Will your
RETIREMENT
your Vacation?
be like
T
his is a popular time of year to take a vacation. If you are like my family, we find ourselves working so hard that vacation is an important respite too precious to not go well. If you are enjoying this article as part of your leisure reading while on vacation, we hope all is going exactly as you planned and that your spirit, body and relationships are getting recharged. Ironically, many people put more effort into planning their vacation than they do into planning for their retirement. If your goal is that your lifestyle in
retirement echo your best vacations, it’s important to plan for what you want and to periodically validate your progress in meetings with your financial advisor. Important elements to include in your plan include knowing when you can retire and not outliving your money. Let’s briefly examine both. KNOW WHEN YOU CAN RETIRE Chances are when you contemplate when you will retire, the first thought that may come to mind is that “people retire at age 65.” This may or may not be a proper target for you. To find out, your best strategy is to have a dynamic, comprehensive
financial plan and to revisit it periodically with a competent financial advisor. No two people are exactly alike, and you deserve a customized plan. If you don’t yet have a personalized plan, there are a couple of guidelines to keep in mind. Assuming that it is still around at your retirement, it’s highly doubtful that your Social Security Retirement Benefit is going to generate enough income for you to survive on. You also need to understand when you can start drawing on this benefit. (Hint: It’s not age 65.) Here is the current schedule:
FULL (NORMAL) SOCIAL SECURITY RETIREMENT BENEFITS* YEAR OF BIRTH:
1943-1954
1955
1956
1957
1958
1959
>= 1960
FULL RETIREMENT AGE:
66 YEARS
66 AND 2 MONTHS
66 AND 4 MONTHS
66 AND 6 MONTHS
66 AND 8 MONTHS
66 AND 10 MONTHS
67 YEARS
* Social Security Administration
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BUSINESS & CIVIC AUGUST 2022