When Should You Retire?

By Brent Meyer — SafeMoney.com Founder & Editor Reviewed by Licensed Financial Professionals  |  SafeMoney.com — Trusted Since 2011  |  Updated Regularly Quick Answer: Discover the best age to retire with our expert insights. Plan your dream retirement today with SafeMoney's trusted resources. Like most of us, chances are years ago you imagined the ideal age you would stop working and start living your dream retirement . A new study reveals that the answer to “what’s the optimal retirement age” depends on the age of the person you ask. Bankrate.com surveyed Americans of different generations. While each had its own idea of the ideal retirement age, on average those surveyed believe the best age to retire to be 61. Gen Xers and Millennials chose 61 and 60, respectively, as their ideal ages. Baby boomers (ages 64-72) and the silent generation (age 73+), possibly making a more seasoned estimate of the optimal retirement age, chose age 64 to 65. Everyone wants to retire comfortably, especially after years of hard work. But age forecasting isn’t necessarily the best way to approach this. Just-as-critical questions to ask (if not more so) are: “What income do I want to retire at?” and “What financial resources will I need to enjoy my preferred lifestyle?” Match Your Income to Your Outgo  No one wants to face financial surprises in retirement , when it’s often too late to change course. So, where should you start? For a first step, financial professionals encourage their clients to begin the planning process by putting their numbers to paper. Some suggestions: Plot out your current spending habits, month to month, and use them as a guide to what your spending patterns in the future might be. Don’t forget to include your unique retirement goals. Living abroad? Traveling to distant destinations? Doting on grandchildren and other loved ones? Indulging in hobbies? Volunteering in your community? Determine what income sources you’ll be relying on in retirement, from pensions to your nest egg to Social Security. Then compare that income with your projected retirement spending to see if you’ll be generating enough income to support your new lifestyle. What Will Spending Be in Retirement? According to the Employee Benefits Research Institute , the common belief that you will spend less during retirement than while working may be a false assumption. Institute data shows that approximately ha