Is 80 the New 60 of Retirement?

Posted by under Guest Posts, In Focus . Updated: March 28, 2020

Most people dream of retiring at the age of 60.

However, because of the lack of financial planning, many will find themselves needing to still work when that time comes.

In today’s guest post, Cristina Beltran gives us an interesting look at why people can’t or don’t retire at 60, and some practical tips on how you can prepare for your retirement.

Let’s now read what she has to say.

When you were younger, you always hear your parents, grandparents, and other adults talk about their plans for when they retire at the age of 50 or so.

In recent years, however, retirement age also seemed to be getting pushed farther back –55, 60, or 65, and even much older, like 80. It seems senior citizens are finding it harder to throw in the towel to enjoy their retirement years.

What could be the reason behind this? Why are they still coming in to work when they could just easily retire and enjoy their savings and lead the life they’ve always wanted?

According to financial planners, most sextagenarians do not consider retiring at their age because most of them are afraid to run out of money or do not exactly feel they have enough to sustain their life as a retiree.

A lot of those who did or have retired in their 60s found that they have underestimated their financial requirements for retiring, thus, finding themselves in financial trouble in their late years.

Indeed, to many, 80 is now the new 60. Most individuals in their late 50s or early 60s – otherwise known as the Baby Boomers – worry they won’t be able to retire comfortably with what they have so far managed to set aside.

There’s also increasing worry among this generation about the idea of being unemployed and not knowing what to do after leaving their respective jobs.

Older Adults Working Longer

A survey conducted by the Associated Press-NORC Centre for Public Affairs Research found that almost half of workers in their senior years are working longer than they originally planned – equivalent to around three more years than their estimated age of retirement.

The study also showed that older adults now make up a rapidly expanding percentage of the US labor force.

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In a few years, it is predicted that employees aged 55 and above will make up 25% of the civilian labor force in the country – a remarkable jump from the 6.5% of employees 60 and older in 1985, according to a separate study by Brookings Institution.

UBS Wealth Management Americas did another survey where they found out that most affluent investors say that they do not feel old until they reach the age of 80. Meanwhile, adults in earlier generations define feeling “old” as something they feel at age 60.

It was also found that most of the people underestimate the amount they will need to finance their retirement. Individuals usually estimate the cost at 58% of their annual income, believing it can sustain them though out retirement. The actual percentage needed, as suggested by finance experts, is actually 75% to 80%.

Start Saving Up for Retirement Today

Retirement doesn’t need to be a letdown. It could be fulfilling, happy, and comfortable if you are able to plan adequately.

Start by calculating how much you will need for retirement by taking 80% to 85% of your pre-retirement income. That would be how much you would need post-retirement. Multiply the amount that you need by 25.

This will give you a more accurate figure on how much exactly you need to save to be able to retire comfortably.

Factor in any amount you will be getting from your Social Security, pension, and investment portfolio by the time you reach your desired retirement age. This will also enable you to see which areas you may need to focus on improving.

For a completely worry-free retirement, you would do well to settle all your debts. It is also advisable to try to find more ways to earn income by getting freelance jobs or starting a small business. These can certainly help boost your retirement savings fund.

If you have children, it is of course wise to invest in their college fund but don’t let your retirement plans take the back seat, as you have a shorter time ahead of you, as compared to them.

As everyone pushes for a late retirement, it should also raise our awareness in pushing for an early savings account for our retirement so that we can achieve our financial goals earlier.

Make sure you don’t underestimate your needed retirement income. A lot of retirees have made the mistake and are paying dearly for it. Remember why saving money is important right now. Do not postpone and always focus on what you want for the future.

Regardless of what age you plan to retire, the earlier you start saving, the better.

Author the Author:
Cristina Beltran is a writer, blogger and online marketing specialist at Compare Hero, Malaysia’s leading online comparison portal. Tina is also a freelance writer she worked as an information researcher before she pursued her writing career.

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2 Responses to “Is 80 the New 60 of Retirement?”


  1. Jack says:

    Apologies in advance Fitz, for what will be a super long comment. This is a subject I am very passionate about. I honestly think far too many people plan the WRONG way for retirement and close off many great opportunities for themselves following the standard wisdom of the crowd. We all need a customized plan to fit our personal circumstances.

