Top-5 Countries with the Highest Retirement Age in 2025

Retirement age is the age when most people stop working and start enjoying their rest years. However, in many countries, people are working longer than before. This could be because they live longer, need more money, or simply enjoy working. In this article, we will look at the top 5 countries with the highest average retirement age and understand why people retire late there.

Top-5 Countries with the Highest Retirement Age

In most countries, people stop working between the ages of 60 and 65. But in some parts of the world, the retirement age is much higher. This can be due to economic reasons, longer life expectancy, or efforts to keep older workers in the job market.

Here are the names of top-5 countries with the highest retirement age:

Libya

Retirement Age: 70

Libya has the highest retirement age in the world, with both men and women working until the age of 70.

• This is part of the government’s plan to delay pension payouts and keep older people working longer.
• While this helps the economy, it also raises economy concerns about the health and well-being of elderly workers.
• With the average life expectancy in Libya being only 73 years, people get very little time to enjoy retirement.

Italy

Retirement Age: 67 years

Italy has set its retirement age at 67 for both men and women.

• This decision is influenced by an ageing population and the rising pressure on public pensions.
• Retirement age in Italy is linked to life expectancy, meaning it could increase in the future.
• However, Italians benefit from a strong pension system and enjoy a longer retirement period, thanks to an average life expectancy of 83 years.

Australia

Retirement Age: 67 years

Australia recently increased its retirement age from 65 to 67.

• The country has introduced a superannuation system, encouraging people to save money during their working years.
• Australians live an average of 84 years, allowing them nearly two decades of post-retirement life.
• The shift aims to make the system more sustainable and ensure people are financially prepared for retirement.

Netherlands

Retirement Age: 67 years

The Netherlands also sets the retirement age at 67, and it adjusts with life expectancy.

• This helps the government manage pension costs as more people live longer.
• Dutch workers usually receive income from both public pensions and employer-funded schemes.
• With a life expectancy of 82 years, workers can still expect a decent period of retirement.

Denmark & Iceland

Retirement Age: 67 years

Both Denmark and Iceland share the fifth spot, with retirement ages of 67 for all citizens.

In Denmark

• Pensions depend on residency and working history.
• A full pension is given after 40 years of contribution, but partial pensions are available with shorter terms.

In Iceland:

• Many people choose to work even after retirement age, thanks to good health and high life expectancy (83 years).
• Their pension system mixes government support and private contributions, allowing flexibility in retirement.