Avoiding the 'Retirement Curse'

If your job doesn't wear you out, retirement might just do the trick.

Retirement is often envisioned as the crowning achievement of the American dream, offering endless leisure for activities like fishing or shopping. However, for many, this dream is disrupted by severe health challenges such as heart disease, stroke, cancer, dementia, and mental health issues. Surprisingly, research suggests that retirement could be the catalyst for these conditions.

Dhaval Dave, an expert in health and labor economics at Bentley University in Waltham, Massachusetts, has extensively researched the phenomenon known as the 'retirement curse.' His findings confirm that the adverse health impacts of retiring are indeed significant.

“When examining the typical American five to six years post-retirement,” Dave explains, “we observe a 6 to 9 percent drop in mental health, a 5 to 6 percent rise in medical conditions, and a 5 to 16 percent increase in challenges with daily tasks. These impacts are far from negligible, and when accumulated over time, they significantly affect healthcare costs.”

As an economist, Dave is primarily focused on whether programs like Medicare can handle the financial burden of chronic illnesses, particularly as the baby boomer generation retires en masse. For everyday workers, however, the worries are more intimate. How can they maintain their health into their 60s and 70s to fully enjoy their well-deserved retirement? And why does retirement seem to negatively impact health?

Does Retirement Make You Sick?

Dave emphasizes that the adverse health effects of retirement are based on the “average” American. While many experience a decline in physical and mental health soon after retiring, others maintain or even improve their health. Conversely, some individuals may face a faster deterioration in their well-being.

More crucially, Dave notes, retirement itself isn’t the root cause of health decline. Instead, it’s the lifestyle shifts that accompany retirement that play a significant role.

“Retirement isn’t inherently ‘good’ or ‘bad,’” Dave clarifies. “What matters is the shift from working life to retirement, how you navigate that change, and how it influences your decisions to adopt habits that lead to better or worse health outcomes.”

Retirement marks a significant upheaval in our daily routines. While many expect it to be a positive shift, this isn’t always the case. Beyond the financial aspect, work offers mental stimulation, opportunities for physical movement (even desk work counts), and, crucially, a hub for social connections. As Dave puts it, work is the “center of our social lives.”

When you suddenly lose your primary source of mental stimulation, physical activity, and social interaction, what remains? For some, retirement can initiate a decline into depression, unhealthy eating, lack of exercise, and other behaviors that worsen existing health issues or create new ones.

To avoid the “retirement curse,” experts recommend having a strategy to replace the mental, physical, and social engagement lost when you stop working. This could involve volunteering or, alternatively, continuing to work in some capacity.

Staying in the Game

An increasing number of individuals are choosing this path. Data from the Bureau of Labor Statistics shows that the proportion of people aged 65-74 still employed has risen from 17.2 percent in 1994 to 26.2 percent in 2014. While financial reasons play a role, many in this age group continue working because they genuinely find it fulfilling.

Consider Steve Roth. At 70, he’s in great health, content, and experiencing a unique form of retirement. After 28 years as an engineer at Alcoa, Roth took an early retirement package at 51. With two children in college, he couldn’t afford to idle away, so he launched a solo consulting business. Nearly two decades into his initial “retirement,” Roth is now reducing his workload but has no plans to stop completely.

“Every day, I’m involved in work-related activities,” Roth shares. “As an engineer, I engage in computational tasks, which keeps my mind sharp. I have peers in their 80s who still consult and love it. That’s the key—if I didn’t enjoy it, I wouldn’t be doing it.”

A significant aspect of Roth’s enjoyment comes from the relationships he builds with his clients through his work as an acoustical engineer.

“There aren’t many specialists in my field, so I feel I’m making a real difference by assisting clients with their projects,” Roth explains.

Roth’s decision to transition into “semi-retirement” isn’t driven by his age but by his desire to prioritize family. He aims to dedicate more time to his five grandchildren, all living within a half-hour drive of his new residence in a 55-plus community near Pittsburgh, Pennsylvania.

Loneliness Is Toxic

While luck plays a role in healthy aging, research indicates that Roth is adopting habits that boost his chances of a fulfilling retirement. One of the most compelling studies is the Harvard Study of Adult Development, the longest-running research on human happiness. For over 75 years, Harvard researchers have followed 724 men (fewer than 60 remain, all in their 90s), assessing their health and life satisfaction biannually.

The study’s fourth director, Robert Waldinger, a psychiatrist and Zen priest, is also known for his popular TED Talk, "What makes a good life? Lessons from the longest study on happiness." In his presentation, Waldinger highlights the study’s key finding: strong relationships are essential for happiness and health.

“Research shows that individuals with strong social ties to family, friends, and community are happier, healthier, and live longer than those who are less connected,” Waldinger explains in his TED Talk. “Loneliness, on the other hand, is harmful. People who feel isolated experience lower happiness, earlier health declines, reduced brain function, and shorter lifespans compared to those who aren’t lonely.”