Should You Wait Until Age 70 to Retire?

Written by Rebecca Lake, CEPF®

Edited by Patrick Villanova, CEPF®

Updated on April 24, 2025, 5:55pm ET

Deciding when to retire is one of life’s biggest financial decisions. Many people wonder if they should wait to retire until age 70, and for good reason. Delaying retirement can boost your Social Security benefits. Your monthly checks could increase by up to 24% compared to retiring at full retirement age. It also gives your investments more time to grow and shortens the period your savings need to last. However, waiting isn’t right for everyone. Your health, job satisfaction, financial situation and personal goals all play major roles in determining your ideal retirement timing.

A financial advisor can help you determine when the right time is to retire. Connect with an advisor today.

Find out now: How much do I need to save for retirement?

Reasons to Wait Until Age 70 to Retire

Delaying retirement until age 70 can offer several financial and personal benefits. While many people retire at 65, waiting a few extra years may enhance your long-term security. Here are some of the main benefits of working until 70:

Maximized Social Security Benefits

Perhaps the most powerful financial incentive for delaying retirement until 70 is the substantial increase in Social Security benefits. Your monthly payments grow approximately 8% for each year you delay claiming benefits beyond full retirement age, up to age 70. This permanent increase can result in payments about 77% higher than if you had claimed at 62. Delaying beyond age 70 does not increase benefits further.

More Time to Save and Invest

Working longer lets you make more contributions to your retirement accounts. Continued investment growth during these years can greatly increase your nest egg and long-term financial security.

Working longer provides additional years to contribute to your 401(k) and other retirement accounts. These extra contributions, combined with the continued growth of your existing investments, can dramatically increase your retirement nest egg. The compound growth during these crucial years often makes a significant difference in your long-term financial security.

Reduced Retirement Duration

Waiting until 70 shortens the overall period your savings need to support you. With increasing life expectancies, many retirees need to fund 25 to 30 years of retirement. By waiting until 70, you shorten the period your savings must cover, which helps make your nest egg last longer.

Improved Healthcare Coverage

Continuing to work often means keeping your employer-sponsored health insurance, which may save you thousands before Medicare begins. Employer coverage can also complement Medicare after 65, lowering your out-of-pocket healthcare costs.

Working Longer May Be Good for Your Health

Getting older takes a toll on you physically. But according to one study, working longer could extend your life span. Researchers at Oregon State University found that putting retirement off for just one year after turning 65 could reduce the risk of dying by 11%. Sticking with the 9-to-5 until age 70 doesn’t mean you’ll live forever, but it could potentially extend your life.

Related Article: Social Security Retirement Benefits

Reasons to Retire Before Age 70

While delaying retirement until age 70 offers financial benefits like maximized Social Security payments, there are compelling reasons why waiting this long might not be ideal for everyone. Before committing to working into your seventh decade, consider these potential disadvantages of postponing your retirement years.

Health Limitations

One significant reason to avoid waiting until age 70 to retire is the unpredictability of your health. As we age, health issues often become more common and can limit your ability to enjoy retirement activities. Many retirees find that physical limitations in their 70s prevent them from traveling, pursuing hobbies or engaging in activities they had looked forward to during their working years.

Less Time to Enjoy Retirement

Simple mathematics suggests that retiring earlier provides more years to enjoy life outside of work. Waiting until 70 means fewer total years in retirement, which translates to less time for pursuing passions, spending time with family or exploring new interests. This consideration becomes particularly important when evaluating the quality-versus-quantity aspect of your retirement years.

Career Burnout

Extending your career to age 70 may lead to professional burnout, especially if you’ve been in the same field for decades. Many workers experience diminishing job satisfaction in their later years, which can affect both mental health and overall life satisfaction. Retiring before reaching this point of exhaustion allows you to transition to retirement while still maintaining positive feelings about your career.

Family Considerations

Delaying retirement might mean missing important family milestones or opportunities to support loved ones. Grandchildren grow quickly, and aging parents may need assistance. Working until 70 could limit your availability for these meaningful family connections and responsibilities that many find fulfilling during retirement years.

Financial Benefits May Plateau

While delaying retirement until 70 maximizes Social Security benefits, the incremental financial advantage may not outweigh the personal costs. For many, the difference between retiring at 65 vs. 70 represents a modest financial gain but a significant sacrifice in quality retirement years. Comprehensive financial planning might reveal that retiring earlier is feasible without substantial financial penalty.

Transition Challenges

Adjusting to retirement can take time, and making this transition at an advanced age can be more difficult. Starting retirement at 70 gives you less time to develop new routines, build social networks outside of work, and establish a fulfilling post-career identity. Beginning this transition earlier often allows for a more gradual and comfortable adaptation to retirement life.

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Bottom Line

If you’re on the fence about whether you should work until you turn 70, weighing the advantages and disadvantages of delaying your retirement can guide you toward making the decision that’s best for you. Remember that while having extra income can certainly be helpful, you’ll have less time to enjoy your retirement.

Retirement Planning Tips

Once you reach age 73, most tax-deferred retirement accounts—such as traditional IRAs and 401(k)s—require you to start taking annual required minimum distributions (RMDs). Failing to withdraw the correct amount can result in steep IRS penalties. To avoid surprises and manage your tax liability, estimate your RMDs in advance and consider how they might impact your taxable income, Social Security benefits and Medicare premiums in retirement.
A financial advisor can help you prepare for retirement and decide when you can afford to stop working. Finding a financial advisor doesn’t have to be hard. SmartAss e t’s free tool matches you with vetted financial advisors who serve your area, and you can have a free introductory call with your advisor matches to decide which one you feel is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.