Many Americans may not be able to retire until they're in their 70s or even 80s, according to a recent study from the Employee Benefit Research Institute.
Lower income Americans will have to work the longest just to afford basic necessities after they retire.
If Baby Boomers and Gen Xers delay their retirement past the age of 65, many of them still will not have adequate income to cover their basic retirement expenses and uninsured health care costs, EBRI said in the study.
Even if a worker delays his or her retirement age into their 80s, there is still a chance the household will be "at risk" of running short of money in retirement, the study said.
But the chance of success in retirement improves significantly as individuals reach their late 70s and early 80s, EBRI found.
"Our research finds that many people may have to delay retirement far beyond age 65 to increase the probability that they have enough money to cover their retirement expenses at a comfortable level," Jack VanDerhei, EBRI's research director, said in a statement.
"What really makes a positive difference, we found, is if people who continue to work after 65 also continue to contribute to a defined contribution retirement plan," he added.
The earlier you start saving, the better. And the longer you work past the age of 65 and the longer you keep contributing to your retirement plan, the better off you'll be money-wise after you stop working.