Every living being experiences a life cycle with a set timeline, and humans are no exception. Retirement marks a critical phase of this cycle, not as an end but as a new chapter. Ang, Chen, and Kaylani (2022) see retirement as a fresh start, offering opportunities to pursue new purposes and uncover untouched aspects of life, as noted by You (2023).

According to Tolondon and Ortizo (2024), retirement brings a significant lifestyle shift, affecting mental health and daily routines. Similarly, Skerrett (2022) suggests that retirement involves adapting to changes in identity and routine. With global life expectancy rising, preparing for this stage is essential, as it allows for personal growth, new social bonds, and engaging in meaningful activities.

In Indonesia, retirement age for private sector employees is set at 56, per Ministerial Regulation No. 4 of 2024. This age, comparatively younger than retirement ages in other countries, aims to provide financial security through programs like Old Age Security (JHT) managed by BPJS Employment, ensuring comprehensive social protection for workers.

Indonesia’s pension programs include Defined Benefit (PPMP) and Defined Contribution (PPIP) plans, regulated by the Financial Services Authority (OJK). PPMP guarantees specific retirement benefits, bearing investment risks, while PPIP leaves investment risks with employees, who contribute individually to their accounts. The BPJS JHT program also safeguards employees by providing financial support upon retirement, resignation, or disability.

Comprehensive retirement planning—financially, mentally, and spiritually—is vital for a fulfilling experience. Companies can support employees through financial education, entrepreneurial training, and health insurance, ensuring employees are well-prepared. Employees, in turn, should focus on saving, investing, and managing debt early, while nurturing a positive, adaptable mindset toward retirement.

 

 

​​References :

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  2. Permenaker No. 4 Tahun 2022 tentang Tata cara dan persyaratan pembayaran manfaat Jaminan Hari Tua (JHT)
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