According to CBS News business analyst Jill Schlesinger, Americans are facing three main obstacles to retirement. They’re living longer, median wages have stagnated over the past 20 years and a shift from pension plans to 401(k)s have all put a burden on employees.
But the National Bureau of Economic Research has found that working longer by even a short period of time can have a dramatic impact on retirement. For example, retiring at 66 instead of 62 can increase the standard of living in retirement by almost 33 percent.
“Hang in there until age 70, and your standard of living will improve nearly 75 percent,” Schlesinger said.