Darcy Bergen

The New Age of Retirement According to Darcy Bergen

How People Are Retiring Later Because of Insufficient Planning, According to Darcy Bergen

According to AARP, the full retirement age has increased from 65 to 66. It will be incrementally increased over the next few years to 67. In many instances, people aren’t retiring until 70 or older, either, because of insufficient money in their retirement funds. Darcy Bergen, a financial planner in Arizona, discusses why retirement ages are fluctuating.

For many years, people planned to retire at 65. It was when they were able to start accessing their Social Security benefits. Further, it was when pensions and other retirement plans became available.

Darcy Bergen identifies that many people are having to wait longer because they don’t have enough money set aside. Over half retired Americans are depending solely on Social Security.* Unless a person has no debt and their mortgage is completely paid off, the Social Security benefits alone are not sufficient.

Although many Baby Boomers are going to be retiring at the age of 70 or older, the millennial generation has a different plan. Studies have shown that many plan to retire before the age of 65. Many cite that they plan to retire at the age of 60. Darcy Bergen explains that it is possible but that it requires a retirement plan.

Most people who plan to retire before the age of 65 will need to have multiple sources of retirement income. This can come from savings, an IRA, 401k, pension, and more. Each type of retirement income can be withdrawn at different ages. An IRA will allow for withdrawals beginning at the age of 59 ½. The same is true with a 401k, according to Darcy Bergen. Some pensions require a person to be fully vested, though there may be early withdrawal taxes involved.

Darcy Bergen suggests that many people don’t have a plan for retirement. Those with no plan are the ones that will often end up working longer. They may have to wait until 66 or even 70 to retire if they retire at all. Meanwhile, those who set up savings plans now and establish a retirement strategy may have the ability to retire before the age of 65.

The amount to retire depends heavily on how a person plans to live once they say goodbye to their career. It will also depend on the level of debt that a person has. Darcy Bergen recommends that anyone planning to retire, whether it’s retiring early or on time when Social Security benefits are available, sit down with a financial planner.

Darcy Bergen teaches retirement financial planning courses at a local community college. He also maintains a talk show with his wife to discuss investments and retirement planning to ensure people get the information they need to make important decisions.

 Investment advisory and financial planning services offered through Simplicity Wealth, LLC, a Registered Investment Advisor. Sub-advisory services are provided by Advisory Alpha, LLC, a Registered Investment Advisor. Insurance, Consulting and Education services offered through Bergen Financial Group. Bergen Financial Group is a separate and unaffiliated entity from Simplicity Wealth and Advisory Alpha. 

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