Normal Retirement Age - NRA

DEFINITION of 'Normal Retirement Age - NRA'

The age at which people can receive full benefits upon leaving the work force. In the United States, for example, the normal retirement age for receiving full social security benefits is 67 years of age for persons born in 1960 or later. Birth years prior to 1960 have various normal retirement age requirements. Retirement prior to the normal retirement age reduces benefits, and retirement after the NRA increases benefits.

BREAKING DOWN 'Normal Retirement Age - NRA'

Normal retirement age also applies to pension plans such as employer sponsored plans. The Internal Revenue Service (IRS) identifies normal retirement age for minimum vesting purposes as the earlier of the normal retirement age as specified under the plan, or the later of age 65 or the fifth anniversary of the beginning of plan participation. Normal retirement age throughout the world typically falls between 60 and 67 years old. Public servants, police officers and military members, for example, typically receive full benefits after a certain number of service years, rather than a specific age.

RELATED TERMS
  1. Attained Age

    1) The age at which the beneficiary of an insurance policy, retirement ...
  2. Outside Earnings

    Income that temporarily reduces a retired individual's Social ...
  3. Dependency Ratio

    A measure showing the number of dependents (aged 0-14 and over ...
  4. Issue Age Policy

    An insurance policy whose rate is dependent on the age of the ...
  5. Actuarial Adjustment

    A revision made to reserves, premiums and other values based ...
  6. Accounts Receivable Aging

    A periodic report that categorizes a company's accounts receivable ...
Related Articles
  1. Retirement

    The Complete Guide To Retirement Planning For 50-Somethings: Introduction

    For many individuals, their targeted retirement age is consistent with the social security administration's definition or 'normal retirement age,' which means retiring between age 62 and 67. ...
  2. Retirement

    The New Retirement Age

    Why are more and more people planning on working later into their golden years?
  3. Retirement

    The Complete Guide To Retirement Planning For 50-Somethings: Social Security

    Retirement income for many comes from three primary sources: your regular savings, your savings in your retirement account and social security income. Given that you are in your fifties, it may ...
  4. Retirement

    Retiring Early: How Long Should You Wait?

    Maximize your Social Security benefits by choosing when you retire.
  5. Retirement

    Will Raising the Retirement Age Save Social Security?

    Social Security is the federal government’s biggest expenditure. Here's why raising the age of retirement may not be a bad idea to keep it afloat.
  6. Retirement

    Understanding Social Security Eligibility

    Who qualifies for Social Security payments and when can they get them?
  7. Retirement

    Should You Delay Your Retirement?

    There are advantages to not retiring at age 66. And more money is not the only reason.
  8. Retirement

    Top 6 Myths About Social Security Benefits

    Misinformation on retirement benefits is common. We'll set the record straight.
  9. Financial Advisor

    Social Security 'Start, Stop, Start' Explained

    The start, stop, start Social Security strategy is complicated. Here's what retirees considering it need to consider.
  10. Retirement

    Are We Looking At A Retirement Age Of 70 Soon?

    Other countries have been hiking their retirement age. What would make the U.S. government go in that direction?
RELATED FAQS
  1. What is the maximum I can receive from my Social Security retirement benefit?

  2. When am I eligible to receive Social Security benefits?

    Understand when you are eligible to begin collecting Social Security retirement benefits and how retiring at different ages ... Read Answer >>
  3. Should I collect early Social Security?

    The earliest age that you can start receiving social security benefits is age 62. Full retirement was age 65 for many years; ... Read Answer >>
  4. What does "full retirement age" mean in regards to Social Security?

    Learn what full retirement age is and how Social Security benefits are calculated based on your age, how long you have worked ... Read Answer >>
  5. SSA contributions

    My wife recently passed away in 2015. I understand the fact that I can't draw her social security because I make too ... Read Answer >>
  6. At what age will I be eligible for the maximum Social Security payout?

    The year you choose for collecting your social security will play a large part in determining how much money you'll receive ... Read Answer >>
Hot Definitions
  1. European Union - EU

    A group of European countries that participates in the world economy as one economic unit and operates under one official ...
  2. Sell-Off

    The rapid selling of securities, such as stocks, bonds and commodities. The increase in supply leads to a decline in the ...
  3. Brazil, Russia, India And China - BRIC

    An acronym for the economies of Brazil, Russia, India and China combined. It has been speculated that by 2050 these four ...
  4. Brexit

    The Brexit, an abbreviation of "British exit" that mirrors the term Grexit, refers to the possibility of Britain's withdrawal ...
  5. Underweight

    1. A situation where a portfolio does not hold a sufficient amount of a particular security when compared to the security's ...
  6. Russell 3000 Index

    A market capitalization weighted equity index maintained by the Russell Investment Group that seeks to be a benchmark of ...
Trading Center