Rising income for over 60s

The average yearly earnings for over-60s rose by nearly £1,000 between 2011 and 2013, according to analysis by Prudential.

The research, based on figures released by the Office for National Statistics, reveals that the average annual income for over-60s rose by 6.1% to £17,250 between 2011 and 2013.

This was the biggest increase of all the age groups and above the average 3.8% increase across all age groups.

The report finds that:

  • there were 100,000 more over-60s employed in 2013 than in 2011
  • average income for over-60s in management level positions increased from £24,000 in 2011 to £25,200 in 2013
  • there were 32,000 more over-60s in management positions in 2013 than in 2011, a rise of 25%
  • women over 60 saw their pay increase 11.4%, compared to a 4.2% rise for men over 60.

Stan Russell, retirement income expert at Prudential, said:

"Our analysis suggests that the relative success of older workers in the labour market is down to a combination of their increasing willingness to work on rather than retire, and the recognition by employers of the unique experience and skills they bring to the workplace.

"However, there are of course those who would prefer to give up work in their seventh decade but have had to delay their retirement because of insufficient pension savings.

"It is important to remember therefore that the money earned in the later years of a career may be too little too late, despite the pay rises for the over-60s that we have identified."