Early retirement hits 42% of retirees in Allianz study

Allianz Life’s 2026 Annual Retirement Study found that 42 per cent of retirees left the workforce earlier than planned, highlighting the risks of building retirement strategies around a target age.

Health complications that prevented people from continuing in their jobs accounted for 30 per cent of early retirements, while job loss and reaching adequate savings were each cited by 21 per cent of respondents. By comparison, only 5 per cent said they stayed in work longer than expected.

The findings differ from other surveys. The Employee Benefit Research Institute reported that 46 per cent of retirees left work earlier than planned, while the Society of Actuaries Research Institute reported a rate of 59 per cent in its 2024 Retirement Risk Survey, published in May 2026.

EBRI found that workers expected to retire at a median age of 65, compared with an actual departure age of about 62. Earlier retirement can mean fewer years of contributions, a longer period drawing down savings and the loss of employer health cover before Medicare eligibility.

The surveys use different samples, methodologies and definitions, so their results are not directly comparable. Allianz Life’s study also did not provide full methodology or sample details in the source material.

Retirement confidence fell in EBRI’s 2026 survey, with confidence among active workers dropping six percentage points to 61 per cent and retiree confidence falling five points to 73 per cent. The source said early claiming can reduce Social Security benefits by up to 30 per cent, depending on individual circumstances.