The Internal Revenue Service is moving ahead with efforts to adapt to the new “phased retirement” movement.
Advocates of the movement, including many retirement benefits consultants, argue that many baby boomers will want to shift to part-time schedules as they age rather than retiring outright.
The IRS is supporting the movement by coming up with regulations that will ensure that workers can enter phased retirement programs a few years before the normal retirement age without falling behind colleagues who simply stop working early.
The IRS has published the proposed regulations and a discussion in the Federal Register.
The authors of the proposed regulations have several major goals, IRS officials say.
One goal is to make sure that workers in phased retirement programs can collect some of their pension benefits once they move to part-time work.