Retirement Planning
What are the main pensions? The main ones are: SOCIAL SECURITY, PENSION, 401K, IRA (also divided intoIRAs, Roth IRAs, annuities, participating life insurance), etc., we can make some planning and arrangements in advance.
- Social Security Benefit (SSB) As long as you receive a salary, you must pay a certain percentage of your pre-tax income to the government for social security tax, 6.2% of your income for individuals and the same percentage for companies; if you are self-employed, you pay 12.40% for individuals. After a certain period of contributions (10 years and 40 points), you can receive Social Security benefits after retirement, ranging from $600-2605. The money is relatively small. Some people have seen articles on the internet saying that Social Security may go bankrupt in 2033. The news of the imminent collapse of Social Security has not stopped over the years, and when you retire there is no guarantee of the promised amount...no one can guarantee it. There is also a proposal in the U.S. Senate to raise the retirement age for Americans to 69. Delaying the retirement age to 68 would reduce the U.S. Social Security funding shortfall by 18%, and delaying it to 70 would reduce it by 44%. But there are problems with this as well. Many people sarcastically say that if you sacrifice the security of your old age, "you'll lose the person and still have the money". And if the elderly do not retire, it will also affect the job opportunities of young people.
- Some companies and government pension plans (Pension Plan) do not require employee contributions, but most companies no longer offer a Pension Plan.
- Most companies offer a 401K plan, but the compensation varies. Our company has about 3%.
- Individual Retirement Plans (also known as IRAs, Roth IRAs, annuities, and savings and profit life insurance) are voluntary, personal savings insurance systems that individuals are responsible for. Currently, many people open their own IRA accounts, and those under age 50 can save up to $6,000 per year. Those over 50 can save 7,000 per year, which is tax-deferred.
When can I retire and receive a pension in the United States?
Three types of situations,: early, normal, and deferred retirement.
1. Early retirement.
You can start receiving your pension when you reach age 62, but you get a 30% discount, and the discount is less for each month you delay receiving it.
2. Normal retirement (around 65-67, depending on age at birth).
Depending on the date of birth, the U.S. Social Security Administration has set different normal retirement ages,For those born in 1937 and before, the retirement age is 65 years,For those born between 1938 and 1942, the retirement age increases in one increment (e.g., the retirement age for those born in 1938 is 65 years and 2 months).The retirement age is 65 years and 4 months, born in 1939) For those born between 1943 and 1954, the retirement age is 66 years For those born between 1955 and 1959, the retirement age increases in one increment (e.g., the retirement age for those born in 1955 is 66 years and 2 months). The retirement age is 66 years and 4 months, born in 1956) For those born in 1960 and later, the retirement age is 67 years. Those who retire within the normal retirement age will receive a full retirement benefit. Hugh King.
3.Delayed retirement.
Those who choose to delay retirement receive an incentive benefit (Delayed Retirement) on top of their original pension. Credits). If your normal retirement age is 66, and you choose to retire at 67, you will receive monthly If you choose to retire at or after age 70, you will receive a monthly retirement benefit of $1,32%.Gold. To summarize: some people retire in the U.S., some go back to their home countries, and some go to Europe and other countries to retire. But it doesn't matter where you go to retire, it's important to plan ahead for taxes, inheritance planning, and long-term care insurance. Buy insurance for critical illnesses, medical supplemental insurance, pensions, and other retirement plans to have a high quality of life, A worry-free retirement life.
