Unexpected health costs and inflation are top concerns for preretirees and retirees, according to a survey of workers ages 55 to 74.
Preretirees expect to work on average a full decade longer than those already in retirement, with nearly half expecting to work early in retirement and one in three expecting to work throughout retirement to bolster savings, according to a report Massachusetts Financial Services Co. issued Tuesday.
The current retirees had retired at an average age of 58, and 40% rely on their pension as the primary source of income, according to the company, which does business as MFS Investment Management and is majority owned by Sun Life Financial Inc.
Preretirees are approaching retirement differently; they expect to work on average until age 68, with 23% relying on pensions and 25% on 401(k) plans.
Though 24% of retirees continue to work or worked early in retirement, 47% of preretirees expect to continue to work in the early phase of retirement.
According to the survey, 32% of preretirees plan to work throughout their entire retirement.
Nearly half (46%) of preretirees and more than 28% of retirees said neither they nor their adviser had developed a formal retirement income plan.
