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.

  1. Attained Age

    1) The age at which the beneficiary of an insurance policy, retirement ...
  2. Social Security Benefits

    The monetary benefits received by retired workers who have paid ...
  3. Employee Savings Plan

    A pooled investment account provided by an employer that allows ...
  4. Qualified Retirement Plan

    A plan that meets requirements of the Internal Revenue Code and ...
  5. 401(k) Plan

    A qualified plan established by employers to which eligible employees ...
  6. Pension Plan

    A type of retirement plan, usually tax exempt, wherein an employer ...
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  1. When can catch-up contributions start?

    Most qualified retirement plans such as 401(k), 403(b) and SIMPLE 401(k) plans, as well as individual retirement accounts ... Read Full Answer >>
  2. Are 401(k) contributions tax deductible?

    All contributions to qualified retirement plans such as 401(k)s reduce taxable income, which lowers the total taxes owed. ... Read Full Answer >>
  3. Are 401(k) rollovers taxable?

    401(k) rollovers are generally not taxable as long as the money goes into another qualifying plan, an individual retirement ... Read Full Answer >>
  4. Are catch-up contributions included in the 415 limit?

    Unlike regular employee deferrals, catch-up contributions are not included in the 415 limit. While there is an annual limit ... Read Full Answer >>
  5. Can catch-up contributions be matched?

    Depending on the terms of your plan, catch-up contributions you make to 401(k)s or other qualified retirement savings plans ... Read Full Answer >>
  6. Are catch-up contributions included in actual deferral percentage (ADP) testing?

    Though the Internal Revenue Service (IRS) carefully scrutinizes the contributions of highly compensated employees (HCEs) ... Read Full Answer >>

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