For many workers, age 65 is an important milestone. For years it has generally been acknowledged as traditional retirement age. It’s the age at which you may become eligible for Medicare, Social Security and even corporate pensions.
However, many workers now say they plan to wait past age 65 to retire. In fact, according to a recent study from CareerBuilder, 30 percent of workers age 60 and older say they won’t retire before age 70. An additional 20 percent plan to never retire. That means half of all workers over age 59 say they will work at least another 10 years.1
Of course, there are many reasons why you may want to wait until age 70 or later to retire. You get to delay your Social Security filing, which could substantially increase your benefit. You can stay on your employer’s health insurance plan, which may be less expensive and more robust than Medicare. And you get additional years to save for retirement while reducing the number of years in retirement that may need to be funded with distributions from your savings.
Of course, working to age 70 and beyond is no easy task. There could be challenges that arise that limit your ability to continue your career. Below are three tips to help you overcome these challenges and extend your career as long as you’d like:
Don’t ignore your health.
Even if you want to work late into your 60s or 70s, you could suffer health problems that make it impossible to continue your career. According to the Council for Disability Awareness, 1 in 4 adults will suffer a long-term disability at some point in their lives.2 That risk could increase as you age and face greater vulnerability to medical issues.
You can improve your odds of working well past 65 by investing in your health. Eat healthy and exercise regularly. Stay current with doctor visits and any important prescriptions. Consider using brain games and puzzles to stay mentally sharp. An investment in your health can reduce your risk of disability and help you work as late in life as you want.
Continue to learn, grow and develop professionally.
Don’t put your career on autopilot just because your retirement is approaching. Businesses restructure all the time. Sometimes those restructurings lead to layoffs and eliminated positions. If you’re laid off in your late 60s, you may have difficulty finding a new position, and you could be forced to retire earlier than you’d like.
Limit your risk of job loss by investing in yourself. Take classes or training that will increase your knowledge. Volunteer to take on difficult projects at work. Make yourself so valuable that your employer will be resistant to eliminating your position before you’re ready to retire.
Develop a long-term care strategy.
Even if you stay healthy and aren’t subject to job loss, you could still be forced into early retirement. The U.S. Department of Health and Human Services estimates that 70 percent of all seniors will need long-term care at some point.3
You may not need long-term care, but consider what would happen if your spouse needed it while you’re still working. Would you have to end your career prematurely to care for him or her? Could you afford to hire caretakers out of pocket? If not, think about purchasing long-term care insurance, which could help cover some or all of the cost.
Ready to plan your extended career? Let’s talk about it. Contact us today at J. Harris Financial. We welcome the opportunity to help you analyze your needs and develop a strategy. Let’s connect soon and start the conversation.
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.
16696 - 2017/5/23