Advertisement

European Journal of Ageing

, Volume 16, Issue 4, pp 439–453 | Cite as

Level and change in economic, social, and personal resources for people retiring from paid work and other labour market statuses

  • Martin WetzelEmail author
  • Catherine E. Bowen
  • Oliver Huxhold
Original Investigation
  • 168 Downloads

Abstract

Well-being in retirement is thought to depend on person’s level of resources and how his or her resources change during retirement. However, to date few studies have directly investigated resource trajectories during retirement. The current study therefore examines how economic, personal, and social-relational resources change during the retirement transition for people retiring from paid employment and for people retiring from other, non-working labour market statuses (e.g. disability pension, homemaker, unemployment). Based on four representative baseline samples of the German Ageing Survey (1996, 2002, 2008, and 2014) and their respective 6-year follow-up interviews, we identified N = 586 retirees. We then used dual change score models to separately estimate the level and change in income, health, activity, family and non-family network size, and social support for people retiring from paid work (n = 384) and people retiring from other statuses (n = 202) adjusted for age, gender, education, region, period, and time since retirement. Overall, we found that resources changed only modestly during the retirement transition. Resource changes did, however, differ by last labour market status and sociodemographic characteristics. Income and social support declined and family networks increased for both those retiring from paid work and those retiring from other statuses. Leisure activities increased only for those retiring from paid work. No changes in health or non-family networks were observed. People with many resources before retirement also had many resources after retirement. We conclude that retirement affects resources less than researchers often expect. Accordingly, differences based on labour market remain despite retirement.

Keywords

Retirement Resources Last labour market status Life course 

Notes

Acknowledgements

The German Ageing Survey is funded by the German Federal Ministry for Family, Senior Citizens, Women and Youth (Grant 301-1720-2/2).

