood of becoming disabled.[3]  However, the risk may rise with age. The Centers for Disease Control and Prevention says 60 percent of all adults age 65 and older suffer from some kind of limitation on at least one basic living activity.[4]

Disability can always have a substantial financial impact, but it can be even more devastating for older workers. If you’re unable to work, you’ll lose out on income and retirement contributions. You’ll also need to take money from your savings to fund your lifestyle and pay for your care.


Long-Term Care


According to the U.S. Department of Health and Human Services, 70 percent of all 65-year-olds will need long-term care at some point in their lives.[5]  Obviously, if your health has deteriorated to the point that you need long-term care, you won’t be able to work.

However, another possibility is that your spouse may need care. If he or she needed full-time support, would you be able to hire in-home help? Or would you have to quit working to provide the care and assistance? And how would that impact your finances? Again, your desire to work may be in conflict with conditions beyond your control.


Job Loss


A recent Transamerica study found that 30 percent of retirees stopped working earlier than they would have liked. A majority—two-thirds—quit because of employment reasons, primarily job loss.[6]

Employment conditions can change quickly. Just because your job is secure today doesn’t mean it will be in the future. Working late into life may be the right decision, but be sure to have a backup strategies in the event your job is eliminated.

Ready to explore alternatives and backup plans? Let’s discuss it. Contact us today at Spicer Wealth to start the conversation. We welcome the chance to help you analyze your needs and develop a strategy.



Licensed Insurance Professional. This information is designed to provide a general overview with regard to the subject matter covered and is not state specific. The authors, publisher and host are not providing legal, accounting or specific advice for your situation. By providing your information, you give consent to be contacted about the possible sale of an insurance or annuity product. This information has been provided by a Licensed Insurance Professional and does not necessarily represent the views of the presenting insurance professional. The statements and opinions expressed are those of the author and are subject to change at any time. All information is believed to be from reliable sources; however, presenting insurance professional makes no representation as to its completeness or accuracy. This material has been prepared for informational and educational purposes only. It is not intended to provide, and should not be relied upon for, accounting, legal, tax or investment advice. This information has been provided by a Licensed Insurance Professional and is not sponsored or endorsed by the Social Security Administration or any government agency.

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