You Can’t Work
The majority of boomers (53%) surveyed by Transamerica are planning to work beyond when they can begin collecting Social Security benefits (age 62) until when they have to take Social Security (age 70). And for 83% of workers surveyed, they’ll be working in retirement because of financial reasons. Most say they are staying healthy or sharpening their job skills to keep working in their retirement years.
But what if you can’t keep working? Health issues can strike at any time, and changes to your employment status resulting from downsizing, business failures or layoffs are always a risk. And anyone who has attempted to get a new job after age 50 knows ageism can be a very real obstacle. The Transamerica survey shows 58% of workers do not have a backup plan for retirement income if they are unable to work before their planned retirement.
What to do? Save aggressively, keep an emergency fund and review your insurance – in particular disability insurance – to ensure your coverage is adequate.