Explanations for economic difficulties among old-age pensioners previously on disability pension.

BACKGROUND

This study looks at how previous disability retirement is associated with economic difficulties in covering the costs of everyday basic necessities in old age, and the extent to which the differences in economic difficulties between old-age pensioners with previous disability pension and other old-age pensioners are mediated by health, income and life satisfaction.

METHODS

The survey data includes 2227 retirees aged 63-85 who were receiving old-age pension in 2017. A quarter of them had received a disability pension before their old-age pension. Economic difficulties were measured through a subjective assessment of how difficult it was to cover the following necessities: food, housing, medication, health services, transport, phone and internet use. The odds ratios and their 95%-confidence intervals were analyzed with ordered logistic regression models.

RESULTS

Old-age pensioners with previous disability retirement experienced more economic difficulties in covering cost of necessities than other old-age pensioners. The differences were especially large among those with a mental diagnosis. Health, pension income and life satisfaction attenuated the differences slightly. The fully adjusted odds ratio for having economic difficulties in covering the cost of medicine and health care among old-age pensioners with previous disability retirement due to mental disorders was 2.15 (95% CI 1.44-3.22) compared to other old-age pensioners without previous disability retirement.

CONCLUSIONS

Preventing disability retirement among working-age people diminishes the risk of economic difficulties in old age. More attention should be focussed especially on those with a high risk of disability retirement due to mental disorders.