Understanding the antecedents of retirement and health is increasingly important given the proportion of older adults in the global workforce. The current study examines the relationship between the demands-ability facet of person-job fit and retirement status and health. The sample consists of older workers and retired adults (N = 383) from the Study of Cognition and Aging in the U.S.A. (a national study of age and cognitive abilities). Objective demands-ability fit was operationalized as the fit between a person's cognitive abilities assessed with an extensive battery of reasoning (fluid abilities) and knowledge (crystallized abilities) and relevant job demands taken from the Occupational Information Network. Results indicated that as the congruence between workers' reasoning abilities and job demands increased, workers reported fewer chronic health conditions. When reasoning abilities required by a job exceeded worker abilities, workers reported more health conditions and were more likely to be retired versus working. Fewer health conditions were reported when reasoning abilities exceeded reasoning job demands. Congruence for knowledge abilities and demands fit was significant only at medium levels of knowledge abilities and demands. Overall, these results suggest that demands-ability fit is relevant to the experience of work in older age. (PsycInfo Database Record (c) 2020 APA, all rights reserved).