Even though you’ve reached retirement age, you might need to postpone a life of leisure due to financial concerns. A working retirement allows you to work at least a few hours every week and build your nest egg before you make the big transition to full retirement. First, though, consider several tips.
Boost Retirement Savings
According to a 2013 Employee Benefits Research Institute study, one-third of pre-retirees on the lower end of the income scale only have enough money to fund one year of retirement. Additionally, many of the pre-retirees in the same category don’t contribute enough funds to their 401k or other retirement accounts. Talk to your financial advisor about your retirement portfolio. If you don’t have enough money saved, take a job that offers matching 401(k) funds or set up automatic payday transfers that boost your retirement savings.
Maximize Social Security Benefits
You can almost double your Social Security benefits by choosing a late retirement instead of leaving your job at age 62. Talk to your human resources manager and crunch numbers as you maximize your Social Security benefits.
Choose the Career You Want
Maybe you love your current job and want to keep it. That’s okay, especially if you receive generous benefits like health insurance and matching retirement fund contributions.
However, don’t be afraid to switch careers or try something new. Learn a new trade, work as a temp in a variety of fields or start your own business. A career counselor can provide resources, revamp your resume and help you find a job that’s a good fit for your skills, talents and interests.
Get Medical Clearance
Before you sign up for a working retirement, visit your doctor for medical clearance. For example, if you suffer from chronic back pain or a heart condition, your physician may give you the okay to work in data entry but not package delivery. Ultimately, you need to prioritize your health and safety.
Working during your retirement provides you with an outlet for your boundless energy and active lifestyle. It also keeps your mind sharp, a benefit most seniors appreciate.
Deciding to take a working retirement with full-time or part-time hours might be a wise decision for you. Consider these facts, talk to your human resource manager and financial planner and crunch the numbers as you make this important decision.