A growing number of Filipinos expect to continue working beyond the traditional retirement age, but a new survey shows that the reasons behind this trend reveal a widening divide.

According to the “Retirement Reimagined: Asia’s Retirement Divide” report by Sun Life Philippines, 72 percent of respondents in the Philippines expect to work beyond age 65. While many cite personal fulfillment, a significant portion say financial necessity is driving the decision.

The study points to what it describes as two distinct retirement realities: financially prepared “Gold Star Planners” who choose to work longer for purpose and engagement, and “Stalled Starters” who delay retirement due to financial constraints.

“What we’re seeing is not a single retirement experience, but two very different realities,” said Benedict Sison, chief executive officer (CEO) and country head of Sun Life Philippines. “For those who are prepared, working longer can be a choice that offers flexibility and freedom. For others, it reflects financial pressure. Planning early and holistically is what determines which path people are on.”

Among respondents who expect to keep working, 53 percent said they are motivated by purpose and fulfillment, 41 percent by mental stimulation, and 36 percent by social connection. However, 71 percent admitted they would need additional income to support daily living and long-term financial security.

The divide becomes clearer when broken down by preparedness. Among Gold Star Planners, 73 percent said working beyond retirement would be by choice, with 38 percent wanting to stay active and 25 percent seeking social engagement. In contrast, 20 percent of Stalled Starters remain uncertain about working past retirement age, and half cited the need to save more as their primary reason for postponing retirement.

Financial security emerged as the strongest predictor of retirement optimism. Among non-retirees who look forward to retirement, 67 percent pointed to financial security as a key reason, followed by stability (36 percent) and feeling in control (26 percent). Conversely, 47 percent of those not looking forward to retirement cited financial insecurity, while 44 percent worried about their ability to support family members.

Despite these concerns, retirement planning remains limited. One in four respondents said they make no pre-retirement plans, while 37 percent plan only within two years of retiring. Just 26 percent reported feeling very confident about their retirement plans.

The survey also highlighted the pressures facing the so-called “sandwich generation,” or those supporting both elderly relatives and younger dependents. As a result, 34 percent said they have downsized lifestyle expectations, while 14 percent have postponed retirement.

There is, however, strong support for flexibility. About 86 percent believe retirement should be a personal choice rather than mandated at a specific age, and 82 percent favor allowing people to work beyond the Philippines’ retirement age. This view is strongest among Gen Z respondents.

The report also flagged the growing use of generative artificial intelligence tools for financial decisions. Usage of platforms such as OpenAI’s ChatGPT and Google’s Google Gemini has more than tripled since the last survey, rising from three percent to 11 percent.

While digital tools are gaining traction, more Filipinos are also turning to professional advice. The same proportion of respondents consulted banks (45 percent) as last year, while more sought independent financial advisors (44 percent, up from 43 percent), suggesting a continued preference for human-led guidance in navigating complex retirement decisions.

Health also plays a critical role in shaping retirement outlooks. Among those whose views on retirement have changed recently, 55 percent credited better-than-expected physical health, while 44 percent cited improved mental health. Meanwhile, poor health was cited as the reason for early retirement by 26 percent of respondents.

“Health is a form of wealth in retirement, influencing both when people retire and the quality of life they enjoy,” Sison said. “At Sun Life, we remain committed to understanding the evolving needs of our clients by offering a comprehensive range of retirement planning solutions.”

The findings were based on 3,006 online interviews conducted in November 2025 across Hong Kong Special Administrative Region (SAR), Indonesia, Malaysia, the Philippines, Singapore and Vietnam.