The research shows that 70% of Vietnamese respondents say they expect to, or have already, continued working after reaching retirement age, signalling a major shift in how retirement is perceived and planned.

Working Beyond Retirement Is Becoming the Norm

Rather than stepping away from work entirely, many Vietnamese are choosing to stay economically active well into later life. For some, continuing to work reflects financial realities, while for others it is driven by personal fulfilment and social connection. Among those who expect to keep working after retirement, motivations extend beyond income. Purpose and fulfilment (52%), maintaining social connections (48%), and mental stimulation (39%) are key reasons cited for staying engaged in work.

At the same time, financial security remains a critical factor. 60% of those who continue, or expect to continue, working after retirement say they need additional income to support daily living expenses and long term financial security, underscoring the importance of preparedness.

Health and Family Responsibilities Reshape Retirement Decisions

Health is playing an increasingly influential role in how and when people retire. Among those who say their views on retirement have changed in recent years, better than expected physical health (45%) and mental health (44%) are the most commonly cited reasons for rethinking retirement timelines.

However, health can also limit choice. Poor health is a leading reason for those who retired earlier than expected, highlighting how unexpected life events can disrupt even well intentioned plans.

Family responsibilities further complicate retirement planning. Nearly nine in ten respondents (89%) expect to continue supporting children or relatives in retirement, reflecting the growing pressures faced by Vietnam’s sandwich generation. These responsibilities have led many to downsize lifestyle expectations (37%) or postpone retirement (23%), reshaping what later life looks like in practice.

Rising Aspirations, but Planning Gaps Persist

Despite a strong desire for flexibility and fulfilment in retirement, the study highlights significant gaps in preparation. 14% of respondents made no retirement plans at all, while 26% only began planning within two years of leaving full time work. As a result, confidence levels remain low. Only 24% of respondents say they feel very confident in their retirement plans, suggesting that many are entering later life without the clarity or resilience they hope for.

This gap is particularly concerning given rising cost pressures. Among those who have already retired, 21% say their monthly expenses exceeded expectations, and only 9% say their retirement lifestyle matches or exceeds what they had planned, often due to inflation and rising living costs.

Commenting on the findings, Lay Hoon Tan, CEO of Sun Life Vietnam, said: “The aspiration for a more active and flexible retirement is clearly growing, but the reality is that many people are not yet adequately prepared. Starting financial planning early — including protection and long term savings - plays a critical role in helping individuals manage uncertainty, protect their families and build financial resilience. Life insurance is not only about protection today, but about enabling confidence and choice throughout retirement.”

The findings reflect a broader mindset shift in Vietnam. Three quarters of respondents believe retirement should be a personal choice rather than a mandatory age, reinforcing the idea that later life should be shaped by readiness, not rigid timelines.

As longer life expectancy, better health outcomes and evolving family structures continue to redefine ageing, the study underscores the need for earlier, more holistic retirement planning - one that accounts not only for finances, but also health, purpose and family commitments.