By mid-century, one in every six people worldwide will be over the age of 65. In the United States, it is highly likely that the Social Security Administration program will be unable to pay full benefits by 2034. These demographic and financial pressures are frequently cited as the source of an impending retirement crisis.
But there is another issue that is not widely discussed. Too many organizations still believe that careers end at age 65 and view older employees as liabilities. In reality, longevity is extending careers for decades. Some countries have already begun to make changes in response to this fact. The Netherlands, for example, directly correlates its retirement age with life expectancy, recognizing the current demographic reality and resetting expectations for both citizens and employers.
For decades, 65 has been regarded as the ideal retirement age. However, that age marker indicating retirement was never intended for today’s world. It originated in nineteenth-century Europe, when reaching the age of 70 was still considered rare. Today, as people live into their 70s, 80s, and 90s and thrive, the framework is becoming further from the truth. People are living longer and healthier lives, and the retirement model must evolve to keep up.
From Retirement Crisis to Retention Opportunities
The retirement age conversation usually comes to a halt at the point of system strain. Another story is hiding in plain sight: older employees are staying in the workforce at record rates.
According to a survey*, 51% of adults nearing retirement expect to continue working indefinitely. The same report indicates the share of Americans 65 and older in the workforce increased by 33% between 2015 and 2024, compared to less than 9% growth in the labor force overall. According to Gusto’s 2025 labor report, the proportion of small business employees aged 65 and up has increased by 50% since 2019.
The drivers are financial—rising healthcare costs, disappearing pensions, changing Social Security rules—but also deeply human. Many older workers cite purpose, mental stimulation, and social connection as reasons for remaining employed.
For organizations, this presents a potential opportunity that can pay dividends in terms of retention, offering experience, judgment, and cultural stability that accumulate over time. Workers who have been through multiple business cycles provide perspectives and mentorship that younger teams cannot match. CEOs can use flexible arrangements, phased retirement, or hybrid roles to leverage decades of knowledge and loyalty that would otherwise be lost.
The New Social Contract for Retirement
For much of the twentieth century, the deal was simple: work 40 years, retire at 65, and receive a pension. That contract has begun to dissolve as careers now last six or seven decades, pensions are scarce, and Social Security is under strain. Instead of retirement age being a hard stop, older employees are moving into more flexible roles, project-based work, and different career paths. Many people care more about relevance, stimulation, and purpose than they do about money.
Is Retiring Early Important To You?
If you don’t want to (or can’t) continue working past age 65, you’re probably looking for options that will give you the financial stability needed to retire early. If the idea of guaranteed income for life (backed by the claims-paying ability of the carrier) appeals to you, get in touch with us. There are retirement options you may have never considered before that may help you save enough to be ready for retirement when you need to be. Contact us to learn more.
Source: Forbes