Thinking of Retiring in 2026? 3 Signs You Should Wait at Least 1 More Year.

Core Insights - The article discusses considerations for individuals contemplating retirement in 2026, emphasizing the importance of evaluating financial readiness and healthcare coverage before making the decision [1]. Financial Readiness - A general guideline for assessing retirement savings is to estimate annual income needs, subtract Social Security benefits, and multiply the difference by 25 to determine if savings are sufficient [3]. - For example, if annual retirement costs are projected at $60,000 with $24,000 from Social Security, a savings of at least $900,000 is recommended to avoid a shortfall [4]. - Delaying retirement can allow for additional savings and the opportunity to increase Social Security benefits by 8% for each year benefits are delayed beyond full retirement age [5]. Healthcare Considerations - Individuals nearing Medicare eligibility (typically starting at age 65) should consider the potential high costs of healthcare if they retire before qualifying [6]. - Working an additional year may provide the opportunity to enhance Social Security benefits and improve healthcare coverage affordability [7]. - Alternatives for healthcare coverage, such as COBRA or Marketplace insurance, may be costly and could significantly impact early retirement savings [8].