SunSentinel.com

March 20, 2005

 

Definition of retirement is morphing

Sun Sentinel

If you had an extra seven to 10 years to live, when would you like to live them? That's not a trick question or a joke. It is the choice -- and opportunity -- given to American Baby Boomers by their longer life expectancies, compared to previous generations.

And Baby Boomers, by a resounding majority, are saying they want to "live" those extra years now, not at the end of their lives. "The traditional view of increased longevity is an extended period of old age -- if you are going to live longer, it means you'll be old longer," said Ken Dychtwald, a gerontologist and founder, president and CEO of the think tank Age Wave. "But that's not the way the Boomers have figured it out," said Dychtwald, a Boomer himself at age 55. "If I am going to live longer," he said, echoing their feelings, "I want to be younger longer."

By being "younger longer," Boomers mean doing away with the traditional "linear" model of life in which you go to school, get a job and eventually retire to a life of leisure, in that order. Boomers want a "cyclical retirement," with work alternating with leisure, and a "blended life plan" that lets them go back to school at any time. "Rather than `retire,' the Boomers are going to redefine what it means," Dychtwald said. "Boomers literally envision `retirement' as a new chapter, a turning point in their lives" when they may start a new business or pursue new degrees, do volunteer work and/or take time off to travel, reconnect with others and rediscover their passions.

"Redefining retirement" is hardly a new concept, of course. In 2001, we chose it as the title of this column. But even Dychtwald, who has written 10 books on aging and retirement-related issues, with two more on the way, was surprised by some of the findings of a major study on Baby Boomers he helped put together for Merrill Lynch, the financial services firm. "One of the `headlines' of the study is that Baby Boomers have no intention of retiring the way their parents did," said Dychtwald, one of the nation's leading experts on retirement trends. "Boomers are envisioning a more balanced life of work and leisure that allows people to continue to work while also giving them more time off."

For example, in the recently released Merrill Lynch "New Retirement" survey, only 17 percent of the 3,348 Baby Boomers ages 40 to 58 interviewed by the research firm Harris Interactive said that "never work for pay again" represented the "ideal plan" of how they would like to live in their "next stage." (The survey question purposely did not use the word retirement). The most popular choice, picked by 42 percent of the Boomers, was going back and forth between periods of work and leisure as they want or feel the need to. Other responses included working part-time, 16 percent; starting their own business, 13 percent; working full-time, 6 percent, and other answers, 6 percent.

Why do Boomers want to keep working? By far the top response was to keep mentally active, given by 67 percent. Other answers (Boomers could pick more than one) were to keep physically active, 57 percent; to keep connected with others, 48 percent; for the health insurance benefits, 45 percent; for the new challenges, 37 percent; for the money, 37 percent, and for the sense of identity and self-worth, 36 percent.

Conclusion? Most Boomers see "traditional" retirement as an intellectual wasteland, Dychtwald said, and a life in which they have no meaningful role to play "is simply not appealing" to them. "What a lot of boomers are saying is that I've got two uncles the same age and one is still working and the other one is retired. The one still working has a lot of things to talk about and he is really cool. The uncle who is retired always tells the same joke," Dychtwald said.

Boomers want more than just work in their lives. "They want a whole new model of life, to work some and to play some," Dychtwald said. They want more time to spend with family and friends, and to grow spiritually. As to the job, 56 percent of those planning to continue working in retirement said they would choose a different line of work. "Current retirees talk about security," Dychtwald said. "Boomers talk about freedom," and of pursing new opportunities. "The Boomers believe, because they are so comfortable with change, that at age 50, 60 or even later there is still plenty of time for new beginnings."