You don’t always get to choose when you retire, she said. A job layoff, health problems or caregiving for an aging parent could force you out of the workplace earlier than expected.
If you’re leaving the workforce midcareer to care for children or an aging parent, keep a hand in the workforce with part-time or contract work if possible, Yousif said.
“When you’re looking at the equation, it’s far less harm to have a lower-income year than a zero-income year,” she said. “As long as you’re just making something, that’s really the key.”
Get a copy of your earnings record from Social Security to see how much impact late-career earnings would have on your benefit, Rutledge said. The working paper only assessed those consumers who stayed in the workforce, he said, which could be those who had the most to gain.
Keep in mind that you might also have access to benefits based on the record of a spouse or ex-spouse, Yousif said. That benefit could already be larger than what you’d be entitled to with a few more work years under your belt.
