Here is a listing of important ages and what they mean with respect to retirement:
- 59 ½: When you turn 59 ½, you can begin taking disbursements from your retirement plans (401k’s, 403b’s, etc) and from your IRAs (traditional, Roth).
- 60: If you are a widow or widower, you can begin collecting Social Security; though you will get smaller amounts since it’s stretched over a longer period of time (same total benefit though).
- 62: You can begin receiving Social Security retirement benefits when you turn 62, though it will pay to wait until your Full Retirement Age. Your Full Retirement Age will depend on when you were born. If you receive benefits now, they will come at a discount off your total benefit.
- 65-67: This is the full retirement age range and you get the “normal” benefit if you wait until your Full Retirement Age before you start receiving benefits.
- 70: If you wait on receiving benefits, the total maximum benefit you will receive will increase up until 70. After 70, you get no additional benefit just for waiting so it may be a good time to start taking Social Security.
- 70 ½: When you turn 70 ½, you are now required to take distributions from IRAs, also known as required minimum distributions or RMD.