The attached article has some great stories about how there is not just one way to retire. While some people consider stopping work as a one-way train to crotchety old age, others keep active and busy with hobbies, grandkids, volunteer work, and even their memberships in the American Association for Nude Recreation. No lie, click the link:
When I run financial projections for pre-retirees, I find that every extra year of work makes assets last an additional 2 years. This is due to a combination of factors:
- Each year you work is one less year you are pulling money out of savings to spend.
- Your Social Security benefit grows by 8% each year you delay taking it.
- You add to your retirement savings while working.
Part-time work in retirement is also tremendously helpful to the finances. As my grandmother used to say, if you are not making money, you are spending it. So, that 15 hours per week that you spend working is less money being spent and less being drawn off of savings.
Part-time work also helps ease the mental transition from being an earner/saver to a spender of savings. This is often a fretful time for retirees, especially men. Having some income but losing the stress of the full-time career can be a good happy medium on the way to full retirement.
If you’d like to see how your retirement picture would change by adding part-time work, working longer, or many other variables, call me to discuss how meeting with a financial planner can clarify your retirement questions.
If these topics sound like they would be of interest to your employees, sales conference, or professional organization, contact me at 303-324-0014 or kristi@