When is the best time to Retire?

In the Philippines, it is not uncommon for people to think of retirement when they reach senior citizen age. This would be at 60 years old. But then is there really a right time to retire? Do you have to retire at 60 years old? Or can you retire before or after that age?

Some people would retire too early and end up outliving all their savings. On the other hand, many others would retire too late and by then, they would be too old to enjoy any of the money they had spent all their lives working for. So is there an age or time that would be just right for retirement?

Are we supposed to base our retirement on age or the amount of money we have in the bank? All these questions might be running in your head, and this article aims to calm your mind by trying to give a logical answer to all these questions.

Is there a right time to retire?
Society will urge people to retire at 60 years old. However, it is alright to retire a little earlier or later, depending on your situation, both financially and physically.

If you are regularly getting sick, feeling tired all the time and just physically unable to do the things you used to, it may be high time to consider retirement. Your financial status would also tell you if you would be able to retire earlier or not. If you already have enough money to spare, even before the age of 60, you can retire earlier. 

How life insurance can help you decide when to retire

Life insurance can be a big factor in providing a good retirement benefit. If you choose to invest early in your life for a retirement plan, you will already have enough money set aside for you to retire. There will be no need to worry about your finances because your life insurance policy would take care of that for you already.

Come your 40’s, your family responsibilities would already begin to be winding down, because all your children would typically be finished with school by this stage in your life, and they would probably be starting families of their own. This would be a good time when you can already start considering retirement. Look at your finances and health and use those to decide if you can still continue working until you are 60 years old.

When you reach your 50’s, you can retire already if you are financially ready. These would be called the “reward years” of your life, so you have to make sure that you have enough money to live a comfortable life even if your income would already stop coming in.

Having a pension plan would be a good investment because you would be able to receive a monthly cash benefit after you retire. If you have also been covered by SSS or GSIS by your work, you would have your pension plan to add to this. These cash benefits would replace the salary you will no longer receive.

You may also have saved enough money and time to be able to invest in the stock market when you choose to retire. No matter what age you choose to do so, as long as you have enough money, you will be able to live comfortably. There is no wrong or right age for retirement, and if you invest early in your life in a life insurance policy that includes a retirement plan, you need not wait for the age of 60 to think about retirement because you will have enough money to retire earlier.