Despite dramatic increases in life expectancy during the second half of the twentieth century, the proportion of lifetime individuals spend in the labour force has decreased in most European countries during the last decade. Although the official retirement age in most of Europe ranges between 60 and 65 for women and 62 and 65 for men, the age at which Europeans actually withdraw from the labour market varies markedly across countries, and is generally well below the official age (Romans 2007). Among women, the median retirement age ranges from 55 in Poland and Slovenia, to 63 in Sweden; among men, it ranges from 57 in Poland, to 65 in Estonia and Cyprus (Romans 2007). The determinants of these variations are not well understood due to the complexity of retirement decisions and pathways to retirement. Understanding the determinants of these variations is essential for the development of policies that can increase labour force participation in Europe.