7 Reasons Seniors Continue to Work after They Retire

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Reasons for Seniors to Keep Working After they Retire in Philadelphia, PA

Your senior loved one may want to reenter the workforce after retiring. Several factors are fueling the trend of working beyond retirement age. Here are some reasons that may apply to your loved one.

1. Most Retirees Don’t Have Pensions

Since the 1970s, the number of employees receiving pension benefits has plunged from 66 percent to 10 percent. The absence of a pension significantly lowers the income on which retirees previously relied.

Private companies have shied away from offering pensions due to the investment risks involved. Currently, retirees who receive pensions typically worked full-time for governments, utilities, or large corporations. Union members such as teachers also receive this benefit.

Additionally, pensions are less common in certain industries and geographic areas. Retirees living in southern states are less likely to have pensions than those in the northeastern and Mid-Atlantic states. 

2. More Seniors Are Delaying Receiving Social Security Benefits

The average social security payment isn’t enough by itself to cover monthly expenses. After retirement, benefits provide about 40 percent of a worker’s previous income. Although social security benefit amounts are adjusted to keep pace with inflation, they’re often inadequate as a sole source of income. 

Seniors can raise their monthly social security payments by working until age 70. When aging adults delay receiving benefits, payments continue to increase each year by 8 percent. More seniors who are physically able to work are choosing this option.

Several age-related conditions can make it difficult for seniors to continue working after retirement. Seniors can face a variety of challenges as they age, many of which can be mitigated with the help of professional in-home caregivers who provide high-quality at-home care. Trust Home Care Assistance to help your elderly loved one age in place safely and comfortably.

3. More Employers Are Recognizing the Value of Hiring Older Workers

Seniors have a reputation for being reliable, skilled, diligent, and productive. They also tend to be more loyal than younger workers. Such traits save employers money on hiring and training costs. Consequently, companies are developing programs that maximize senior skills and experience. For example, mentoring programs pair veteran employees with younger ones.

If your loved one wants to work part-time, ideal jobs to consider are retail associate, tour guide, consultant, teacher’s aide, driver, athletic coach, tutor, hair salon assistant, and convention center employee. The temporary staffing industry also favors seniors. 

Another increasingly available option for seniors is working from home. Industries such as banking, customer service, finance, insurance, and information technology are particularly suitable for remote work. 

4. Seniors Want Employer-Paid Health Insurance

Most employers don’t extend health insurance coverage to retirees. Except in the case of disability, Americans aren’t eligible for Medicare until age 65. However, Medicare doesn’t cover all healthcare services, including dental procedures, dentures, eye exams, prescription eyewear, audiology exams, hearing aids, routine foot care, acupuncture, and many prescription drugs. Co-pays for medications can be quite costly.

Even Medicare-covered services and supplies require meeting a deductible and making co-payments. However, some healthcare providers accept both private insurance and Medicare. 

In the US, full-time employees are eligible for employer-paid insurance if they work for companies with 50 or more workers. This federal law has been in effect since January 2014. In addition, US law mandates that large employers must offer healthcare coverage to employees working 30 or more hours per week. With these laws in effect, more seniors are working so they can receive employer-paid health insurance. 

5. Savings Don’t Cover Living Expenses

Continuously deflating interest rates are reducing yields on certificates of deposit, government bonds, and savings accounts. Since retirees tend to shift investments into these instruments, they have less spending money available.

6. Retirees Often Miss the Fulfillment Working Provides

A 2010 joint study by the Families and Work Institute and Boston College revealed many nonfinancial incentives for continuing to work. Researchers asked employees aged 50+ for their reasons. Roughly one-third said they’d be bored otherwise. About 15 percent cited the need to feel useful and productive. 

Once seniors reach retirement, they often miss interacting with clients, customers, and coworkers. Many seniors like the mental stimulation of learning new things. Reporting to work provides structure to daily life and a sense of belonging to a group. 

For families living in Philadelphia, respite care can be a wonderful solution when their aging loved ones need companionship and socialization a few hours a week or just need minor assistance with daily household tasks. At Home Care Assistance, we thrive on helping seniors maintain their independence while living in the comfort of home.

7. Seniors Are Healthier than Ever Before

Thanks to advances in healthcare, many people are able to work beyond the typical retirement age. Working past age 65 can reduce the risk of death from all causes by 11 percent. This was the finding of research conducted by Oregon State University that evaluated 2,956 people over an 18-year period, from 1992 until retirement in 2010. 

Retirees were divided into two groups: healthy and unhealthy. Most retired at age 65. Among the healthy seniors, those who worked just one year longer than the other retirees had an 11 percent lower mortality rate.

Seniors in the unhealthy category also gained longevity. By working one year more, their mortality risk dropped by 9 percent. Researchers believe the increased longevity is related to the social, economic, cognitive, and physical benefits of working.

Seniors who want to remain healthy as they age can benefit in a variety of ways when they receive professional in-home care. Philadelphia, PA, Home Care Assistance is here to help your loved one accomplish daily tasks, prevent illness, and focus on living a healthier and more fulfilling life. To hire a dedicated caregiver, call Home Care Assistance at (215) 645-4663 today.


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