References

  1. Acock AC (2005) Working with missing values. J Marriage Fam 67:1012–1028.  https://doi.org/10.1111/j.1741-3737.2005.00191.x CrossRefGoogle Scholar
  2. Baker M, Stabile M, Deri C (2004) What do self-reported, objective, measures of health measure? J Hum Resour.  https://doi.org/10.2307/3559039 CrossRefGoogle Scholar
  3. Barbosa LM, Monteiro B, Murta SG (2016) Retirement adjustment predictors—a systematic review. Work Aging Retire 2:262–280.  https://doi.org/10.1093/workar/waw008 CrossRefGoogle Scholar
  4. Behncke S (2012) Does retirement trigger ill health? Health Econ 21:282–300.  https://doi.org/10.1002/hec.1712 CrossRefGoogle Scholar
  5. Bosse R, Aldwin CM, Levenson MR et al (1993) Change in social support after retirement: longitudinal findings from the normative aging study. J Gerontol 48:P210–P217.  https://doi.org/10.1093/geronj/48.4.P210 CrossRefGoogle Scholar
  6. Cornwell B, Schafer MH (2016) Social networks in later life. In: George LK, Ferraro KF (eds) Handbook of aging and the social sciences. Elsevier, Amsterdam, pp 181–201CrossRefGoogle Scholar
  7. Damman M, van Duijn R (2017) Intergenerational support in the transition from work to retirement. Work Aging Retire 3:66–76.  https://doi.org/10.1093/workar/waw023 CrossRefGoogle Scholar
  8. Dannefer D (2003) Cumulative advantage/disadvantage and the life course: cross-fertilizing age and social science theory. J Gerontol Ser B Psychol Sci Soc Sci 58:S327–S337.  https://doi.org/10.1093/geronb/58.6.S327 CrossRefGoogle Scholar
  9. De Vaus D, Wells Y, Kendig HL, Quine S (2007) Does gradual retirement have better outcomes than abrupt retirement? Results from an Australian panel study. Ageing Soc 27:667–682.  https://doi.org/10.1017/S0144686X07006228 CrossRefGoogle Scholar
  10. Dorfman LT (2013) Leisure activities in retirement. In: Wang M (ed) The Oxford handbook of retirement. Oxford University Press, Oxford, pp 339–353Google Scholar
  11. Ekerdt DJ, Baden L, Bossé R, Dibbs E (1983) The effect of retirement on physical health. Am J Public Health 73:779–783.  https://doi.org/10.2105/AJPH.73.7.779 CrossRefGoogle Scholar
  12. Ezzy D (1993) Unemployment and mental health: a critical review. Soc Sci Med 37:41–52.  https://doi.org/10.1016/0277-9536(93)90316-V CrossRefGoogle Scholar
  13. Fasang AE (2010) Retirement: institutional pathways and individual trajectories in Britain and Germany. Sociol Res Online.  https://doi.org/10.5153/sro.2110 CrossRefGoogle Scholar
  14. Fasang AE (2012) Retirement patterns and income inequality. Soc Forces 90:685–711.  https://doi.org/10.1093/sf/sor015 CrossRefGoogle Scholar
  15. Gallo WT (2013) The association of retirement with physical and behavioral health. In: Wang M (ed) The Oxford handbook of retirement. Oxford University Press, New York, pp 325–338Google Scholar
  16. Halleröd B, Örestig J, Stattin M (2012) Leaving the labour market: the impact of exit routes from employment to retirement on health and wellbeing in old age. Eur J Ageing 10:25–35.  https://doi.org/10.1007/s10433-012-0250-8 CrossRefGoogle Scholar
  17. Hansson I, Buratti S, Thorvaldsson V et al (2018) Changes in life satisfaction in the retirement transition: interaction effects of transition type and individual resources. Work Aging Retire 4:352–366.  https://doi.org/10.1093/workar/wax025 CrossRefGoogle Scholar
  18. Henning G, Lindwall M, Johansson B (2016) Continuity in well-being in the transition to retirement. GeroPsych 29:225–237.  https://doi.org/10.1024/1662-9647/a000155 CrossRefGoogle Scholar
  19. Hobfoll SE (1989) Conservation of resources: a new attempt at conceptualizing stress. Am Psychol 44:513–524.  https://doi.org/10.1037/0003-066X.44.3.513 CrossRefGoogle Scholar
  20. Huxhold O, Fiori KL, Windsor TD (2013) The dynamic interplay of social network characteristics, subjective well-being, and health: the costs and benefits of socio-emotional selectivity. Psychol Aging 28:3–16.  https://doi.org/10.1037/a0030170 CrossRefGoogle Scholar
  21. Hyde M, Ferrie JE, Higgs P et al (2004) the effects of pre-retirement factors and retirement route on circumstances in retirement: findings from the Whitehall II study. Ageing Soc 24:279–296.  https://doi.org/10.1017/S0144686X03001624 CrossRefGoogle Scholar
  22. Kim JE, Moen P (2002) Retirement transitions, gender, and psychological well-being: a life-course, ecological model. J Gerontol Ser B Psychol Sci Soc Sci 57:P212–P222.  https://doi.org/10.1093/geronb/57.3.P212 CrossRefGoogle Scholar
  23. Klaus D, Engstler H, Mahne K et al (2017) Cohort profile: the German ageing survey (DEAS). Int J Epidemiol 46:1105-1105g.  https://doi.org/10.1093/ije/dyw326 CrossRefGoogle Scholar
  24. McArdle JJ (2009) Latent variable modeling of differences and changes with longitudinal data. Annu Rev Psychol 60:577–605.  https://doi.org/10.1146/annurev.psych.60.110707.163612 CrossRefGoogle Scholar
