Millions of Americans are working into their senior years because they can’t afford not to have a job.
Over the next decade, the number of workers ages 75 and older is expected to increase in the US by 96.5%, with their labor force participation rate projected to rise from 8.9% in 2020 to 11.7% by 2030, a rate that has steadily increased from 4.7% in 1996.
By 2040, the US population of adults ages 65 and older is expected to increase to 80.8 million from 54.1 million in 2019.
The number of workers who retired during the pandemic was about 2 million more than expected. 50.3% of US adults ages 55 and older said they were out of the labor force due to retirement in the third quarter of 2021, compared to 48.1% in the third quarter of 2019. Though in recent months, the unretirement rate of US workers has gradually increased toward pre-pandemic levels.
As the ageing US population grows, participation in retirement plans has declined since 2000.
Nearly half of all families in the US have no retirement savings at all and inequality among Americans based on retirement savings is greater than income inequality.
Over 15 million adults ages 65 and older are economically insecure, with incomes below 200% of the federal poverty line, with Black, Hispanic and women ages 65 and older more likely to live in poverty.
With the average estimated social security retirement benefit in 2021 at $1,543 a month, even with a 5.9% cost of living adjusted increase for 2022, millions of Americans who rely on social security benefits are forced to continue working past retirement age in order to make ends meet.
As the US population ages, with millions of Americans having no retirement savings, the number of older Americans with student debt, either for themselves or for children, is on the rise.
Nearly 9 million Americans ages 50 and older still have student debt, and the amount owed by this demographic is growing faster than any other age group.
In 2015, 40,000 Americans had their social security retirement benefits garnished for student loans.