Beyond health and economy: resource interactions in retirement adjustment

Objectives: The retirement transition is a multidimensional and dynamic process of adjustment to new life circumstances. Research has shown that individual differences in resource capability accounts for a substantial amount of the previously observed heterogeneity in retirement adjustment. The aim of the present study was to investigate interaction effects of self-esteem, autonomy, social support, self-rated physical health, self-rated cognitive ability, and basic financial resources on levels and changes in life satisfaction in the retirement transition. Method: Our sample included 1924 older adults from the longitudinal population-based HEalth, Ageing, and Retirement Transitions in Sweden (HEARTS) study. The participants were assessed annually over a three-year period, covering the transition from work to retirement (n = 614). Participants continuously working (n = 1310) were included as a reference group. Results: Results from latent growth curve models showed that the relationship between a particular resource and levels and changes in life satisfaction varied depending on other available resources, but also that these effects varied between retirees and workers. Autonomy moderated the effect of physical resources, and social support and perceived cognitive ability moderated the effect of financial resources. Discussion: Our findings add to the current knowledge on retirement adjustment and suggest that negative effects of poor health and lack of basic financial resources on retirees life satisfaction may be compensated for by higher levels of autonomy, social support, and perceived cognitive ability.