  25. Mein G, Martikainen P, Hemingway H et al (2003) Is retirement good or bad for mental and physical health functioning? Whitehall II longitudinal study of civil servants. J Epidemiol Community Health 57:46–49.  https://doi.org/10.1136/jech.57.1.46 CrossRefGoogle Scholar
  26. Morris JK, Cook DG, Shaper AG (1994) Loss of employment and mortality. BMJ 308:1135–1139.  https://doi.org/10.1136/bmj.308.6937.1135 CrossRefGoogle Scholar
  27. Motel-Klingebiel A, Engstler H (2008) Einkommensdynamiken beim Übergang in den Ruhestand. In: Künemund H, Schröter KR (eds) Soziale Ungleichheiten und kulturelle Unterschiede in Lebenslauf und Alter. Springer, Wiesbaden, pp 141–159CrossRefGoogle Scholar
  28. Muthén L, Muthén B (2010) MPlus—user’s guide, 6th edn. Muthen & Muthen, Los AngelesGoogle Scholar
  29. OECD (2018) Net pension replacement rates (Indicator). https://data.oecd.org/pension/net-pension-replacement-rates.htm. Accessed 07 Feb 2018
  30. Ross CE, Mirowsky J (2006) Social structure and psychological functioning. In: Delamater J (ed) Handbook of social psychology. Springer, Boston, pp 411–447CrossRefGoogle Scholar
  31. Rowe JW, Kahn RL (2015) Successful aging 2.0: conceptual expansions for the 21st century. J Gerontol Ser B Psychol Sci Soc Sci 70:593–596.  https://doi.org/10.1093/geronb/gbv025 CrossRefGoogle Scholar
  32. Schmälzle M, Wetzel M, Huxhold O (2019) Pathways to retirement: are they related to patterns of short- and long-term subjective well-being? Soc Sci Res 77:214–229.  https://doi.org/10.1016/j.ssresearch.2018.10.006 CrossRefGoogle Scholar
  33. Segel-Karpas D, Bamberger PA, Bacharach SB (2013) Income decline and retiree well-being: the moderating role of attachment. Psychol Aging 28:1098–1107.  https://doi.org/10.1037/a0034672 CrossRefGoogle Scholar
  34. Strauß S, Ebert A (2013) Einkommensungleichheiten in Westdeutschland vor und nach dem Renteneintritt. In: Vogel C, Motel-Klingebiel A (eds) Altern im sozialen Wandel: Die Rückkehr der Altersarmut?. Springer, Wiesbaden, pp 253–272CrossRefGoogle Scholar
  35. Szinovacz ME (2003) Contexts and pathways. In: Adams GA, Beehr TA (eds) Retirement: reasons, processes, and results. Springer, New York, pp 6–52Google Scholar
  36. Van Den Bogaard L, Henkens K, Kalmijn M (2014) So now what? Effects of retirement on civic engagement. Ageing Soc 34:1170–1192.  https://doi.org/10.1017/S0144686X13000019 CrossRefGoogle Scholar
  37. van Tilburg TG (2009) Retirement: effects on relationships. In: Reis HT, Sprecher S (eds) Encyclopedia of human relationships, vol 3. Sage, Thousand Oaks, pp 1376–1378Google Scholar
  38. Wang M (2012) Retirement: an adult development perspective. In: Whitbourne SK, Sliwinski MJ (eds) The Wiley-Blackwell handbook of adulthood and aging. Blackwell, Oxford, pp 416–432CrossRefGoogle Scholar
  39. Wang M, Shi J (2014) Psychological research on retirement. Annu Rev Psychol 65:209–233.  https://doi.org/10.1146/annurev-psych-010213-115131 CrossRefGoogle Scholar
  40. Wang M, Henkens K, van Solinge H (2011) Retirement adjustment: a review of theoretical and empirical advancements. Am Psychol 66:204–213.  https://doi.org/10.1037/a0022414 CrossRefGoogle Scholar
  41. Westerlund H, Kivimäki M, Singh-Manoux A et al (2009) Self-rated health before and after retirement in France (GAZEL): a cohort study. Lancet 374:1889–1896.  https://doi.org/10.1016/S0140-6736(09)61570-1 CrossRefGoogle Scholar
  42. Wetzel M, Huxhold O (2016) Are leisure activity and health interconnected after retirement: educational differences. Adv Life Course Res 30:43–52.  https://doi.org/10.1016/j.alcr.2016.03.007 CrossRefGoogle Scholar
  43. Wetzel M, Mahne K (2016) Out of society? Retirement affects perceived social exclusion in Germany. Z Gerontol Geriatr 49:327–334.  https://doi.org/10.1007/s00391-016-1036-y CrossRefGoogle Scholar
  44. Wetzel M, Huxhold O, Tesch-Römer C (2016) Transition into retirement affects life satisfaction: short- and long-term development depends on last labor market status and education. Soc Indic Res 125:991–1009.  https://doi.org/10.1007/s11205-015-0862-4 CrossRefGoogle Scholar
  45. Wilson J (2000) Volunteering. Annu Rev Sociol 26:215–240.  https://doi.org/10.1146/annurev.soc.26.1.215 CrossRefGoogle Scholar
  46. Yeung DY (2018) Adjustment to retirement: effects of resource change on physical and psychological well-being. Eur J Ageing 15:301–309.  https://doi.org/10.1007/s10433-017-0440-5 CrossRefGoogle Scholar
  47. Yeung DY, Zhou X (2017) Planning for retirement: longitudinal effect on retirement resources and post-retirement well-being. Front Psychol.  https://doi.org/10.3389/fpsyg.2017.01300 CrossRefGoogle Scholar

Copyright information

© Springer Nature B.V. 2019

Authors and Affiliations

  1. 1.University of CologneCologneGermany
  2. 2.ViennaAustria
  3. 3.German Centre of GerontologyBerlinGermany

Personalised recommendations