The generalized idea that everyone has of retirement is that of a period in which the person stops working and lives directly from the pension. However, there is an opportunity to extend the career while receiving the pension, albeit with reductions.
This can be done through flexible retirement , one of the alternative modalities to ordinary retirement provided by Social Security and which is available for all regimes except for “Civil Servants of the State, of the Armed Forces and of personnel at the service of the Administration of Justice “, according to the organism.
The operation is as follows: once the worker reaches retirement age, they are allowed to combine a part-time job with the collection of the pension , which will be reduced inversely proportional to the length of the working day. During all this time, “they will maintain the condition of pensioner for the purposes of recognition and receipt of health benefits,” explains Social Security.
As reported by the agency , reductions in working hours (compared to a full-time shift) are regulated and can only be between 25 and 50%. In other words, the retiree’s working hours may only be between 50 and 75% of the full working hours .
To be eligible for this type of retirement, the worker must notify Social Security before the start of the reduction of the working day. As long as they continue in this mode, the retiree will accumulate contributions that will improve the pension they will have after leaving work.
When this cessation takes place, the pension will be recalculated by adding the previous contributions, “unless the application of the provisions of this rule would result in a reduction in the amount of the previous regulatory base”, since in these cases it would remain the pension with which the partial retirement began.
Apart from the possible rise in the regulatory base (which would increase the pension), the increase in the contributions may also imply lower coefficients or even the elimination of these if early retirement was chosen.
When can it be done?
Social Security explains that this type of retirement can only be combined with temporary disability benefits (during periods of sick leave) and maternity benefits derived from part-time work.
However, it cannot be combined with any pension for permanent disability derived from part-time work and that takes place after the beginning of partial retirement.