you may have to put off retirement for another 20 years.


A new study has shown that many Americans - especially those in the lower income brackets - will have to keep working into their 70s or even 80s to be able to afford to retire.

The Employee Benefit Research Institute's latest study shows that those who earn less than $11,700 per year, the lowest income quartile, could have to work until they are 84 years old for 90 per cent of them to have just a 50 per cent chance of affording retirement.


The study, entitled 'The Impact of Deferring Retirement Age on Retirement Income Adequacy', showed that those who earn between $11,700 and $31,200 will have to work until age 76 for the same chances.



Those who earn between $31,200 and $72,500 will have to work until age 72, and those in the highest income quartile will have to work until age 65.

The reality is, many Americans are already working past age 65. A recent AARP Public Policy Institute report showed that in 2009, 17.2 per cent of Americans aged 65 and older were still in the labour force, MarketWatch.com reported.

Many are even seeking second jobs - admittedly ones they can do from home, according to the publishers of the website RetiredBrains.com.



It's a technique that works. Just delaying your retirement from 65 until 69 can increase your income adequacy from 25 per cent to 50 per cent, John Nelson, author of 'What Color is Your Parachute?' told MarketWatch.





Read more: http://www.dailymail.co.uk/news/article-2002313/Americans-afford-retire-age-84-study-shows.html#ixzz1P0EJ86lW