Retirement is supposed to be about leaving the working world and taking control of your schedule. You’re free from the constraints and restrictions of a work schedule, and you can do with your time as you please. Your new freedom may allow you to travel, pursue a new hobby or even relax and spend time with family.
Of course, there’s nothing saying you can’t work in retirement. In fact, many retirees have made the decision to work at least on a part-time basis. A recent study found that half of today’s retirees currently work or have worked during retirement. Among those nearing retirement, 72 percent plan to work.1
Why would you go back to work after retiring? There are a few reasons. The financial benefits are obvious. Supplemental part-time income can help you minimize your withdrawals from savings and make your money last longer. However, there are also important nonfinancial benefits.
Below are three ways in which you might benefit from part-time work in retirement. If you’ve resisted the idea of working in retirement, you may want to reconsider. It could help you enjoy a happier, healthier and more financially stable retirement.
Ease into retirement.
While you may be looking forward to retirement, it’s not uncommon for retirees to feel a bit of a letdown after they leave the working world. You immediately shift from a structured routine to an empty calendar. Some retirees feel that they don’t have a purpose, or they suffer from boredom.
Boredom can have a very real impact not only on your emotional state, but also on your financial stability. Some retirees address their boredom by spending money on vacations, shopping or expensive new hobbies. That spending drains their retirement assets.
Part-time work can help you ease into retirement gradually. You can work some days and then enjoy other days with a completely open schedule. Also, with work filling some of your schedule, you may be less tempted to combat your boredom with unnecessary spending.
Make new friends.
Work also gives you the opportunity to meet new people. Many seniors complain that although they don’t miss work, they do miss the friendships they developed during their career. In fact, some retired couples face marital difficulty because they spend so much time with each other and not in the company of outside friends. A part-time job can help you maintain a social circle.
Socialization isn’t just important for your happiness. It can also help prevent cognitive diseases such as Alzheimer’s. Some studies have shown that seniors who regularly socialize with others may have less chance of developing such issues.2
Participate in a favorite hobby.
Finally, part-time work may help you participate in a hobby you enjoy in a cost-effective manner. For example, maybe you enjoy golf. You might be able to get a part-time, seasonal job at a course. You get the benefit of being on the course, and you may also get discounted rounds.
If you have a gift for art, music or some other specialty, you could teach lessons. That would allow you to stay active in your favorite hobby and also earn money while doing so. Be creative and think of ways you can use your skills and knowledge to earn discounts or even generate income.
Ready to develop a retirement income strategy? Let’s talk about it. Contact us today at Wise Wealth. We can help you analyze your needs and develop a strategy. Let’s connect soon and start the conversation.
Licensed Insurance Professional. This information is designed to provide a general overview with regard to the subject matter covered and is not state specific. The authors, publisher and host are not providing legal, accounting or specific advice for your situation. By providing your information, you give consent to be contacted about the possible sale of an insurance or annuity product. This information has been provided by a Licensed Insurance Professional and does not necessarily represent the views of the presenting insurance professional. The statements and opinions expressed are those of the author and are subject to change at any time. All information is believed to be from reliable sources; however, presenting insurance professional makes no representation as to its completeness or accuracy. This material has been prepared for informational and educational purposes only. It is not intended to provide, and should not be relied upon for, accounting, legal, tax or investment advice. This information has been provided by a Licensed Insurance Professional and is not sponsored or endorsed by the Social Security Administration or any government agency.
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