Retiring early can be an alternative for workers who, having met the required requirements, do not want to extend their working career more than is strictly necessary. These early retirements, in some cases, can be made from 64 years of age.
The key is in the retirement age and the period previously quoted: workers who reach 64 years of age will be two years younger than the highest ordinary retirement age, for which reason they will be able to take advantage of voluntary early retirement. Also workers who, at 63 years of age, already had the option of taking early retirement and had not yet done so.
For 2021, the age of 65 is for people who had at least a previous contribution of 37 years and three months, while for the rest of the workers the contribution age is 66 years. Voluntary early retirement allows advance payment of up to two years at that ordinary retirement age, so that from the age of 64 all workers who meet the rest of the requirements may retire early if they wish.
these requirements are the following: to retire early it is necessary to have at least 35 years of contributions (of which two must be in the last 15), be registered or in an assimilated situation and have a pension amount (after discounts made) greater than .
Fulfilling these requirements, the worker must know that his pension will be calculated according to (which takes into account the contribution bases of the last 24 years and the number of years worked) and will subsequently be subject to reductions in accordance with reduction coefficients that compensate the retirement advance and vary according to the length of working life. Until 2021, these coefficients will be quarterly and will affect the regulatory base of the pension as follows:
-A 2% regulatory base for each quarter of advance for careers of less than 38 years and six months.
-A 1.875% regulatory base for each quarter of advance for careers between 38 years and six months and 41 years and six months.
-A 1.75% regulatory base for each quarter of advance for careers between 41 years and six months and 44 years and six months.
-A 1.625% regulatory base for each quarter of advance for careers of more than 44 years and six months.
If, after applying these deductions, the resulting amount is greater than (this is the case of high salaries), a new reduction of 0.5% of the pension will be made for each quarter in advance.
Workers laid off near retirement age can also retire at age 64. Even sooner: Involuntary early retirement allows retirements four years in advance. For this, the dismissal must occur due to a “business restructuring situation”, proof of a contribution of 33 years (two in the last 15), registration six months before as a job seeker and the relevant registration (or similar situation). in Social Security.
In this modality, reduction coefficients are also applied to the resulting pension after calculating the Social Security. Until 2021 they are also applied to the regulatory base of the pension and are quarterly:
-A 1.875% of the regulatory base per quarter of advance in careers of less than 38 years and six months.
-1.75% of the regulatory base per quarter in advance in careers between 38 years and six months and 41 years and six months.
-A 1.625% of the regulatory base per quarter of advance in careers between 41 years and six months and 44 years and six months.
-A 1.5% of the regulatory base per quarter in advance in careers over 44 years and six months.
As in voluntary early retirement, if after applying these coefficients the amount of the pension is greater than the maximum amount of pensions, a 0.5% reduction will be applied for each quarter of advance.
Early retirement by profession
There is another option: that the worker abide by a different regulation regarding early retirement. This is the case of people with particularly hard, dangerous or toxic jobs such as miners, firefighters, aerial work personnel, artists, bullfighters, local police officers, navy personnel…
Depending on the profession performed, the worker may have an ordinary retirement age and different reduction coefficients. The Social Security website in which all possible cases and their regulations appear.
The changes for 2022
Starting next year, certain changes will come into force that may affect people who intend to retire early at 64 years of age. The first leg of the pension reform of José Luis Escrivá, is the ‘culprit’.
By virtue of these changes, early retirement is modified, with new reduction coefficients that penalize early retirement and that become monthly and apply to the amount of the pension.
In addition, the effect of another reform, that of 2011, will also have consequences for workers in 2022: , which becomes 66 years and two months for people who do not prove a contribution of 37 years and six months.
Facebook Comments
Disqus