Who are all these ‘economically inactive’ 50 year olds

[Orangetapemeasure]

The government is trying to encourage 300000 or so ‘economically inactive’ 50+ year olds back to work. Who are these people and what do they do?
I can imagine some people in their 60s deciding to retire early, but I don’t know a single 50 year old who has or could afford to give up work. In fact I know several previously SAHM who are only launching their careers in their mid 40s. I’m mid 40s with a good 15-20 years left to work.
MN please enlighten me.

They need to change the tax system.

I'm 48 and fully expect I need to work for another 20 years. I doubt I'll live long in retirement or manage those 20 years. I have a chronic health condition after covid. There's going to be thousands like me.

Lone parent, divorce wiped me out financially. Had to start again at 40. Depressing thread because the economy is built for two incomes. It sucks if you're alone. There's no support.

But income tax is only one form of tax. There are many very wealthy people who pay little tax or certainly proportionally little. Tories won't change it though. Hence their little campaign.

@RRRException yes I think that's logical. We already have more over 65s than under 15s so fiscally how is the NHS & social care going to look in a decade or so. Look at it now!

We get private healthcare through DHs work so for that reason he wants to work as long as possible!

This was the only downsize of retiring for us. Last year my heath insurance was 8.6k, my DH’s was 1k.

3 friends of mine retired in their 50s. One worked in the NHS and was just a bit worn down by it. The other 2 had older partners who had retired about 5 yrs previously. I don’t any of these three would be tempted back. The 2 with older partners are enjoying their time together and the ex NHS one has an elderly mother to help out when she’s not making stuff to sell at craft fairs.

Where I work, a group of people were made redundant just pre COVID. There were 6, only one of them isn’t back in employment of some kind now. The difference with this group is that it wasn’t their choice to leave employment. The oldest one juggles a part time job and looking after a mother with dementia. I don’t know how she manages, but would say management missed a trick when they didn’t keep her on.

i don’t know a single woman my age (50s) who does not work

And yet that is not my experience.

I retired 2yrs ago at 58, with a decent mix of investments, savings, and some final salary pensions to come in my early 60s.

I have quite a few friends (mainly female but not all) who have finished in their mid 50s, with similar levels of investments and good pensions. We all went back to professional jobs after having kids, some FT, some PT. None of us have health issues, but why work when we don’t have to?

One colleague finished weeks before me at 52! Admittedly without kids, but he had been saving for it for years.

I drawdown my personal pensions up to tax free limit, but will eventually pay tax when I take final salary pensions.

DH is still working, but he could finish, he is just not ready.

I keep busy in many ways, long country walks with dog, we have a motorhome we use, I meet friends for lunches or days out, do day trips alone. Currently on a family long haul holiday to celebrate my 60th, with other trips (both Uk/abroad) planned between now and summer.

I have no caring responsibilities - both us and my parents had kids in 30s, so my 2nd parent died nearly a decade ago aged 90, our kids are young adults with no grandchildren on horizon.

I am never bored!

I am 52 and work part-time. I would never go back to full-time work and in fact I am doing all I can (moving to a cheaper area) to reduce my outgoings and move to an even less stressful role.

The reality is that there is a lot of ageism at work. So I really don't know where all these vacancies for people over 50s actually are...I have friends in their late 40s who keep being turned down for jobs and who are convinced their age is a big factor.

Also work practices in many companies are really poor in the UK (long hours, bullying, crap wages, useless managers, no respect of work-life balance). As people get older they are less prepared to put up with workplace nonsense and they realise that there is more to life than being at the beck and call of an often ungrateful employer.

I’m 47 and when I started working 34 years ago I wanted to be retired by 50 living by the Sea. Now I can’t ever see myself being able to retire as money has been devalued so much by rising costs so I’m hoping I die before I’m 70 because there’s no way I want to be climbing ladders past 67.

A very good and incisive point:

For us:
One child
Had her at age 36 - so quite late
Actually left work for a while - but divorce from her father meant I started work in a completely different area - at that time local government - hence the meeting of my second husband, yay!!!!
Yes to inheritance - eventually
Re elderly parents - I looked after my very elderly dad after my mum's death - but bought in lots of help (care visits twice daily and a housekeeper) - and so continued working. Things were slightly better in those days, but it was the housekeeper that kept the show on the road rather than the home-care visits, which were sketchy at best. They also never seemed to turn up on bank holidays.
Still burned out though with Mum's death and looking after my Dad so had a break, which then led into working in education.

