Working into our 60s: choice, necessity, or both?

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As the State Pension age rises and life expectancy increases, working later in life is becoming a key issue for policy makers, employers and individuals. Longer working lives can strengthen people’s financial security in retirement and benefit the wider economy. But at an individual level, what drives decisions to continue working into our 60s and beyond?

New analysis from the Standard Life Centre for the Future of Retirement’s One More Year study (conducted with a survey of 60-69 year olds, published in March 2026) sheds light on working patterns in later life – highlighting both the range of pathways to retirement and the mix of motivations behind decisions to stay in work.

 

How do working patterns change at this life stage?

Working later in life is becoming more common. Against wider changes in health and employment – and the removal of the mandatory retirement age in 2011 – people now retire, on average, five years later than they did 30 years ago.

At the same time, the traditional idea of a hard stop retirement – i.e. stopping work abruptly at a fixed ‘retirement age’ – is no longer the typical pathway into retirement. Recent research suggests that only around three in ten people retire directly from full-time work. Instead, the transition into retirement is often more gradual, with hours tapering down rather than stopping overnight.

This analysis of those aged 60–69 highlights a clear downward trend in working hours as people move through their 60s. For those in their late 60s, most are no longer working full-time hours. In fact, fewer than one in five people aged 68–69 report working more than 30 hours a week, compared with almost half of those aged 60–61.

 

 

Question: In a typical week, how many hours of paid work do you do?
Bases: All aged 60-69:60-61 (496), 62-63 (546), 64-65 (904), 66-67 (534), 68-69 (550)

These patterns underline the growing importance of flexible working options, enabling people to adjust their hours rather than face a binary choice between full-time work and full retirement. Furthermore as the State Pension age rises, the period between reducing hours and fully retiring is likely to lengthen, making this transition phase increasingly important for both individuals and employers.

But why do people keep working?

Crucially, decisions to continue working in later life are rarely based on a single reason. Instead, they typically reflect a blend of financial needs and personal motivations.

Among those working in their 60s:

• Around two-thirds cite financial reasons, such as covering day-to-day expenses or saving more into their pension. 
• A similar proportion point to purpose and wellbeing, including enjoying their work, having a sense of routine, and valuing social interaction. 
   

Question: You said that you are in paid work. Is this for any of the following reasons? Please select all that apply. ('Other'(2%) and 'Don't know'(1%) are not shown on the chart.)
Bases: All aged 60-69 working at leasr one hour (1,570)

Not everyone’s experience is the same

The reasons people gave for working in their 60s do, however, vary considerably across different groups. Women and lower earners – who are more likely to face retirement adequacy challenges – are both slightly more likely to report working for financial reasons. Job satisfaction also plays a key role: those who are highly satisfied in their current job are far more likely to cite purpose and enjoyment as a reason for working at this point in their lives.

 

Working for longer can be a simpler personal choice for some people. But it can also reflect the challenges people face around income, job quality and financial preparedness for retirement.

An increasingly nuanced picture of later-life work

Longer working lives can play a crucial role in shaping individual retirement outcomes. Indeed, the Second Pensions Commission highlighted the age at which people leave the labour market as a “critical but often under recognised determinant of pension adequacy”. Overall, these findings point to a complex picture of work in later life, and the traditional idea of retirement as a hard stop is less clear cut. The analysis highlights:

• The proportion of people working full time in their 60s falls gradually 
• Work serves both financial needs and as a source of purpose
• Experiences vary depending on income, satisfaction and personal circumstances

As policy makers and employers respond to longer working lives, these findings underline the need not only for flexible working options, but for good-quality jobs and clearer pathways that support a sustainable transition from work to retirement.

This analysis was taken from the Standard Life Centre for the Future of Retirement’s ‘One More Year’ research, based on a representative survey of 3,030 people