This paper explores how skip-generation raising and intergenerational transferring affect the individual’s retirement decision by survival analysis using CHARLS data. The major findings are as follows. Firstly, individuals postpone the timing of retirement responding to the intergenerational transfers from their children, and this influence is stronger if the agent is poorer. Secondly, individuals retire earlier when they need to take care of their grandchildren. Thirdly, comparing with time effect, economic effect is a more important factor causing people to delay their retirement age. Therefore, skip-generation raising leads to early retirement of the individuals, while they continue to work even if they can gain old-age support from children. They help their children looking after the next generation when are pretty well off. We suggest that governments increase investment on education of the pre-school children, and provide incentives to children in supporting their elderly parents, thus improving the elderly welfare and helping relieve the pressure of population ageing.