My USS Pension Age Is 66... But I Don't Want To Work Until 66

"My USS Pension Age Is 66... But I Don't Want To Work Until 66."

This is one of the most common questions I hear from university staff.

Many members of USS are surprised to learn that the Normal Pension Age for benefits built up after 5 October 2020 is age 66 and may increase in line with State Pension Age.

The natural follow-up question is: "What if I want to retire earlier?"

The answer is that early retirement may be possible, but there are a number of factors to consider.

Retiring before your Normal Pension Age can affect the level of benefits you receive and may mean relying on your retirement savings for a longer period of time.

This is why retirement planning is about much more than simply understanding your pension scheme.

Questions worth considering include:

• What age would you ideally like to retire?

• What income might you need in retirement?

• What other savings or investments do you have outside of USS?

• How might inflation affect your future spending?

• How might you assess whether you're on track to achieve your retirement goals?

For many people, the challenge isn't understanding when they can access their pension.

It's understanding whether they can afford to retire when they want to.

Every individual's circumstances are different, which is why retirement planning should be considered in the context of your wider financial situation and objectives.

Have you ever worked out what your ideal retirement age would be if money wasn't the deciding factor?

The value of pensions and the income they produce can fall as well as rise. You may get back less than you invested.