Retirement redefined.

Abstract

Retirement has become more individualized and has evolved from the idea of a total withdrawal from the workforce to a gradual retreat, often accompanied by continued active involvement in the world of work. Whether one refers to this phase of life as a period of "renewment" (Bratter & Dennis, 2008), "revitalizing retirement" (Schlossberg, 2010) or reinvention (Merrill Lynch Wealth Management, 2013), the nature, timing, and appearance of retirement has changed. Dychtwald, Erickson, and Morrison (2004) argue that it is time to retire the concept of retirement. THE HISTORY AND EVOLUTION OF RETIREMENTA number of recent books address the complexity and richness of the history and major trends in career, work, and retirement (Blustein, 2013;Hedge & Borman, 2012;Wang, 2013;Wang, Olson, & Shultz, 2013). Several historical changes have significantly influenced the nature of retirement (Quinn, 2010;Zickar, 2013). At one time, companies depended on a large and loyal workforce and, to that end, provided defined benefits plans. The assurance of wealth and continued health care ensured that older workers would be willing to leave the workforce (Wang, 2012). The Age Discrimination and Employment Act (1986) also changed the nature of retirement, by eliminating a mandatory retirement age for all but a few select occupations; under the Act, anyone older than 40 is defined as belonging to a protected class. Furthermore, the Americans With Disabilities Act (1990) required that a workplace provide "reasonable accommodation" for disabled workers, to enable them to remain in the workplace.Changes in Social Security's benefit calculation rules now allow workers to delay receiving benefits, with the incentive of receiving more benefits if they wait (Wheaton & Crimmins, 2013). The steady shift from a company's providing defined benefits plans to offering defined contribution plans-and the expectation that retirees will bear the costs of their health care insurance-also have extended the average person's work life and changed how and when that person will retire. The world of work has evolved from one that incentivized early retirement to one that, in many cases, discourages it.Retirement age is being chosen by the individual, based on his or her preferences and needs, and no longer by a mandated age or company incentives. Warner, Hayward, and Hardy (2010), in their update of age-graded regularities of the U.S. retirement life course, found that at age 50 years, men can expect to spend half of their remaining lives working for pay, whereas women can expect to spend one third. Half of all men had left the workforce by age 63 years and half of all women by age 61 years; the majority of those exits were final. The authors also observed that there is great variability in the retirement process: Nearly one third of men and women who had retired later resume some type of employment.

Retirement security: It’s not just about the money.

“…Work confers many nonmonetary benefits, not the least of which are self-esteem, social support, and structure to the day and week (Smyer & Pitt-Catsouphes, 2007). Thus, in these and many other ways, retirement is being redefined (Sterns & McQuown, 2015) according to individual differences and preferences (Wang, Henkens, & van Solinge, 2011). By continuing some form of work, current retirees are increasing their financial security, continuing to be relevant and to make contributions to society, and to “matter” in ways that enhance psychological security and well-being (Dixon, 2007; Piliavin & Siegl, 2007), and physical health (Steptoe, Deaton & Stone, 2015).…”

Attitudes Towards Older Australian Workers

“…While continuing good health is one of the determinants of continuing to work, the transition to retirement is complex (Hansson, DeKoekkoek, Neece, & Patterson, 1997;Mariappanadar, 2013;Moen, 2012;Sterns & McQueen, 2015). One cause of retirement is job loss in about 25% of those who left work before planned retirement (Kim & Moen, 2001).…”