Retirement is no longer the golden sunset it once was for many older Americans. A new AARP survey has found that a staggering 23% of adults aged 50 and over are delaying their planned retirement due to economic uncertainty and financial concerns - a 14% jump from just last year.
The culprit? Skyrocketing inflation and the rising cost of living that is eating away at fixed incomes and retirement savings. As CNBC reports, the number of Americans aged 65 and older in the workforce has ballooned by over 33% in the past decade, far outpacing the overall labor market.
Eroding Purchasing Power
What this really means is that the golden years are no longer so golden for many retirees. According to the AARP survey, 44% of those delaying retirement cited concerns about inflation, while 48% worried they simply won't have enough money to make ends meet.
The reality is that Social Security cost-of-living adjustments have not kept pace with the true rate of inflation, as AOL reports. The 2.8% COLA announced for 2026 is a far cry from the double-digit price increases many retirees are facing on essentials like food, housing, and healthcare.
A Grim Retirement Outlook
The bigger picture here is that the traditional notion of retirement is rapidly eroding. As AARP notes, nearly 1 in 4 Americans over 50 are now delaying retirement due to economic pressures - a trend that is only expected to accelerate as more baby boomers reach their golden years.
For many, the dream of a comfortable, financially secure retirement has given way to the harsh reality of trying to make ends meet. And with the prospect of a looming recession, the outlook for retirees is anything but certain.