USA: "The Future of Retirement - An Exploration and Comparison of Different Scenarios"

. THE ECONOMIST, August 22, 2008 What's in the Journals Clocking on and on By Anna Rappaport Writing in Benefits Quarterly, Anna Rappaport, a consultant on pensions and retirement, provides a useful primer for those wondering how retirement policies in America may change as baby-boomers age. Ms Rappaport addresses the implications of four different retirement scenarios: retirement around 65 (the current situation); retirement at 70 or later; “end of retirement”, where people work until they are no longer able to; and “phased” retirement, where an individual stops full-time work at 65 but does not leave the workforce fully for some years. Ms Rappaport argues for the fourth option, as it allows the most flexibility for most workers, but warns that about 10% of the population will have to leave work before 65 due to poor health or disability, and that the maximum practical working age is 75. Even if phased retirement becomes the norm, individual workers will have to prepare for the possibility that they will not be able to work for as long as they wish. Read BENEFITS QUARTERLY feature in RedOrbit report