Retirement at 65 has long been the norm, but new research shows that working beyond that age has significant benefits. Older workers report better mental and physical health, higher job satisfaction, and a stronger sense of purpose than their younger colleagues.
A recent study conducted by the University of Michigan’s National Poll on Healthy Aging surveyed more than 3,400 adults between the ages of 50 and 94. The findings reveal a striking trend: while workers between 50 and 64 still see some benefits from employment, those over 65 experience the greatest positive impact.
More than 40% of older workers say their jobs greatly improve their mental health, compared to only 20% of those in the 50-64 range. The pattern holds true for physical health as well, with 32% of workers over 65 reporting strong benefits, more than double the percentage of their younger counterparts.
Beyond health, working past traditional retirement age appears to offer deeper rewards. More than half of older employees say their work keeps their minds sharp, and they are more likely than younger workers to feel valued by their employers. Job satisfaction is high among this group, with nearly nine in ten reporting they are happy with their current employment.
Many older workers point to a sense of purpose as a key reason they remain in the workforce, with 46% citing it as a major motivator. Others continue working to maximize Social Security benefits, maintain financial security, or keep access to employer-sponsored health insurance.
The research also highlights an ongoing shift in retirement trends. Today, nearly 38 million older adults are part of the workforce, a number that has more than doubled over the past four decades.
In 2023, 19% of Americans over 65 were still employed, a significant increase from 11% in 1987. The rise is partly due to longer life expectancy, changes in retirement savings structures, and adjustments to Social Security benefits that now require people to wait until 67 for full payouts.
Despite these benefits, not all older Americans can or want to keep working. Many face significant obstacles, with nearly 30% citing chronic illness, disabilities, or poor health as reasons they cannot stay employed.
Others report challenges such as a lack of necessary job skills, limited transportation options, and caregiving responsibilities for spouses or grandchildren. Some also struggle with issues like inadequate pay, physically demanding jobs, or even age discrimination in the workplace.
Researchers suggest that businesses have an opportunity to better support their aging workforce. Offering more flexible schedules, allowing time for medical appointments, and providing continued training programs could help keep experienced employees on the job longer. A workplace that recognizes the value of older workers not only benefits those employees but also preserves decades of institutional knowledge and skill.
The traditional notion of retirement is evolving, and for many, working past 65 is proving to be a choice that leads to better health, a stronger sense of purpose, and greater overall well-being. While financial concerns remain a factor, it’s clear that for a growing number of older Americans, work is about much more than just a paycheck.