Global life expectancy improved from 46.5 years in 1950 to 66 years in 2000 and is anticipated to increase to 76 by 2050, according to the United Nations Population Division. As a result, some countries are revisiting their retirement ages and making adjustments.

In 2023, France’s pension reform changed the minimum legal retirement age from 62 to 64 beginning in 2030. However, rules are in place so that those who start work at younger ages may still retire earlier. The planned reform was met with protests, some of which turned violent.

In September 2024, China passed a similar plan to change statutory retirement ages for the first time since the 1950s. It will raise the retirement age from 50 to 55 for women in blue-collar jobs and from 55 to 58 for white-collar jobs. For men, the retirement age will change from 60 to 63 years old.

Having a sense of retirement trends and age requirements in the rest of the world can be helpful as you think about your retirement age, especially in relation to recently proposed changes to Social Security.

To better understand when people around the world typically stop working, consider the following:

• Average retirement ages
• Average U.S. retirement ages
• Changes in retirement funding
• Why retirement age matters
• How to decide when to retire

Average retirement ages worldwide

Iceland and Norway are among the nations with the highest current retirement age of 67 years old. The current retirement age refers to the age at which individuals can retire without receiving a penalty to their pension after completing a full career, beginning at age 22, according to 2021 statistics from the Organization for Economic Cooperation and Development, or OECD. Meanwhile, the country with the lowest retirement age is Sri Lanka at 55.

In many Asian countries, including China, India and South Korea, the official minimum retirement age is in the late 50s and early 60s. However, workers often stay employed until their late 60s. In some European countries, along with the U.S. and Canada, more workers, on average, retire earlier than the minimum retirement age.

Average retirement ages in the U.S.

In the U.S., the current retirement age is 66, and the effective retirement age is about 65, according to the OECD. The effective retirement age is the average age when workers who are 40 or older leave the labor force. While this is higher than in some countries, it is lower than in Japan and New Zealand, where the effective retirement age is 68, and in Indonesia, where it is about 69.

Changes in retirement funding

In the past, when workers joined a company and remained with the organization for decades, there was a different approach to retirement. “Previous generations typically had guaranteed pension income to almost fund their retirement beginning fully at a specific age,” said Robert Clements, a chartered financial consultant and accredited investment fiduciary at FDS Advisors in Wayne, Pennsylvania, in an email.

In recent years, companies have shifted away from pensions and offered employee-funded retirement accounts such as 401(k)s. “While this came with several benefits for the employee, it also put almost the entire responsibility on them to save enough money to retire and in some cases pay for their health care,” Clements said.

Given these changes, today's workers may need to devise their own saving strategy for retirement and decide when they will stop working. “One aspect I emphasize to my clients is the significance of understanding their assets and how they align with their retirement goals,” said Marty Burbank, an elder law attorney and owner of OC Elder Law in Fullerton, California, in an email. “I’ve worked with clients who chose to retire early and found themselves needing to reconsider their estate plans to ensure their assets were protected and would last through their retirement years.” Those who work for more years may have the chance to contribute additional income to their retirement accounts and investments.

Why retirement age matters

There are financial advantages to delaying retirement. If you retire before age 65 in the U.S., you’ll generally need a way to support yourself for the following decades. In addition to drawing from retirement accounts, living on investments and taking Social Security benefits, you won’t be earning an income.

When you reach your full retirement age, which for most U.S. workers is age 66 or 67, you can apply for your full Social Security benefit. While you may be eligible for Social Security as early as 62, your benefit will be reduced. By choosing to delay Social Security benefits, the amount you receive will increase by 8% every year until you reach age 70. To understand what to expect in retirement, look at the different amounts you’ll receive based on the age you apply. Additionally, Medicare becomes available to U.S. retirees at age 65.

How to decide when to retire

Although you may not be ready to retire as early as Sri Lankans or South Koreans, you can determine your ideal retirement age based on your well-being and personal finances. “Some individuals are not happy with their job and can’t wait to get out,” said Jamie Upson, a certified financial planner and owner of Stonehearth Capital Management in Danvers, Massachusetts, in an email. “There is also this unknown health status as we age, and people want to make sure that they retire early enough so they can check off some of those bucket lists.”

Once you reach 65, you’ll be eligible for Medicare, and your Social Security benefits could be at their full amount when you are 66 or 67. “For many families, they simply cannot afford to retire much earlier because they don’t have the financial resources to accept discounted Social Security benefits if they claim early or the funds to purchase private health insurance until Medicare begins,” Upson said.