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.

Investopedia explains '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.



comments powered by Disqus
Hot Definitions
  1. Degree Of Financial Leverage - DFL

    A ratio that measures the sensitivity of a company’s earnings per share (EPS) to fluctuations in its operating income, as a result of changes in its capital structure. Degree of Financial Leverage (DFL) measures the percentage change in EPS for a unit change in earnings before interest and taxes (EBIT).
  2. Jeff Bezos

    Self-made billionaire Jeff Bezos is famous for founding online retail giant Amazon.com.
  3. Re-fracking

    Re-fracking is the practice of returning to older wells that had been fracked in the recent past to capitalize on newer, more effective extraction technology. Re-fracking can be effective on especially tight oil deposits – where the shale products low yields – to extend their productivity.
  4. TIMP (acronym)

    'TIMP' is an acronym that stands for 'Turkey, Indonesia, Mexico and Philippines.' Similar to BRIC (Brazil, Russia, India and China), the acronym was coined by and investor/economist to group fast-growing emerging market economies in similar states of economic development.
  5. Pension Risk Transfer

    When a defined benefit pension provider offloads some or all of the plan’s risk – e.g.: retirement payment liabilities to former employee beneficiaries. The plan sponsor can do this by offering vested plan participants a lump-sum payment to voluntarily leave the plan, or by negotiating with an insurance company to take on the responsibility for paying benefits.
  6. XW

    A symbol used to signify that a security is trading ex-warrant. XW is one of many alphabetic qualifiers that act as a shorthand to tell investors key information about a specific security in a stock quote. These qualifiers should not be confused with ticker symbols, some of which, like qualifiers, are just one or two letters.
Trading Center