It can be a long and winding road for many Americans, but not every U.S. worker takes the same route to retirement. In fact, most of them follow “nonstandard” retirement pathways.

That's according to new research from RAND, which finds that 13.6 percent first move to working part time.

Other nonstandard routes include the 16.9 percent who actually do retire, and then reenter the workforce, and the 25.7 percent who stay in full- or part-time jobs past the age of 70. (Less than half of that last—just 9.8 percent—actually stay in full-time jobs.)

Interestingly, it wasn't just a matter of money that influenced their actions.

The study examined how cognitive ability and personality traits predicted retirement paths, and found that seniors with better cognitive ability were more likely to follow such nonstandard retirement pathways.

In fact, 59.1 percent of those who had high cognitive ability held jobs after age 65. Says the study, “High scorers also were likely to stay in the workforce after age 70.”

The study looked at the labor market histories of thousands of people, aged from mid-50s to early 70s, and classified them into eight distinct retirement pathway categories.

Not only were health status and economic preparedness strong predictors for retirement, the study also found that those who stuck with the traditional path to retirement—fully retiring from a full-time job—were more likely to have access to a defined benefit pension.

In addition, RAND says, those in bad health and those who had more private savings were more likely to retire earlier.

When it comes to cognitive abilities, as well as personality traits such as extroversion, neuroticism and conscientiousness that help to predict when an individual will retire, the study team “found that seniors with better cognitive ability, as measured by an assessment emphasizing working memory, were more likely to follow nonstandard retirement paths: 59.1 percent of those with high cognitive ability had jobs after age 65, while only 51.6 percent of those with low cognitive ability did. High scorers also were more likely to stay in the workforce after age 70, in part- or full-time work.”

Researchers also found that extroverts were more likely to follow nonstandard paths and work for pay after age 65. But by age 70, rather than fully retiring, they appeared more likely to move into part-time jobs.

Higher agreeableness scores, as well as lower conscientiousness scores, indicated that workers “tended to leave the workforce sooner, although these effects were weaker and less consistent.”

Taking psychological factors into account, the report points out, can help policymakers find more effective ways to encourage people in the workforce to work longer to relieve pressure on such programs as Medicare and Medicaid, as well as to encourage employers to adopt strategies that will make older workers more inclined to stay on the job.

BenefitsPRO related reading:

Simple quiz can predict early retirement

10 questions to ask yourself before early retirement

10 best places for early retirement

Instant Insights /

Road to retirement nontraditional for many Americans

More From HR Executive

Related Stories

Recommended For You