The debate over the retirement age and the future of Social Security in the United States may have you curious about other countries.
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Particularly during this presidential election year, many retirees and other voters are looking to Donald Trump and Kamala Harris to hear their plans regarding Social Security.
Both presidential candidates have told voters they plan to protect Social Security, but have not offered a lot of details on the campaign trail. Trump has said he wants to cut taxes on Social Security. Harris has told voters she would strengthen the program.
Their promises come as the United States faces funding issues for Social Security as well as an aging population. But the U.S. is far from the only country dealing with such struggles. Italy is also facing some issues concerning retirement plans.
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Retirement in the US
The average retirement age in the U.S. tends to hover around ages 64 to 66. That comes despite people generally living longer, though the exact age varies for individuals based on their health, financial readiness and other factors.
Per the Social Security Administration, if you retire at 62, the earliest possible Social Security retirement age, your benefit is lower than if you wait a bit longer. If you were born in 1960 or later, full retirement benefits are payable at age 67. The average monthly Security benefit check is about $1,800, but that can vary quite a bit.
Workers in the U.S. have been putting off retirement — and it’s not just because of financial concerns. According to CNN, “One factor contributing to today’s higher retirement age is that college-educated Americans tend to work somewhat longer than others on average, largely because they tend to be in better health.”
The presidential candidates have been talking about this issue because Social Security faces an uncertain future. Whoever wins the White House in the November election will need to take action to ensure funding continues for the program.
Retirement in Italy
The average retirement age in Italy is not that much different than the U.S. In Italy, the old-age pension requirement is 67 years with a minimum of 20 years of contributions.
Per the European Commission website, “If your first work insurance dates as of January 1996, in the absence of the required 20 years of contributions, you are entitled to the old-age pension with a minimum of 5 years of contributions and 71 + 3 months years of age, but deemed contributions will not be taken into account.”
For those aged 63 and over, who meet certain requirements, they may be entitled to the new welfare-based early-retirement allowance. Italy is regularly reviewing the retirement options for its citizens. Per the Commission’s website, “The recent reform in this area has extended the contribution calculation method to all workers, provided for adjustment of the pension age for access to the old age pension based on increased life expectancy and increased flexibility in accessing retirement with the early old age pension.”
On the economic front, Italy is wrestling with one of the highest pension bills in the world, per Reuters, costing 15.3% of state GDP in 2022. Reuters also indicated that, as of Oct. 2023, Italy’s government had softened plans to hike the retirement age by a year.
In case you’re curious about the average life expectancy in Italy, according to the World Health Organization, it’s about 82 years.
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This article originally appeared on GOBankingRates.com: The Average Retirement Age in 2024: US vs. Italy
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