@DuvetDownn I know 4 people who went private this last yr for operations because the NHS waiting lists were ridiculous.

My mother is one of these. She's 58, not retired but doesn't work. She has always hated working. She hasn't worked since she was struck off as a social worker in 2014.
There is a 20yr age gap between my mum and dad so my dad is retired and gets pension credit. They say it's not financially viable for my mum to work because they will lose the pension credit and associated benefits.
She'll be screwed if my dad dies.

I am and also know 8 economically inactive 50 to 56 year olds, these are close friends. I have another two friends who have just hit 60 so just miss the demographic but both retired during covid lockdown in late fifties.

Six of us played the stock market and are open to talking about it. Two of us have partners who are younger than us with well paid jobs that put them in top 10% of earners. One owns a few houses that they rent out. One got a very large inheritance. Three have health issues.

Apart from one who is on his second marriage all of them are in 25 year plus relationships. All but one who doesn’t have kids has 1 or 2 children.

I have had 3 friends die in the last 5 years all in their forties and very early fifties. If people are well off unless their work defines them or they do something truly amazing then what’s the point. My brother and his wife help develop drugs to treat cancer. DH works in a non medical field but has contributed to projects that could potentially have saved millions of lives. They are to be admired, I spent a lot of my day working out statistics, some other worker bee does that role now.

All bar 3 of us do voluntary work.

Im in my mid fifties and know the odd one or two (one in particular has just ‘retired’ in their 40s to live on family money which was built up by both their parents working through choice to a much older age) but everyone else is still very much economically active in good jobs and not ready to stop yet.

DazzlePaintedBattlePants · Today 08:02
If reduction in income tax is a worry, then the obvious next step is a wealth tax…

ABSOLUTELY

@RRRException most people get a loan for Uni

What wealth?

Inheritance tax ?

On the accrued wealth from rising home prices ?

Or the savings you have for a new boiler?

Or the wealth of those earning millions whilst their staff are in minimum wage?

Yes! I wondered why all the sudden interest in menopause........dose 'em up and get 'em toiling sounds about right.

the "economically inactive" 50 year olds i know are divided broadly into two groups.
The first are those who had good professions (there is one woman in know in this category but most are men) and get a good pension, or who were made redundant with a good pay off and retired on that.

The second are those who have caring responsibilities. I don't know, personally, any men in this group.

I retired at 57. I could afford to and my job was starting to have a negative effect on my health. I am very active and also work unpaid as a charity trustee. No regrets.

I was made redundant in my late 50s after working full-time since 16 with minimal MAT leave. I’d rather adjust my lifestyle to my income than go back to an office.

Now in my 60s, time is precious and I don’t think I’d be physically or mentally capable of working full time and running the house, shopping etc.

*There seem to be a number of factors here:

whether you had children and how many

what age you had your children

if you took a career break with your children
if you have an inheritance

if you have elderly parents that you are helping care for*

For me three DC born in my teens, twenties and early thirties.

Worked part time around the DC

No inheritance until last year and then used it for a flat deposit for one DC and have the saved the rest for the other two DC.

Lots of caring responsibilities for DM,shes only 72 but has advanced Alzheimer’s. She just moved into a nursing home and at the moment the load hasn’t got lighter (long story) but I really hope it will soon.

Yes, this. Too many industries burn people out before they get to retirement age

I am one of them. Ex teacher that just couldn't take any more of it unintentionally retired early before I had a breakdown

If you’d re on more than the minimum wage as parents then your DC only get the minimum maintenance loan of £4.5k per year. Most uni accommodation costs upwards of £6.5k per year, plus food/living costs means that most parents are funding the difference which is £5k a year plus.

For each child at Uni, each year.

The loan for tuition fees is separate and the students debt.

Not rtft but are they really economically inactive?
Unless they’re all living off grid and growing their own food and harvesting rays of Sun then they are surely very much economically active?

I'm not sure if I am "economically inactive". I am mid 50's, earning £1100 a month, which is insufficient to pay tax or NI. It is a PT job. All my mortgage is paid off, my DH has a decently paid job. I have never claimed benefits, never been entitled to child benefits and have not used the state schools. I've bought back all my NI towards a state pension.

I have been applying for better jobs, but constantly get rejections. There is definitely discrimination there WRT qualifications and age.

I don't really care about what the govt. thinks. I'll do what is best for ME and my family. So far, we have contributed more than we have taken out. I plan on retiring when I am 62, when my state pension is fully contributed to.