Let’s take a look at the economics of aging — and ageism — as we start 2026
It seems timely to take a look at 2025 to highlight “happenings in aging.” Here are a few areas I selected to discuss some challenges, trends as well as advances.
Caregiving. “New Report Reveals Crisis Point for America’s 63 million Family Caregivers.” This AARP headline says it all. The report indicates nearly one in four adults provide family caregiving and in most cases the care recipient is an older adult. Caregivers often are ill-prepared for their role and often provide care with little or no support. More than one-third provide intense care to others while they are suffering from poor health. These caregivers are considered a population at risk often suffering from exhaustion, depression, anxiety and poor health with diminished immune systems.
Ageism. Ageism is alive and well and is considered a barrier in the workplace. Although most workers age 40 and older are protected under the federal Age Discrimination in Employment Act of 1967, roughly two-thirds (64%) of workers age 50-plus have reported seeing or experiencing age discrimination in the workplace. Bias against older workers costs the economy $850 billion, equivalent to the size of Pennsylvania’s economy. Furthermore, age discrimination cases are hard to prove since a 2009 Supreme court ruling that mandated you must prove age is the decisive reason (a “preponderance of evidence” ) for the negative action rather than just one of the reasons. Gross v. FBL Financial Services (2009)
The longevity economy. Older adults are major contributors to the American economy making up 40% of the gross domestic product (GDP), which comes to roughly $8 trillion. That includes unpaid caregiving worth more than $1 trillion annually, according to the National Partnership for Women and Families. It also includes older adults’ spending money for financial services and insurance, health services, technology, leisure and hospitality. They also contribute through donations, employment, taxes and more. The impact of the age 50-plus cohort on the GDP is equivalent to the third largest economy in the world after the US and China.
Technology. Technology is changing the way we interact with the world. Let’s take aging in place as an example. Most older adults (75%) of those age 50 and older prefer to spend as long as possible in their homes. Here are some tech-based examples that help make that decision a reality: video doorbells, voice and remote thermostats, virtual assistants, home body-monitoring systems, social media platforms, watches with GPS and fall detection capabilities and online grocery delivery. Add to that telehealth, medication management, remote health monitoring and more.
Entrepreneurship. Self-employment rates increase dramatically as people age. The Kauffman Foundation research found that more than 25% of new entrepreneurs were between ages 55 and 64 in 2019. Furthermore, research from Guidant Financial and the Small Business Trends Alliance found those age 55 or older own 43% of our country’s small businesses. Although this data is several years old, it indicates a trend. And nearly 30% of employed people in their 70s work for themselves, almost double the share of self-employed people in their 60s. That translates into about 1.3 million septuagenarian entrepreneurs.
Public policy. Here are just three efforts to effect public policy impacting older adults. A bipartisan bill, “Protecting Older Workers Against Age Discrimination” was introduced this year to level the playing field for older workers and protecting them from age discrimination in the workplace. AARP is urging Congress to pass a federal tax credit to provide financial relief for caregivers who are paying, on average, roughly $7,200 a year out-of-pocket in caregiving expenses.” A bill was introduced to increase funding for the Older Americans Act which supports information and referral services, congregate and home-delivered meals, health and wellness programs, in-home care, transportation, elder abuse prevention, caregiver support and adult day care.
The challenges are there. At the same time, we need to remember the advances and opportunities. We can treat most chronic diseases. We know how to slow the aging process. Research continues in an effort to eradicate Alzheimer’s and other neurogenerative disease. Other research is increasing our knowledge of the aging process. Volunteerism is strong. Educational opportunities are plentiful. We have services and opportunities for older adults such as the Village movement, and Sages and Seekers, to name a few. And fighting ageism has become a movement.
I am confident that we as an aging community will take advantage of our advances in aging. And that we will continue to engage in age healthy behaviors, contribute to society and be an ongoing force for positive change for ourselves, community and the nation. Happy New Year everyone!
Helen Dennis is a nationally recognized leader on issues of aging and the new retirement with academic, corporate and nonprofit experience. Contact Helen with your questions and comments at Helendenn@gmail.com. Visit Helen at HelenMdennis.com and follow her on facebook.com/SuccessfulAgingCommunity