“These findings are among the most compelling indications yet that the traditional vision of retirement is coming to an end,” said Scott Spiker, CEO of First Command Financial Services, Inc. “A growing number of consumers no longer dream of filling their golden years with hobbies, family visits, travel and other leisure diversions. They are not looking to escape the daily demands of the workplace. In fact, they expect to capitalize on a wealth of as-yet-unrealized opportunities in a new world of meaningful part-time work – work that offers benefits well beyond those of a mere paycheck.”
To be sure, financial considerations are clearly part of the desire for post-retirement, part-time employment. Notably, middle-class consumers who have a financial plan through a financial planner are less likely than others to consider working part-time during retirement (69 percent versus 76 percent of people without a financial plan). But much of the interest in post-retirement employment is being driven by emotional motivations.
When asked why they are likely to work during retirement, American consumers say they:
- Want to stay busy (69 percent).
- Want to stay intellectually engaged (58 percent).
- Need the extra income (49 percent).
- Want the sense of fulfillment they get from working (44 percent).
- Want to delay tapping into their retirement savings (31 percent).
- Want to continue receiving benefits (29 percent).
- Want to keep the community aspect of the workplace (17 percent).
These findings re-enforce results of a national survey of Baby Boomers performed last year through the Index. In “Reinventing Retirement,” First Command reported that for the majority of Americans born between 1946 and 1964 staying busy trumps financial motivations as the top driver of their desire to keep working.
“Money is important, but it’s only part of the story,” Spiker said. “In this emerging vision of post-retirement, part-time work, consumers expect to retain the intellectual and emotional satisfaction they currently enjoy in their full-time careers. This expectation suggests some intriguing opportunities for corporate America and public policy. Employers who can retool their workplaces to feature more opportunities for meaningful part-time employment will be well positioned to tap into the considerable talents and work ethic of the coming wave of Baby Boomer retirees. And in this new vision policymakers may well find meaningful opportunities for a sustainable retooling of the Social Security and Medicare systems, a retooling that could create significant incentives and motivations for both employers and workers.”