    Some of us (the 60+ set) who always worked simply do NOT want to hang it up at work just to hang around the house all day! For those who have ever visited a Walmart store (mostly in the US and Canada) you will often see a “greeter” at the front entrance. They greet customers with a warm “hello, welcome to Walmart” and give directions to the service desk, returns department or other parts of the store for those who need assistance. We had a super nice gentleman at the store closest to my New Hampshire farm who had retired from the financial industry. He confided in me that he “would go stir crazy if all I did each day was wake up, drink coffee, read the paper and then do nothing.” He did NOT need the money, he needed the interaction with people and that was why he loved his new position at Walmart.

    Now, as an EX-pat with seven years and counting here in the Philippines, I can tell you that as a group, we have to make choices on this retirement thing. Some of us with a decent pension choose to bar-hop all night and sleep it off all day. As much as I love having a cold SanMig & some great food with my brother-in-laws and my wife’s uncle, I desire more in life than a hangover. I knew job opportunities are very limited for non-Filipinos when I moved here. My solution was to bring with me those things I do on-line that earn me some good coin! I will share a rough outline of my current plan:

    I was widowed 15 years ago, after the passing of my first wonderful bride due to cancer. US law allows a widowed person to collect their SS starting at only 60 years of age. You can choose to wait to full retirement age (my group is 66) and receive the full amount but you can pick anytime you wish after 62 or as I mentioned, after 60 if you were widowed. I ran the numbers. My home in Bulacan is fully paid for and we account for all expenses. I can live a decent life on half my current US SS check. I chose to take the SS at 60 fully knowing that I will be receiving only 70% of the full amount each month if I had waited until 66 years of age. Why would I do this?

    I am also an active stock, ETF and options trader. When most folks are bedding down for the night, I am starting to wake up and get ready for “work” when the US markets open at 9:30 AM east coast (New York) time. The vast majority of what I do is selling options (both puts and calls) for income. What a wonderful blessing to be able to generate an income from anywhere in the world! At the current time (March 2020) we are all battling a common enemy, a foreign virus. The markets have had a serious meltdown and volatility has skyrocketed. Right now is the best of times for an option seller.

    One regular option income trade I do each week, I am happy to average .10 to ,11 cents USD per share each week when I sell the option. On a 1000 share lot I can sell 10 option contracts. I earn$10.00 USD to $11.00 USD/ per contract or $100.00 to $110.00 USD/week minus any commission which are minimal these days. For the very same trade, I received .53 cents USD two weeks ago. YES, each 1000 share lot that I sold an option against earned me $530.00 USD for the week. INSANE I tell you. Last week the trade earned me .47 cents or $470.00 USD. Not a bad night time hobby, eh? Still, I am looking forward for everything to return to “normal.”

    YES, because I am coincided a “senior citizen” here in the Philippines, I can not venture outside of my subdivision during this time of crisis. Only my wife with her pass can go out at this time to purchase a few essentials like her Mom’s medications. No, I can not go purchase a new faucet for that CR project I am working on. Have I gone “NUTS” because there is nothing to do,,,,not at all. Now, I hope you see why I took that SS so early? MY time was freed up to concentrate on my trading. Later, I was able to help my beautiful bride with her new start-up business when the oppertunity knocked!

    Speaking of our business. YES, we, like some many others are closed for new transactions until the lock down is over. We miss it and want to be back in action to assist our regular clients. In the meantime, my wife is still doing what she has always loved. Academic writing assignments are still available to those with the needed skill sets and internet connection. My wife is taking fewer assignment these days because the troops are home from school during this time of national emergency. I am thankful she has that flexibility. Guess what, although far less than her normal income, my wife has earned an income every single week, even during this emergency!

    When asked, I tell folks that I am “semi-retired.” Why, because I am too darn busy to stop and I NEVER want to quit!. I am having WAY TOO MUCH FUN. At the end of the day, it is a great blessing to have the means to help some others who are in need. More than just money to cover an emergency now, you can help people to learn a better way to build a secure future.

  2. Hotch says:

    If u got a very cool job that is not stressful, pays well, allows u to travel frequently.., then why quit at 60?

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