Have you made plans for your retirement?

Most people don’t like to think about aging. The young think that they will be young forever and they push aside any uncomfortable thoughts about the time when they will no longer be able to work.

The reality is of course that everyone will grow old and eventually retire from the working world. Are you ready for that? Do you have a retirement plan?

Is retirement necessary?

Some might think that they will never stop working but the legal age of retirement in Jamaica is 65 years.

Of course some persons work beyond that especially if they are self employed. I have noticed that many advertisements have age ranges usually because employers don’t want someone who is nearing retirement to work for their company.

Older persons may have years of experience however physically we decline as we grow older and so older persons are seen as less desirable employees by some companies.

There was a recent advertisement from the Ministry of Education for retired teachers to submit applications and they had several stipulations as to how who would qualify for the positions that were being advertised. So there are a few opportunities for those over the retirement age to get an income.

For the most part however, after working for 20 years of more, persons generally look forward to a easier life of retiring and leaving the hustle and bustle of working behind them.

Can you afford to retire in this economy?

Affordability

There are several options available to retirees but the most important thing to remember is the need to plan ahead. The time to save for retirement is not when you hit 50 and you realize you are only 15 years from retirement. The best time to start saving is in when you are in the 20 to 40 age group.

There are several credit unions that offer programmes under a variety of names that imply the funds will be available to you in your ‘golden’ years. These savings programmes are long term and you reap benefits after you have reached retirement age.

The government also has a benefit programme for retired persons that you would have contributed to while you were employed. This programme is called the National Insurance Scheme or the N.I.S. Various benefits are offered under this programme you can read about them in this link to the gleaner article http://jamaica-gleaner.com/gleaner/20130915/business/business3.html.

It is vital that you make plans because even if self employed you have to project to the future and realize that there just might be a time when when you are unable to work. Instead of worrying about that time, put plans in place to protect yourself and your family.

What’s your take? Are you ready for retirement? Let me hear from you!

Teri Ann Renee Paisley

Gleaner online writer