During the dog days of winter, many workers look forward to the end of each work day and eventually the end of the work week. Those approaching the age of 65, however, are generally looking towards the end of their careers. While most would love to enjoy the last years of their work life and ride off into the sunset to a life filled with vacationing, this seems to be happening less in Canada.
Earlier today, QMI Agency reported that many Canadians are working past the age of 65. According to a recent Statistics Canada report, 40 per cent of those who choose to keep working past the age of 65 do so because they simply do not have enough money saved. One statistic revealed that approximately one third of seniors who remain working still had mortgages on their homes.
Although this would indicate that many Canadians are being forced to work well into their retirement-aged years, the StatsCan study found that many choose to work out of preference, not necessity. For the most part, still-working seniors work part time hours which usually amount to less than 30 hours a week.
Interestingly, the report notes that those who return to the work force past the age of 65 are “most likely to be in the top income bracket and have a high average level of education, though half of them said financial considerations did contribute to their decision to go back to work. Full retirement is more common for lower income Canadians.”
According to StatsCan, 60 per cent of fully retired people in 2009 were part of the two lowest income brackets in Canada. Only 30 per cent of workers who never retired were part of these low income brackets. So perhaps, the need for more money due to lack of saving enough for retirement is not the leading reason to keep working.
One would think that the less money you have, the more likely you are to work well into your retirement years. Strangely, the report also found that those who are completely retired experience worse general health than those who never retired. However, the medical concerns may have been a leading contributor to the retirement in the first place.
Evidently, this study calls to attention both the spending habits and health choices made by Canadians. Planning for a happy retirement clearly does not just mean saving enough money, but certainly maintaining a healthy lifestyle will allow one to properly enjoy their retirement years.