As costs for housing and health care continue to rise, a growing number of seniors cannot afford to retire, while others choose to remain in the workforce, encouraged by increased longevity and the flexibility of remote work, according to a recent study from CareScout, a unit of Genworth Financial that offers long-term care insurance.
A record 11.6 million Americans 65 and older participate in the U.S. workforce, up by 132% from 4.9 million in 2004, according to the Bureau of Labor Statistics. And CareScout noted that artificial intelligence is poised to displace entry-level jobs before those requiring decades of experience and judgment, as employers recognize that veteran workers are likelier than young ones to notice when AI hallucinates.
Ultimately, millions of older adults are forced to keep working in order to pay their bills. A recent Goldman Sachs survey cited by the study found that 58% of Americans think they will outlive their savings.
Consider a new CareScout survey, released in March, which showed that, at the median, assisted living facilities cost $6,200 per month, while the monthly median cost of a nursing home room is $10,798. These payments stress even affluent families and are prohibitive for the nearly 1 in 5 seniors who live below 150% of the federal poverty line.
Given these trends, the study said, people 65 and older are projected to experience faster labor force growth than any other age group over the next decade, even though they will still account for the smallest share of the workforce in 2033, according to the Labor Department.
This is a primary reason that seniors are increasingly factoring employment opportunities into their decision of where to retire, it said.
To determine the top states for older workers in 2026, CareScout analyzed six metrics in all 50 states and the District of Columbia: labor force participation, income, age discrimination rates, remote work flexibility, income taxes and new business growth. Researchers in March and April accessed the most recent data from the Bureau of Labor Statistics, Census Bureau, Tax Foundation and Equal Employment Opportunity Commission.
See the accompanying gallery for the 12 top states for older workers.
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