What retirement? Many find they have to work

Working another three years — from 62 to 65, for example — and continuing to save 15 percent of salary could raise annual income from investments by 22 percent. Make it five years and boost savings contributions still higher — even better.

Putting off retirement also may enable people to delay when they start taking Social Security benefits, which can significantly increase payments.

“The longer the delay, the better” financially, said Fahlund. “To me the ideal would be 70, because you get the biggest Social Security benefit possible and all those additional years of employment. And it keeps you going mentally and physically too.”

If toiling extra years doesn’t sound very palatable, a wanna-be retiree may wish to consider spending some of the additional work earnings on hobbies, travel, education or other retirement dreams to make it seem more worthwhile.

“Delaying retirement retirement does not necessarily mean delaying gratification,” Fahlund said.

Such a strategy, she said, could still increase retirement income from investments by 4 percent per year, or 12 percent after three years, since the retiree would not have to tap existing savings.

‘To work is to have dignity’
Fodor says that “to work is to have dignity.” But she has little choice but to keep laboring because otherwise she couldn’t pay her bills.

The Morrison, Colo., woman ended her more than three-decade career as a travel agent when work dried up following the 9/11 attacks, but hasn’t stopped working through her 60s. First she sold paint at a home improvement store for seven years. Now she puts in 17 hours a week as a certified nursing assistant and another 10 to 15 hours walking dogs and pet sitting.

Divorced and with no children, she says she will have to work “forever” to make up for a lack of savings since Social Security doesn’t go far enough to make ends meet.

Caring for seniors, a job she loves, pays just $9 an hour and dog walking pays less. Squeezed by rising prices and still $20,000 in debt on her condo, she stopped buying meat, beer and pricier vegetables and cheeses this year and is making other cutbacks.

“I feel blessed with the good health that I have. But I’m a little bit bitter because I don’t think I should be scared financially at 68,” she said, adding that she blames only herself for not saving more.

What disturbs her more than her situation, though, is that of all the men in their 60s, 70s and even 80s she worked with at Lowe’s.

After losing their jobs as engineers and scientists, they now stock shelves just to survive. But they hide when fellow retirees come in, she said, because they don’t want people they knew from their country clubs and higher-income jobs to see them.

When people work out of desperation and not choice, in other words, it carries little dignity.

“That’s just not right,” she said. “That hurts me to see that. Some of these people are supporting their grandchildren.”

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