Why Are Workers Planning to Postpone Retirement?

Retirement evokes visions of travel, relaxation, family time….and working 9 to 5? For a majority of mature workers, the latter is more in tune with how they imagine their lives past the age of 60.

According to a new CareerBuilder survey, 53 percent of workers aged 60-plus say they are postponing retirement, with 57 percent of men putting retirement on hold compared to 48 percent of women. Forty percent don’t think they’ll be able to retire until 70 or older.

Financial Uncertainty Weighs Heavily on Decision
Approximately a quarter of workers surveyed don’t know how much they will need to save for retirement. When asked how much money they think they'll need to save in order to retire, workers said:

• Less than $500,000: 20 percent
• $500,000 to less than $1 million: 31 percent
• $1 million to less than $2 million: 14 percent
• $2 million to less than $3 million: 5 percent
• $3 million or more: 7 percent

What’s more, roughly 1 in 4 workers 55-plus say they don’t participate in a 401(k), IRA or other retirement plan, a rate even higher in younger adults ages 18-34 (40 percent).

What Does This Mean For You?
While there is sometimes a stigma around hiring mature workers, there are actually a lot of benefits to seeking seasoned candidates. These workers can serve as consultants and mentors to younger workers, and they bring a wealth of knowledge to your organization. And while tenure may be a concern, there is never a guarantee any employee – regardless of age – will stick around very long, so it’s more important to focus on what they can offer to the organization now.

Get tips for hiring older workers.