Many nurses don't plan to work 12-hour nights at 65. Whether you want to retire early, move to a less physical role or go part-time, a retirement plan gives you choices. Here's how to build one.
Step 1: Picture your retirement
- At what age would you like to stop working full-time?
- Would you like to keep working part-time or casual?
- Where will you live, and what will it cost?
A common starting estimate is that you'll need 60% to 80% of your pre-retirement income, but your actual spending matters most.
Step 2: Count your guaranteed income
Canada
- Workplace pension: for example, HOOPP. Check your annual statement for your projected pension.
- CPP: based on your contributions. Check your estimate in your My Service Canada Account. You can start as early as 60 or delay up to 70 for a bigger payment.
- OAS: based on years living in Canada after age 18, usually starting at 65.
United States
- Social Security: check your estimate at ssa.gov. Starting earlier means a smaller monthly benefit; waiting until 70 means a larger one.
- Pension: some public and union hospitals still offer one.
Step 3: Find your gap
Subtract your guaranteed income from what you expect to spend. That gap is what your own savings need to cover.
A common rule of thumb: to produce $1 a year of retirement income, you may need roughly $25 saved (based on the "4% rule"). So a $20,000 yearly gap suggests saving about $500,000. Treat this as a rough guide, not a guarantee.
Step 4: Fill the gap with tax-smart accounts
| Canada | United States |
|---|---|
| RRSP: up to $33,810 in 2026, minus pension adjustment | 403(b) / 401(k): $24,500 in 2026 |
| TFSA: $7,000 in 2026 | 457(b): another $24,500 if offered |
| Non-registered investments | IRA: $7,500 in 2026 |
Step 5: Plan for early retirement
If you want to stop before 65:
- Check your pension's early retirement rules and reductions.
- Build accessible savings (a TFSA in Canada; a 457(b) or taxable account in the US) to bridge the years before your pension, CPP or Social Security start.
- Plan for health coverage. In the US, this is especially important before Medicare at 65.
Step 6: Increase savings with every raise
Every time your pay goes up, through a step increase, a new contract or a promotion, raise your savings rate by part of that increase. You won't miss money you never got used to spending.
The bottom line
Know your guaranteed income, calculate your gap, and use tax-advantaged accounts to fill it. Starting early, even with small amounts, makes the biggest difference.
Using overtime to boost retirement savings? Check what extra shifts pay with the free Nurse Shift Pay Calculator.
This article is for general education and isn't financial advice. Consider speaking with a fee-only financial planner for a personalized plan.