Retirement Incentives: Should I Stay or Should I Go?

Is there an incentive offered by your employer?
“Should I consider it? Does that incentive make sense for me? What are the conditions of the incentive?”

Incentives to retire can start an employee planning, move their plan along or help an employee leave the workplace.

Incentives are offered by an employer to either save money and jobs or change the culture of the workplace. There are many types of incentives. Incentives cost the employer money whether they are state or locally sponsored. You should be ready if one is offered.

The most common type of retirement incentive in schools is a cash offering. The offering can be based on many criteria: sick days, dollars per years of employment, percentage of salary, lump sum paid over several years or reduced payments for retiree health insurance.

The employer dictates whether or not to offer the incentive and what it will be based on because that incentive must make fiscal sense for them.

An incentive must make sense for you, too. Fully examine the offer before you decide. Always remember, emotion and economics.

“Do I really want to leave? Can I afford to leave? What happens if I stay”?
If these are your questions, this may be the time to talk it over with a consultant.
Hank Sessa NYS Retirement Guide

The Emotion of Retirement

There are many emotions and questions attached to thoughts of retirement.
What will I do with my time? Will I like it? Will I have enough money to travel? Should I work or volunteer after I retire? Should I relocate? And so on.

I have heard so many concerns during my career as a retirement consultant. These concerns are legitimate and very personal. Your retirement should be based on what you want to do. It is normal to be concerned. There maybe spousal, family or financial issues that enter your thoughts at decision time, but yours is the opinion that counts.

I caution you on letting others have too great an impact on your thoughts.

For a great percentage of prospective retirees, this is a stressful time. The best way to approach retirement is with a flexible plan. This can be as simple as waiting to accumulate a certain dollar amount in assets, or until you can collect both your pension and Social Security.

Your plan can include time for travel, time to help loved ones, or “I would like to move my hobby to a business.” Spend time thinking about your retirement. Financial assets are important, but the emotion of retirement is important, too.
Hank Sessa NYS Retirement Guide