Nearly half of older Malaysians expect to keep working

Retirement has traditionally been viewed as the reward for decades of employment, offering the opportunity to leave professional responsibilities behind and enjoy a more leisurely pace of life.

For a substantial number of Malaysians, however, that transition may not involve giving up work altogether.

According to a RinggitPlus survey released on Oct 22, 45.6% of respondents expect to continue working beyond retirement age, either part-time or by never fully retiring.

The online survey, involving 3,005 Malaysian adults, found that 38.7% anticipated taking on part-time employment after retirement age, while 12.9% had accepted that they would never retire completely.

Another 6% selected both options, reflecting the different ways respondents envision their later working years.

While the findings suggest that conventional notions of retirement are evolving, they do not establish whether respondents expect to continue working out of financial necessity, personal fulfilment or a combination of both.

The prospect of earning an income later in life becomes particularly relevant when considered alongside Malaysians’ expectations of their retirement savings. The survey found that 48% anticipated relying on their EPF, while 44% expected to draw on personal savings or investments outside the fund.

Other potential sources included rental or property income, cited by 18%, and financial support from children, mentioned by 14%.

Through its Belanjawanku expenditure guide, EPF has provided a reference for understanding the financial resources needed to sustain different lifestyles at age 60: RM390,000 for basic needs, RM650,000 for an adequate retirement income, and RM1.3 million for greater financial security.

The basic savings benchmark is being phased in gradually, beginning at RM270,000 this year and reaching RM390,000 in 2030.

EPF estimates that a single elderly person in the Klang Valley requires approximately RM2,690 monthly to maintain a reasonable standard of living.

Choice or necessity?

Working beyond retirement age need not necessarily be undesirable. For some, it provides opportunities to remain professionally engaged, pursue interests, or supplement an otherwise comfortable income.

Others may find that additional earnings are essential to managing everyday expenses, supporting family members or preserving savings for later years.

The RinggitPlus findings offer further context: among respondents earning below RM2,000 monthly, 39% said their savings would last less than a month if they lost their jobs, while 36% reported saving nothing each month.

Such figures underscore the financial vulnerability experienced by some households, although they cannot establish a direct connection between inadequate savings and the expectation of working beyond retirement age.

Ultimately, the survey raises a broader question about what retirement will mean for future generations of Malaysians.

For some, it may remain a clear departure from working life.

For others, a gradual reduction in working hours or a second career could become part of a longer, more flexible transition.

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