The Two Indicators of Post-Retirement Health

One of the ongoing debates in the academic literature has been whether retiring early has a positive or negative impact on retiree’s health. 

One of the ongoing debates in the academic literature has been whether retiring early has a positive or negative impact on retirees’ health. Some studies have found early retirement to be associated with longer life-spans. Others have reached the opposite conclusion.

The focus of many studies has been retirement decisions and their effect on retirement health. What hasn’t been analyzed as much are how variables like age, retirement type and social class influence post-retirement health. Previous results have been inconsistent, and the relationship of various factors has been found to be unclear.

To resolve these issues, researchers looked at a group of 742 Scottish individuals who had participated in the Scottish Mental Survey 1947 at age 11. This survey included a test of intelligence. These individuals were followed up with later in life, including surveys conducted between 2011 and 2016. This static population with a history of data enabled the analysis of how retirement age and retirement type (voluntary or involuntary) influences post-retirement health. It also made it possible to measure what impact earlier life-course factors—social class, cognitive ability (intelligence) and education—had on retirement.

The researchers found that the timing of retirement did not influence post-retirement health. Rather, retirement type and childhood intelligence were both found to independently contribute to post-retirement health.

Those retiring because of poor health experienced comparatively worse physical and mental health later in life relative to the full sample of retirees studied. The authors acknowledged that this may be due to selection effects and the impact of health conditions existing near retirement.

Higher childhood cognitive ability was shown to have a stronger correlation to better physical—but not mental—health in retirement. While childhood intelligence does not predict retirement age, it does influence the ability to determine when someone will retire. The authors explained the link by writing, “The contribution of early-life cognitive ability may reflect its role in helping to build an individual’s human capital—the ability and skills necessary to continue working—thus supporting the ability to choose when to retire (rather than involuntary retirement due to ill-health or redundancy) … Alternatively, an advantage in childhood cognitive ability may help individuals to access occupations in which voluntary and statutory retirement is more likely.”

Source: “Early-Life Predictors of Retirement Decisions and Post-Retirement Health,” by Ian Deary and Matthew Iveson; SSM - Population Health, Vol. 8; August 2019.

Discussion

Walt from IN posted over 6 years ago:

In my case, the decision to retire early was predicated on a set of family circumstances where my father and one of his brothers both died in their mid-forties. Little did I know that the third brother would live to be 97! Here I am at almost 81, but enjoying my 25yr long retirement so far.


Walt from IN posted over 6 years ago:

What I failed to mention in my previous post is that my health is excellent, and that both that third brother (my uncle) and I are/were non-smokers whereas my father the the other brother were not.


Jorge from FL posted over 6 years ago:

The type of work you do is just as important as your health history when considering an early retirement. I have been a shift worker for the last 35 years, and it has definitely negatively impacted my health. That is why I will probably retire at 65 years old even though I make a very good income and would prefer retiring at 70.


BARRY J from TX posted over 2 years ago:

A nice, quick read. However (and it’s a dreaded passive-aggressive academic “however”), I expect most AAII members will not get much value from reading this article. We do not share many of the environmental factors of being born and raised in Scotland – climate, the quality of [state-run] medical care, social norms about alcohol consumption, smoking, marriage, etc. I noticed very little data on genetic and demographic factors (gender, race, etc.) that have been shown to have a significant influence on age and on the variables this study did focus on – adolescent cognitive ability and “retirement type” which seems to be defined in a very limited context of voluntary or mandatory. I look forward to learning more from one of the “related” articles that seems to support my observations, “Retirement Readiness Is Being Assessed in the Wrong Manner.” If you want to learn more about yourself, I strongly recommend you read Part V: “Two Selves” in “Thinking Fast and Slow” (2011) by Nobelist Dan Kahneman which clearly, and entertainingly, explains that we all have "two selves," a “experiencing self” and a “remembering self,” that remember your life experiences in different ways (Chapter 35). It also helps you understand more about how you remember life. Chapter 36, “Life is a Story,” Chapter 37 “Experienced Well-Being,” and Chapter 38, “Thinking About Life” will get you the answers you need to understand how and why we all look back at life differently than we think we do. All those chapters add up to 31 pages. It’s a 1-2-hour read (or one crowded airplane ride where you might need a distraction) that will change the way you or don’t understand how you view your life. Amazon wants $20, but you can get a used one for under $10 anywhere.


You need to log in as a registered AAII user before commenting.
Create an account

Log In

Get your free copy of our special report analyzing the tech stocks most likely to outperform the market.

Download the FREE Report Here: