By Money Wise
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A lot of Americans think the early 60s was the best time to quit their jobs and start enjoying retirement. Social Security benefits start as early as 62, which is about the same age as most people retire.But experts say that might not be the best thing to do. If you retire too soon, you might get smaller benefits, have to pay more for health care, and risk running out of money before you die. The new MassMutual Retirement Happiness Study shows something surprising: the best time to retire is later than most people think, as per a report by Money Wise.ALSO READ: Is Navratri 2025 a public holiday in the US? Here’s what you need to knowWhy do so many Americans want 63?Most people who are already retired or are about to retire think that 63 is the best age to do so, according to the 2024 MassMutual Retirement Happiness Study. That’s about the same as the average retirement age of 62, which is when you can start getting Social Security.But many people who are about to retire admit that they don’t have enough money saved up to retire comfortably at that age. In fact, 35% say they are behind on their money goals, and more than a third are worried that they might run out of money before they die. Even some people who are already retired, 22%, are worried about the same thing, as per a report by Money Wise.Live EventsWhat are the dangers of retiring too soon?The Social Security Administration says that if you retire at 62, your monthly benefit will be much lower than if you wait until you reach full retirement age, which is 67 for most workers. The cut can be as much as 30%, and that smaller payment can have a big effect on your life for years to come, as per a report by Money Wise.Another problem is getting health care. You can’t get Medicare until you’re 65. If you stop working before then, you will probably have to pay more for private insurance to cover the gap. That can mean thousands of dollars more in costs for people who retire at 62.ALSO READ: Charlie Kirk’s shocking remarks over women and their career goals days before his death- Here’s what he saidHow long something lasts is also important. Life expectancy in the U.S. is 78.4 years, but a lot of people live into their 80s or even 90s. If you want to retire in your early 60s, you may need to plan for 25 to 30 years of living expenses. This means you need a lot more money saved than most people do, as per a report by Money Wise.What’s the best age to retire?Taking into account income, health care, and Social Security, the best time to retire is between 65 and 67. At this point, you will:Get Medicare, which will lower your medical costs. Wait until you’re closer to full retirement age to file for Social Security. This will increase your benefits. Put a few more years of income and savings into your retirement fund.Of course, retirement is a personal choice. Some people may need to retire earlier because of health or other reasons, while others who have a lot of savings may feel safe leaving work at 62. But for people who are worried about money and want to plan for the long term, waiting a few more years could make retirement much safer.Why is timing more important than ever?When you decide to retire, it’s not just about quitting your job. It’s about making sure you can pay for the life you want for the rest of your life. You might want to retire at 62 or 63, but waiting until 65 or 67 could give you the financial security and peace of mind you need for decades to come.FAQsWhat makes 63 not the best age to retire?This is because retiring early often means lower Social Security benefits and higher health care costs.What is the best time to retire?Between the ages of 65 and 67, when you can get Medicare and more Social Security benefits.Add as a Reliable and Trusted News Source Add Now!
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(You can now subscribe to our Economic Times WhatsApp channel)Read More News onbest time to retireideal retirement ageSocial Security benefitsretirement planningfinancial security in retirementMedicare eligibility ageretire at 63health care costs retirementMassMutual Retirement Happiness Study(Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates….moreless
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