Retirement: Things to Think About
Wikipedia defines retirement as the point where a person stops employment completely. A person may also semi-retire and keep some sort of retirement job, out of choice rather than necessity. This usually happens upon reaching a determined age, when physical conditions don’t allow the person to work any longer.
Retirement age is generally declared to be 65 in the US, with 62 considered an early retirement, and those ages vary in other countries. There is a difference for those in armed forces branches or law enforcement, which are able to retire after 20 full years of service at a reduced pay, regardless of age. However, laws are now beginning to change regarding the declaration of retirement and the receiving of full benefits from Social Security.
On the ssa.gov website there is a link to full retirement age. You enter the year you were born and it tells you what your full retirement age is for receiving full benefits. If you were born in 1958 and you took an early retirement at age 62, you would only receive 71.7% of retirement income. It would also place your full retirement age at 66 and 8 months. Another change applies to those who collect as a spouse. At age 62, early retirement and collecting as a spouse will only allow you to collect 33.3% of your benefit payment. That may not be a problem for some, since our lifespan continues to increase and many are working well past retirement age because they choose too. CEO’s are remaining in the captain’s chair well into their 70′s as are good numbers of corporate movers and shakers. A large segment have opened consulting firms where they enjoy a slightly less stressful position yet a full schedule that provides them with continued satisfaction of a job well done.
It should be noted as well that those that have found an outlet of activity and the use of knowledge they possess, exercising their brainpower, have actually kept themselves in better shape physically and also mentally sharp. This is a good time to be reminded that tests show that continuing to grow intellectually reduces the chances of developing the different dementias such as Alzheimer’s.
Beyond the physical and emotional aspects of retirement is also the financial. As income declines an individual may make a choice to work at something he really doesn’t enjoy doing but feels there’s no choice due to the household financial structure. Those in such a position should look more thoroughly into a reverse mortgage. You would actually work with a lender and receive a monthly check that’s coming out of your equity in your home. You can pay a mortgage or bills or buy food & medicines whatever is of need for you. It’s equity that can be used rather than suffer financial hardship.