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Investing Specialists

Why You Might Choose to Work in Retirement

Extra income, a sense of purpose, and social connections are just some of the reasons retirees give for staying in the labor force.

"Working" and "retirement." They may seem like a contradiction in terms. Yet, the line between the two has become blurred as more Americans remain in the workforce beyond the traditional retirement age of 65 or find that the end of a long career spent in one field doesn't have to mean an end to their working life.

Some call it working in retirement; others just call it working. Whatever one calls it, it's likely to become even more common in the years ahead for two important reasons: increasing life expectancies that mean retirement itself can last much longer today than it did for previous generations and insufficient retirement savings rates, which mean that some people will have little choice but to continue working into old age. For those with the luxury of being able to choose to work in retirement, there are several possible motivations, including staying active, for social stimulation, or just to have a reason to get out of bed in the morning.