What Day Should I Retire?
We received the following question in one of our recent workshops: “What day should I retire?” We want to explain the importance of understanding one’s goals before making a decision as to when to officially Retire.
Retirement Timing Considerations
- Retiring at the end of the month assumes a goal of maximizing retirement benefits from the federal government.
- Pension accrual starts on the first day of the following month, regardless of retirement date.
- Retiring in the middle of a month results in two weeks without pay, reducing overall retirement income.
Balancing Goals
- Mental and physical health should be prioritized alongside financial considerations.
- If mental health necessitates an earlier retirement, it may be acceptable to forego some financial benefits.
Importance of Goal Clarity
- Before asking questions about retirement timing, it is crucial to understand your personal goals.
Something more important to consider is your own mental and physical limitations, these are far more important than a 2-week paycheck. Always think about what your goals and priorities are!
Join us at a Fed Pilot workshop (webinar or in-person) and not only learn about your benefits but how to prepare for retirement. The earlier in your career, the better.
Register: https://fedpilot.com
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