Pension provision in one form or another exists in most states. In developed countries, pension systems are deeply thought out, bear the imprint of historical development and take into account various features, in particular, the average life expectancy of the population.
Retirement age in different countries
The Japanese are considered champions of longevity, which is associated with a rather high age threshold, which gives the right to receive a pension - 65 years. Moreover, no differences are made by gender - both men and women retire at the same age. In Europe, retirement ages vary significantly. For example, in Germany it is 65-67 years old, in France - 60, in Sweden - 61-67.
The countries of the
post-Soviet space set thresholds much lower than in Europe, which is connected with the distinctive features of the standard of living of the population. For example, in Russia and Belarus, women can retire at 55, and men at 60. However, the US pension system is considered the most thoughtful, logically sound and loyal to the population.
Features of Calculating Retirement Age in the United States
Retirement age in the USA varies by year of birth. So, the Americans, who were born in 1937 and earlier, go on a well-deserved rest at the age of 65. Those born later and before 1955 have the right to retire at 66. And one who was born in the 60s of the twentieth century, can begin to receive a pension from 67 years. This increase in the bar is due to the rapidly growing life expectancy. It should be noted that the retirement age in the USA is the same for women and men.
Possibility of earlier retirement
However, it should be noted that the pension system in the United States is quite flexible, so if a citizen wants to retire earlier than the specified time, he can do it quite rightly after he reaches the age of 62 years.
At the same time, only those Americans whose annual income level does not exceed the statutory level can receive a full pension. Otherwise, assistance will be assigned, the calculation of which will be carried out according to the rule of deduction from pension of fifty cents for every dollar that turns out to be earned above the established level.
US Pensioners Income Level
The conditions of the pension system in the USA are such that after going on a well-deserved rest, Americans receive about half of their earnings for the period of work. In fact, the average pension in the United States varies between 1100-1500 dollars per month. Of course, there are categories of citizens whose pension is above average. These are teachers, firefighters, police officers, etc. The pension of residents of megalopolises also differs in size, where the standard of living is generally above the national average. So, annual retirement benefits, for example, in New York are more than forty thousand dollars per citizen.
There is a lower level of pension, upon reaching which an elderly American is included in the social income program and receives a supplement from the state until the minimum allowable amount is reached. So, last year, the acceptable minimum was $ 733. Thus, if a citizen has the right to a pension according to the pension program in the amount of $ 400, then the state will pay him $ 333 as part of social income. The way life quality management is organized for senior citizens in this country creates a completely positive attitude of a person to such a concept as retirement age. Pension in the USA is perceived not as support for a person over the years, but rather, as a new opportunity, a new stage in life.
Opportunities and options for using pension savings
Nevertheless, receiving almost half as much compared with the period of employment, it is unlikely that American pensioners would have looked so happy and carefree. There is no doubt that the US pension program called Social Security remains one of the most rational in the world to this day. However, the quality of life of older Americans consists of many other options for the implementation and investment of pension savings, which are implemented using a large number of different pension plans.
The peculiarity of this kind of pension provision in the USA is that a certain amount is transferred from the monthly income to the account of one of the pension funds, while it is tax-free, which greatly expands the possibilities of accumulation. By retirement, in addition to state payments, the employee receives income in the form of his own deferred funds. Moreover, he can start using them much earlier, receiving money in the form of a loan from his own savings, deferred for the future (retirement) period. Then it settles with the fund (and, in fact, with itself), as on a regular loan. Often, Americans use these funds to buy real estate, pay for children's education, etc.
Reasons for Earlier Retirement
What is the preferred retirement age in the US for the population? Recently, older Americans have a tendency to an earlier retirement. Despite the fact that when they reach the age of 62, they are not entitled to a full pension, but about three quarters of it, many quite consciously take the corresponding decision. What are its reasons? In each case, they are different. Among the early pensioners, a group of those who lost their jobs during the period of crisis reductions and now cannot find it for objective reasons stands out - employers are reluctant to take older workers. In such a case, early retirement is the most convenient development scenario.
There are among citizens who decided to premature retirement, and those who are simply tired of work. Often these are workers whose work was predominantly physical or involved prolonged mental stress. The rest of the early retirees are those who managed to accumulate enough funds and do not see the point in further work. From an economic point of view, this is quite advisable.
Thus, the flexibility of the pension system deprives the concept of retirement age in the US as a depressive component. For men, as well as for women, when reaching a certain level of pension savings, an early retirement is a more effective solution. This makes it possible to start a truly diverse and interesting life in the declining years without limiting oneself in the choice of entertainment.