WHY retire, when you can work part-time? That's the growing trend in Australia as more people gradually wind down to retirement instead of stopping work completely.   

According to the Australian Bureau of Statistics, about 40 per cent of older workers expect to wind back their hours for several years before eventually retiring.

Another 13 per cent intend to never retire but just keep working, at least part time.

The bureau's research, part of the national Multipurpose Household Survey undertaken last year, concentrated on workers aged over 45 and asked them what their intentions were for retirement.

Although the most popular intended future retirement age was between 65 and 70, in reality the current average retirement age is a lot younger.

The Institute of Actuaries of Australia says the average retirement age for long-term workers is 58 for women and 61 for men.

However, this average age is expected to increase.

"A lot of companies are offering that flexibility of part time or transition to retirement, so they can retain the Baby Boomers and their skills in the workforce," Actuaries Institute chief executive Melinda Howes says.

"Many companies don't want to lose those experienced people or their skills," Ms Howes says.

The Australian Institute of Superannuation Trustees says the two main reasons people are choosing to work well in to the sixties are financial and social.

"For some, this is because they haven't saved enough super or were hit hard by the global financial crisis," AIST chief executive Fiona Reynolds says.

"Many know they will be heavily reliant on the age pension and see part-time work as a way to top up their income - it can be the difference between just getting by and enjoying retirement.

"But many older workers also tell us they enjoy both the challenges and social aspects of work."

Australian Super general manager of strategy Paul Schroder says not everyone will have the option of working longer.

"For people in physically demanding jobs, they won't necessarily be able to keep working as long as they want and, in other cases, there won't be a job available," Mr Schroder says.

"However, for many others this notion of 'retirement' no longer exists. People are working part time, changing careers, learning new skills and all kinds of transitions. People are morphing in to retirement these days, there's no big race to the finish line."

MoneySmart senior manager Robert Drake says current superannuation rules allow people to start drawing some of their superannuation from age 55 onwards and continue to work, which is encouraging the trend to part-time retirement.

"Working part time rather than retiring completely has two financial benefits - you draw less on your super, if any at all, for a few years and you also have the chance to top up your retirement savings," Drake says.

WHEN WILL WE RETIRE?

(Workers aged 45+)

* Currently employed: 4.8m

Full time 68%

Part time 32%

Intend to retire 79%

Never intend to retire 13%

Unsure 8%

* Intended retirement age

Dont know 40%

Of the 60% balance:

Age 70 plus 14%

Age 65-69 47%

Age 60-64 28%

Age 45-59 12%

Source: ABS

Read more: http://www.news.com.au/money/cost-of-living/workers-stretch-retirement-dates/story-fnagkbpv-1226309916135#ixzz1qIN0txFp

I'd like to retire on Friday thanks.