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About 25% of working adults retire earlier than expected because of health problems, survey finds

Mar 14, 2007--Nearly 25% of working adults in the U.S. retire earlier than expected because of health problems, according to a survey released on Monday by Fidelity Investments, the Boston Globe reports.

For the report, researchers surveyed more than 2,000 U.S. workers age 25 and older who earned $20,000 or more per year.

They also surveyed 793 retirees age 55 and older (Kerber, Boston Globe, 3/13). Researchers analyzed private savings, Social Security benefits and pensions to calculate results. They found that 63% of respondents planned on working during retirement at least part time to supplement their income.

The survey also found that the typical working household in the U.S. was saving at a rate that would allow it to replace about 58% of its income in retirement, up from 57% in 2006 and 56% in 2005. However, the study found that about 25% of respondents were left with lower-than-anticipated income because of unexpected health problems (AP/Los Angeles Times, 3/13).

Guy Patton, executive director of the Fidelity Institute, said, "The additional pressure because of health issues only makes that 58% even more of a problem" (Boston Globe, 3/13).

Patton added, "When planning for retirement, it's more than about just money, it's also about health. One can certainly significantly impact the other" (AP/Los Angeles Times, 3/13). Laurence Kotlikoff, an economist at Boston University, said that individuals' needs in retirement are so diverse that the Fidelity figures are insignificant (Boston Globe, 3/13).