Apr 17, 2025
Many people look forward to retirement and can't wait to kick off that chapter in life. But for some people, that part of the story isn't appealing.
If you're 63, you're at a time when it is reasonable to consider your financial stability during retirement. Even though you haven’t hit 65, you're still old enough to collect Social Security — although you'll be looking at a reduced monthly benefit due to not reaching full retirement age. You're also a couple of years away from Medicare coverage.
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If you have a decent amount of savings or a pension, you could retire at 63 or shortly thereafter without worry. But it's not just the financials you'll need to think about. There's your mental health and loneliness to consider — aspects of retirement that should not be overlooked.
Forever young
It's easy to imagine retirement as being carefree. However, the hard truth is that retirement has the potential to be unfulfilling.
In a 2024 MassMutual survey, 67% of retirees described themselves as happier now than before retirement. However, 47% of those who were not happier attributed their feelings to loneliness, and 33% of unhappy retirees said there were fewer romance or dating opportunities in retirement than expected.
The reality is that retirement can lead to less social interaction. That could result in feelings of isolation. A 2024 survey by Transamerica found that only 53% of retirees have an active social life, and 17% of them feel isolated and lonely.
There's also the feeling of purpose. Many find that their identities are tied to their jobs, so when they retire a part of themselves disappears. T.RowePrice reported that around 20% of retirees are still working in some capacity while 7% are looking for work. While 48% of those working are for financial reasons, 45% are in the workforce for social and emotional benefits.
A work schedule also provides structure. In the absence of habit, it’s easy for retirees to shut themselves in their homes, thereby adding to their isolation and boredom.
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That’s why experts argue it’s smart to avoid sunsetting a career. Aside from the financial stress and a lack of a steady income, the mental and emotional toll can make retirement unpleasant, even when money isn’t a concern.
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Inflation, scarcity and how to invest
Although some might delay retirement due to social or emotional concerns, many delay retirement due to financial woes.
Allianz Life reported that 63% of Americans worry more about running out of money than death, with inflation being a major contributor to that concern. Delaying retirement allows them to boost their savings and leave their nest egg untapped.
On the topic of inflation, a 2024 survey by the Society of Actuaries found that 78% of pre-retirees and 58% of retirees are concerned about their inflation outpacing their savings.
Given that Social Security benefits — a primary source of income for many retirees — have historically not kept up with inflation, it’s easy to see why many of them would opt to postpone retirement and keep plugging away at their jobs.
There's also a general lack of savings to consider. A 2025 AARP survey found that 20% of Americans aged 50 and over have no money set aside for retirement. Delaying Social Security past full retirement age boosts monthly benefits by 8% for each year after 65 until age 70. But it’s hard to stave off Social Security when you don’t have a paycheck.
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Some steps can help alleviate the financial burdens that cause Americans to delay retirement. Boosting savings can address scarcity fears, as can working with a financial advisor to establish a safe withdrawal rate.
Investing strategically can help combat those inflation fears. A portfolio of income-producing assets like bonds and dividends can help retirees keep up with inflation, even when it’s higher than usual.
Stick to your vision
Retirement can have an emotional impact on you. One of the best ways to stave off existential dread is to figure out what you want to do with your life after work.
Maybe you’d like to volunteer for a charitable organization you support or maybe you’d like to move closer to your adult children to help take care of your grandkids. The key is to stick to your vision and keep yourself occupied.
Having a support network is also a requirement. Before retirement, see what community resources are available to you, whether through a senior center or a place of worship. If you can’t find one within your vicinity, you may want to consider moving to a senior community that can nurture your social needs, if you can afford it.
One final thing to consider cutting your hours of work back through a part-time job or consulting position; maintain some semblance of a work schedule for as long as your body can handle it. You get the best of everything: time to yourself, an opportunity to get out, socialize and earn a paycheck to alleviate your financial stress.
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Maurie Backman has been writing professionally for well over a decade. Since becoming a full-time writer, she's produced thousands of articles on topics ranging from Social Security to investing to real estate.
