The majority of high net worth individuals in the US (54 per
cent) will opt never to retire, according to research by Barclays Wealth.

Barclays found from a global survey of 2,000 high net worth
individuals that the HNW in the US are shunning traditional retirement and
instead continuing to work, start businesses and take on new projects in their
later years. 

Barclays Wealth refers to the concept of “nevertiree” in its
latest Insights report, entitled, The Age Illusion: How the Wealthy are
Redefining Their Retirement.

For 63 per
cent of the US’ wealthy, simply reaching the normal age to retire is not at all
important in determining when they stop working.

Forty per
cent of US HNW individuals “completely agree” that they are “totally confident”
in having enough money for retirement, with another 37 per cent “slightly
agreeing”.  Only 48% of US HNW individuals would completely classify
themselves as financially secure. 

The report also explores how the wealthy in the US compare
to their global peers. Seventy five per cent of US respondents plan to work
part time after they have stopped working permanently, seven per cent more than
the global average.  Specifically,
32 per cent plan to work between five and 20 hours per week in retirement, and
seven per cent plan to work more than 20 hours per week.

 “While previous
generations looked to create their wealth early on in life with a view to
enjoying it when they retired, this report reflects a different attitude, with
people wanting to continue to challenge themselves well beyond the traditional
retirement age,” Matt Brady, head of Wealth Advisory, Americas at Barclays
Wealth said in a statement.

The attitudes highlighted in the report carry important
wealth management implications, Barclays Wealth argues, as it means some
“nevertirees” might ignore the need to solve issues such as succession
planning, writing a will and providing for life after work.

The report also comes at a time when developed countries are
wrestling with the issue of how to fund an increasingly ageing population, made
more acute by the recent financial crisis. On the other hand, improving
healthcare and changing patterns of work mean it is increasingly feasible for
some, if not all, employed persons to contemplate a longer work life than was
the case for their parents.