Peri-Retirement

AAA

DEFINITION of 'Peri-Retirement'

A term for the period of time leading up to actual retirement. Peri-retirement is marked by the planning phase of retirement, in which an individual determines his or her financial readiness. Individuals in this stage leading up to retirement are most likely to be in their late 30s, 40s or 50s.

INVESTOPEDIA EXPLAINS 'Peri-Retirement'

Retirement planning is more complicated now. While many employees could once count on company pension plans to cover retirement expenses, most workers aged 35 and older can no longer expect that type of income in retirement. Today, individuals entering the peri-retirement stage of life may have to balance economic and financial hurdles previous generations did not face, including supporting children who have been unable to find jobs and are living at home.

Planning during peri-retirement involves an examination of retirement income, and whether an individual’s current savings rate will be enough to support him or her in the post-job decades. If investors have not saved enough money to date, the years of peri-retirement may require a period of “catch up” savings, in which the savings rate is increased to make up for the gap between what they need to live comfortably in retirement and how much current savings are likely to provide. On the other hand, peri-retirement may also be a time when individuals explore working fewer hours, starting an encore career or spending more time on hobbies they will pursue after they retire.

RELATED TERMS
  1. Elder Care

    Elder care, sometimes called elderly care, refers to services ...
  2. Variable Annuitization

    An annuity option in which the amount of income payments received ...
  3. Gold IRA

    Definition of Gold IRA
  4. Eligible Transfer

    An IRS-allowed movement of assets into or out of an individual ...
  5. Pension Risk Transfer

    When a defined benefit pension provider offloads some or all ...
  6. Death Master File (DMF)

    Also known as Social Security Death Index. A list of people whose ...
Related Articles
  1. When Your Job Offers An Awful Retirement ...
    Retirement

    When Your Job Offers An Awful Retirement ...

  2. Top 5 Strategies To Pay For Elder Care
    Retirement

    Top 5 Strategies To Pay For Elder Care

  3. 10 Common Retirement Planning Mistakes ...
    Retirement

    10 Common Retirement Planning Mistakes ...

  4. Retire Abroad: Cosmopolitan Cities
    Retirement

    Retire Abroad: Cosmopolitan Cities

comments powered by Disqus
Hot Definitions
  1. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  2. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  3. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  4. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  5. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
  6. Over The Counter

    A security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, etc. The phrase "over-the-counter" ...
Trading Center