A Third of Americans Are Not Happier in Retirement: Study

Many American retirees say they experience increased happiness after leaving the workforce, but 33% do not feel happier in retirement. And half of these say they sometimes feel lonely, MassMutual reported Wednesday.

The sizable minority that does not feel happier say they have less opportunity for dating and romance in retirement than they expected.

In contrast, retirees who are much happier in their post-work years are likelier to fill their free time with social activities:

• Spending time with loved ones: 76%
• Exercising: 70%
• Pursuing hobbies: 63%
• Travel: 62%

PSB Insights conducted an online poll from Jan. 26 to Feb. 5 among 2,000 American retires (defined as 15 or fewer years into retirement) and pre-retirees (those 15 or fewer years before retirement). All respondents were at least 40 years old, had $50,000 or more in savings/investments and at a minimum had a role in their household’s financial decision-making. 

Expectations Belied

The study found that while apprehensions and high hopes abound as people head into retirement, discrepancies exist between what they expected and what transpires. 

Seventy-seven percent of pre-retirees said they anticipated feeling happier on a typical day in retirement, compared with 67% of current retirees who reported that they are indeed happier. Three-quarters of pre-retirees expected to feel less stressed, which matches retirees’ experiences, according to the poll. 

Nearly half of retirees reported having fewer financial problems and being less bored than they had anticipated. About a third of retirees also enjoy more free time and get to spend more time with family and friends than they expected. 

Forty-four percent of pre-retirees in the study said they feel anxious about how their finances will support them through retirement, and 34% of retirees cited health issues as their primary concern. 

And although pre-retirees had envisaged an active retirement lifestyle with travel and exercise at the top of their lists, 83% of current retirees reported watching TV as their top activity. 

“MassMutual’s research on retirement happiness underscores the importance of managing expectations and preparing for retirement both financially and emotionally,” Paul LaPiana, head of brand, product and affiliated distribution with MassMutual, said in a statement. “The happiest retirees invest not just in their financial futures but also in their social circles and physical health long before retirement.” 

These investments, LaPiana said, can help mitigate retirees’ loneliness, which the U.S. surgeon general declared a public health epidemic last year.

Retirement Timing and Preparation

On average, 63 is the ideal age for retirement, and most retirees report retiring earlier than or exactly when expected, according to the MassMutual study. However, future retirees could have more difficulty retiring at their ideal age, it found. 

Forty-eight percent of retired respondents said they quit working earlier than they had planned, usually because of changes at their job or because they could afford to retire sooner. Seventeen percent cited burnout for retiring earlier.