[Mike63]

Retirement​

When should i retire, i am 63 yrs old and thinking about retiring but i am unsure when. Is there a formula that i need to go by to determine when the right time. Thanks

 

[TriciaR]

Hi @Mike63 ! I'm very sorry for the delayed response.

Thanks so much for your question—it's a big decision, and you're definitely not alone in wondering when the right time to retire is. While there’s no one-size-fits-all formula, there are a few key things many people consider when deciding:

• Social Security: In the U.S., you can start collecting benefits at 62, but waiting until your full retirement age (usually around 66–67) gives you your full benefit, and delaying even further (up to age 70) increases your monthly amount.
• Finances: Have you calculated whether your savings, pension, and/or Social Security will cover your needs and lifestyle in retirement? Some people use the “80% rule”—aiming to have about 80% of their pre-retirement income available each year.
• Healthcare: Medicare kicks in at 65, so retiring before then might mean buying your own health insurance, which can be a big cost.
• Lifestyle & Goals: Are there things you’re looking forward to doing—traveling, spending time with family, or starting new hobbies? Your quality of life matters just as much as the numbers.

It’s also a great idea to speak with a financial advisor who can look at your specific situation.

I hope this information helps.

Please let us know if you have any other questions.