When people think about the age to retire and retirement 65 years old comes to mind. However, there is a wider range of ages for workers to retire. Many people opt for retiring at the age of 62, while others prefer to carry on working until the age of 70. Whatever your retirement age is, there are several things you need to bear in mind. In this way, you can make the most of it.
Early retirement, for instance at the age of 62, will imply getting less money for your monthly check. Keep in mind that the soaring prices for almost everything, from gas, and electricity to food and leisure, will make for some hard to make ends meet. Try to live for one month with the amount of money you will get during your retirement. You can use the Social Security Quick Calculator.
Remember that if you were born in 1958 your Full Retirement Age is not 65 years old. It is 66 and 8 months since it has been increased. Some people turning 65 will probably decide to claim Social Security benefits while they work. But you should be careful with your tax withholding, you might end up paying if you earn more than the set limits.
Can I enroll for Medicare before retirement?
Some people do not know that Medicare is health insurance for those who are 65 years old, or even older. You could even be first eligible to sign up for this insurance 3 months before reaching the age of 65. Therefore, it has nothing to do with retirement but with your age. Or if you happen to have ESRD, which is End-Stage Renal Disease, a disability, or Lou Gehrig’s disease you could be eligible as well.
It is not compulsory to sign up for Medicare once you turn 65, but it is advisable. Three months before and three months after you can enroll. Those 65-year-old citizens who do it after the deadline may face an extra charge for Part B premiums. Others keep on working and have health insurance since their employer pays for it. It should be in a qualified group though.
Enrolling in Medicare Part A only is another option. By doing so you can get hospital care which could be free for many users. Even those who choose to carry on working and are 65 years old could, can sign up for Part A because it is free. It could have better coverage than the health plan your employer is paying for. Nonetheless, if you have Medicare -Part A or Part B, you can forget about making contributions to a health savings account.