If you are in your 50s and your retirement plan depends on working until 65, 67, or even 70, there is a question worth asking:...
CW Fong
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If you are in your 50s and your retirement plan depends on working until 65, 67, or even 70, there is a question worth asking:
What happens if your employer has a different timeline?
Most retirement calculators assume that your salary will continue arriving until the date you choose to retire. They project several more years of income, retirement contributions, investment growth, and employer benefits. The mathematics may be sound, unfortunatey yhe assumption beneath it may not be. Your retirement plan depends on something you do not entirely control — someone continuing to employ you.
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The uncomfortable truth about working longer
“Work longer” has become the standard answer to retirement insecurity.
Have you not saved enough?
Work longer.
Worried about healthcare costs?
Delay retirement.
Concerned that your investments may not last?
Remain employed for a few more years.
In theory, this makes sense. Every additional working year gives you another year of income, another year to save, and one less year that your retirement…
Disclaimer: The views and opinions expressed in this article do not necessarily reflect the official policy or position of IRACircle. Always consult a certified financial planner or tax advisor before executing retirement account transactions.