Economic (In)security and Living Arrangements in Later Life: Heterogeneity by Race-Ethnicity

Changes in economic security and living arrangements among the diverse, aging U.S. population are not experienced uniformly. Using Health and Retirement Study data linked to the Elder Index^TM-an income measure of older adult needs-we estimated discrete-time competing risks models to examine the first transition from economic security and independent living near retirement age (65-68) among community-dwelling older adults to: economic insecurity while living independently, doubling up (non-independent living by coresiding with any non-spousal individuals), remaining in economic security while living independently, or being lost to follow-up. A substantial portion of relatively well-off adults near retirement age became economically insecure (21%) or doubled up (15%). Non-Hispanic Black and Hispanic Americans were also more likely to transition into economic insecurity while living independently and double up than non-Hispanic White Americans. Lastly, wealth near retirement age largely explained Black women's higher risk of becoming economically insecure compared to White women.