On what date should you retire is a very important question that you should not decide on just a spur of the moment decision. There are many things to consider, one of which is the ever increasing life expectancy of retirees than what was achieved in the past.
Whatever date you select, you should be carefully planning for that date many years preceding the actual retirement date. The basic three considerations you will have is when can you access retirement funds, what is the average age your family has lived to in the past and what is your health been like currently and in the past and will you be able to keep yourself interested in life after you have retired.
There is a sliding scale upwards of when you can retire to receive the full social security benefits. Remember when everyone said the retirement age was 65, well that was true if you were born in 1937. Since then every year you were born after 1937 the retirement date has been increasing 2 months per year which means that if you were born in 1960 the retirement date is 67. Thankfully the increase in the retirement age stops in 1960 for a retirement age of 67. If you retire a 62 that have a huge impact on your social security payments, upwards of 30% if you were born in 1960 or later. In reference to 401(k) you can start to withdraw money from age 59.5 or age 55 if you left your employer.
Social security payments for retirement have been a staple of the US culture for many years. In some ways it is taken for granted. Unfortunately the US budget is becoming extremely vulnerable to the cost of Social Security where it is estimated by 2018 it will run at a deficit for the first time. This is because there are more people retiring and fewer working. If the current trend continues by 2040 the Social Security trust fund will be bankrupt.
Tom has been writing for many years now. Not only does this author specialize in financial matters, you can also check out his latest web site at http://cordlessimpactwrenches.org/ which reviews the benefits of selecting one of the many Cordless Impact Wrenches for your new power drill requirement. Article Source:http://www.articlesbase.com/finance-articles/on-what-date-should-you-retire-1655637.html
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This post was written by MoMoney on January 2, 2010
