People typically think that when they’re retired they’ll simply relax, travel, and spend time with loved ones, but that’s not always the reality. For various reasons, many retirees choose to work.
A Job Can Provide Financial Security
Housing, food, healthcare, and other essentials can be expensive. Not knowing how long you will live can make it difficult to plan for the future. If you’re concerned that you haven’t saved enough, working in retirement can allow you to withdraw money from your retirement account slowly so you don’t outlive your savings.
You’ll Be Able to Collect Social Security Later
You can begin to collect Social Security benefits as early as age 62, or you can wait and collect benefits later. For each year that you wait, your benefits will increase until they reach their maximum at age 70. If you can cover your bills with money from your investments and a part-time job, you’ll be able to put off collecting Social Security.
Working Can Be Good for Your Health
Many people relish the thought of never having to work again, then retire and discover that they feel bored and isolated. People who did work that they found meaningful and rewarding may feel a lack of purpose when they retire. Seniors who don’t have a reason to get out of the house often spend their days at home with little or no exercise or social interaction. Those changes can have a profoundly negative impact on both physical and mental health.
A job can give you a sense of meaning and an opportunity to learn new skills and meet new people. Work that you enjoy can have a positive impact on your mood and overall wellbeing. A job that’s mentally stimulating can help you keep your mind sharp as you get older.
You Have to Find the Right Job and the Right Balance
If you want to work in retirement, start by identifying your goals and priorities. If you’re concerned about making ends meet, you’ll want to focus on jobs that pay well. If you feel secure financially, you might want to focus on helping others or doing work that you find interesting.
You don’t have to remain in your current field. You might decide to pursue a new interest, get back into an activity that you enjoyed when you were younger, or even start your own business or non-profit organization.
While working in retirement can be beneficial, you don’t want to overdo it and get stressed out. Time that you spend working is time that you won’t be able to spend visiting family and friends or pursuing hobbies.
Get Advice
Discuss your goals, interests, and health with family members and friends. They might recommend options that you haven’t considered. If you have questions about your investments or the tax implications of working after you retire, consult your financial advisor or accountant.
