The ripe age for retirement has typically been 65. These days, the landscape is changing, as only 25 percent of adults think they’ll be able to retire by that age, according to a 2017 Gallup Poll.
Click through and learn why you probably won’t retire as early as you might think.
Reason No. 1: You’re Not Fully Retired at 65
The term “full retirement age” typically refers to the age when you can start to receive your full Social Security benefits. Thanks to advances in medicine and science, we are now living longer — so Social Security is adjusting the “full retirement age” accordingly. If you’re born after 1960, you’ll have to wait two more years to see full retirement because it kicks in at age 67.
Reason No. 2: Your Savings Account Is Sparse
If you’re looking at a goose egg where your nest egg should be, at least you’re not the only one. According to a 2017 GOBankingRates retirement savings survey, over one-third of Americans have saved nothing for retirement — and 55 percent have less than $10,000.
The truth is, anything is better than nothing. It’s never too late to save, so start now — even a few dollars over the course of time can start to accumulate.
Reason No. 3: Your 401k Is Cashed Out
Life happens when you least expect it. Qualified retirement savings plans are a popular money option for people to utilize when expensive or unexpected events pop up. The reason these plans exist is right in the name — “qualified retirement savings” — but if something like a natural disaster or a family medical emergency happens in the meantime, you could be left with nothing in reserves.
It’s not wise to touch those accounts. You might get dinged with income taxes or a 10 percent penalty unless you used it for certain expenses that qualify. Keep those savings reserves locked down tight — and protect your retirement plans.
Click through and keep reading about how much you need to retire.
Avoid these money mistakes if you want to enjoy your golden years.