Survey: Affluent Boomers Stay in Workforce, Retain Mortgage Debt

According to Bell Investment Advisors's third annual survey of affluent boomers (those with investible assets of $1 million or more), members of the baby boom have no plans to leave the workforce any time soon and, in a major change from the prior generation when a major goal of retirement was to "burn the mortgage," more than 55% of surveyed boomers who currently hold mortgages do not plan to pay their mortgages off until their 70s.

With respect to retirement plans, 76% of boomers surveyed who are still working plan to continue working after age 62, and 40% plan to continue working into their 70's. For 72%, the major reason to continue working was for the "intellectual and social stimulation" work provides; 51% cited the goal of maintaining standard of living, and 41% the goal to avoid tapping into savings.

Of those taking the survey, 29 percent describe themselves as being retired in the conventional sense, while 71 percent are still employed. Of those currently working, the largest number or nearly a quarter (23%) hope to work as long as they are able to, followed by 20 percent who plan to gradually scale back; another 20 percent who plan to pursue personal interests and passions, and 18 percent to work part-time, with six percent exploring alternative careers.

Source: Bell Investment Advisors News Release (June 10, 2008)