Retirement age is the age an individual ceases employment and begins to receive retirement benefits. It varies by country and is influenced by various factors.
Knowing the retirement age in different countries is important as it can affect retirement planning and financial security. This guide explores the highest retirement age by country in 2023 and the factors that affect it.
The countries with the highest retirement age
The following are the countries with the highest retirement age:
1. Greece, 67
With a population of 10 million people plus, Greece, a country located in southeastern Europe, has set the retirement age for both men and women at 67 years as of 2023. To qualify for full pension benefits, workers must have contributed to the pension plan for a minimum of 15 years or 4,500 working days. Without meeting this requirement, they may not receive full pension benefits upon retirement.
However, there is a provision that allows workers to retire at 62 and still receive full pension benefits if they contribute to the pension plan for at least 40 years or 12,000 working days. This provision may be beneficial to those who have been working for many years and wish to retire early.
It is worth noting that the retirement age of 67 in Greece is in line with many other European countries, such as Iceland, Israel, and Italy. However, the retirement benefits for these countries may differ due to differences in their governing labor laws.
In recent years, Greece has experienced economic challenges which have impacted its pension system. The government has implemented pension reforms to ensure the sustainability of the system. Some of the reforms include increasing the retirement age, reducing the amount of pensions, and increasing contributions from workers.
2. The United States, 67
The current retirement age in the U.S. is 67 years, as stated by the U.S. Social Security Administration, for individuals born in 1960 and beyond. However, for individuals born between 1943 and 1954, the retirement age is 66 years. For those born in 1955, the retirement age is 66 years and 2 months, and it increases progressively by two months each year until 1959.
To qualify for retirement benefits in the U.S., individuals must attain the minimum retirement age. Claiming retirement benefits before the retirement age (62 years) will reduce the benefit amount.
The retirement age in the U.S. has gradually increased over the years. In the past, the retirement age was 65 years for everyone. However, due to increasing life expectancy, the government has raised the retirement age to ensure the sustainability of the Social Security system.
The retirement age in the U.S. is 67 years for individuals born in 1960 and beyond. Claiming retirement benefits before the retirement age (62 years) will reduce the benefit amount. The government has raised the retirement age in response to increasing life expectancy to ensure the sustainability of the Social Security system.
3. Denmark, 66.5
Denmark has a retirement age that lies between 66 and 68 years. To qualify for a full pension, an individual must have worked and stayed in the country for 40 years. The retirement benefits are based on the number of years an individual has stayed in the country, from 15 years of age until retirement or until they are awarded a disability pension or senior pension.
Denmark also offers a fractional pension for individuals who don’t qualify for a full pension. This type of pension is calculated based on the duration of time the individual has stayed in the country from age 15 until retirement. However, if an individual has received benefits from the social system of another country, those benefits will be excluded from the calculation.
Denmark is a country in Northern Europe with a population of over 5 million people. The country has a strong welfare system and places a high priority on social equality. The retirement age of 66.5 is relatively low compared to many other countries. The government has implemented policies to encourage people to continue working beyond the retirement age.
4. Ireland, 66
The retirement age in Ireland is 66 years, as stated by the state pension. To be eligible for the contributory pension, an individual must have sufficiently paid the compulsory PRSI contributions while still employed.
For those who are not eligible for the contributory state pension and whose income does not exceed a certain level, Ireland offers a non-contributory state pension.
Ireland is a country in northwestern Europe with a population of approximately 5 million people. The retirement age of 66 is relatively low compared to many other developed countries. However, the government has implemented policies to encourage people to continue working beyond the retirement age to ensure the pension system’s sustainability.
The eligibility for the contributory pension is based on sufficient PRSI contributions while employed. Those not qualifying for the contributory pension and meeting certain income requirements can benefit from the non-contributory state pension. The government has implemented policies to encourage people to continue working beyond the retirement age to ensure the pension system’s sustainability.
Retirement ages are generally increasing worldwide
Knowing the retirement age by country is essential in planning for retirement and financial security. Retirement age varies by country and is influenced by factors such as life expectancy, demographics, economy, and government policy.
In 2023, Greece and Denmark have a retirement age of 67, while Ireland’s retirement age is 66. The retirement age in the United States is also 67 for individuals born in 1960 and beyond. These countries have different eligibility requirements for retirement benefits, including the number of years contributed to the pension plan and the income level.
It is worth noting that the retirement age has gradually increased in many countries over the years, reflecting increasing life expectancy and the need to ensure the sustainability of pension systems. Governments have also implemented policies to encourage people to continue working beyond the retirement age.