2. You’re not happy with your nest egg
It’s one thing to reach the age of 65 with a nest egg you feel secure with. But if, come that age, you feel your savings could still use work, then it’s worth plugging away at your job for a few more years.
Imagine you have $300,000 in your IRA or 401(k) plan by age 65. That’s a decent sum, but not a ton of money when you consider how long you might need it to last.
If you were to keep working another two years, all the while socking away $500 a month, and your retirement plan delivers a somewhat conservative 5% return during that two-year period, you’ll end up with $343,000 instead of just $300,000. That’s a pretty substantial difference.
3. You enjoy your job
If you hate your job and, worse yet, feel that it may be detrimental to your health, then it’s natural that you’d want to leave it come age 65. But if you actually enjoy going to work, then you might as well keep at it a few more years.
Americans are living longer these days, and if you retire in your mid-60s, you could end up with many years of retirement ahead of you. And while you can argue that that’s not a bad thing, it could end up putting a strain on your nest egg. So if your job is actually something that keeps you busy and engaged, then it pays to stay on-board a few extra years.