Age 50 – At age 50 individuals can begin making larger contributions to tax-deferred retirement account(s). Commonly known as “catch-up” contributions, participants in a 401(k), 403(b), or 457 plan can contribute an additional $6,000 to their qualified plan. For individuals who are age 50 and older in 2018, that increases the savings limit from $18,500 to $24,500. Catch up contributions are also available for IRA and Roth IRA participants. For these accounts, individuals can increase their contributions by $1,000.

Age 55 – Early retirees can access 401(k) assets penalty free and higher contributions to HSA’s for those who are 55. (Before you start pulling those retirement funds early be sure to review the IRS Exceptions to Tax on Early Distributions as there are certain requirements that must be met before an early retiree can avoid the 10% penalty)

Age 59 ½ - Penalty free withdraws from retirement accounts. All individuals, regardless of current employment status, can withdraw funds from retirement accounts with no 10% penalty.

Age 60 – A widow or widower can start receiving early social security benefits at age 60.

Age 62 – Individuals can begin receiving their early social security benefit at age 62 AND they now have access to reverse mortgage options, if desired.

Age 65 – Medicare eligibility and HSA rules change. Individuals can apply for Medicare benefits at age 65. For those who are contributing to an HSA, if you enroll in Medicare you can no longer contribute to the HSA.

Age 66 – 67 – Full retirement age for Social Security, depending on the year you were born.

Check out Social Security Benefits FAQ’s for more information.

Age 70 – Maximum Social Security benefit available for those who delayed taking Social Security. There is no additional benefit for those who delay Social Security past 70.

Age 70 ½ - RMD’s from tax-deferred retirement savings accounts beginning April 1st following the calendar year that you turn 70 ½ .

Kevin Warman, CIMA®

(Last Updated 10/14/2018)