Working part-time during retirement is a great idea, especially if you plan to collect Social Security benefits at age 62.
Furthermore, working part-time during retirement can help you make the most of your resources, whether you have a lot or a little.
It can also be incredibly fulfilling, allowing you to stay creative at any age. Many retired individuals work part-time, and it’s not always about needing the extra money. For instance, I know a woman who doesn’t need the money but works a day or two a week just to get out of the house!
Regardless of your motivation, don’t let anyone discourage you by saying you’re not truly retired if you work part-time.
Collect Social Security. Work part-time. Invest in yourself.
It’s your hard-earned money, so be smart about using it. Consider starting to receive Social Security benefits at 62 while working part-time to supplement your income.
Invest in yourself using the principles similar to those found in “Rich Dad, Poor Dad.” Make your Social Security benefits work for you. Explore options to invest your benefits while still receiving a paycheck.
To clarify, I don’t mean investing in a volatile stock market where your retirement savings could disappear overnight. Instead, think about investing in yourself. This may involve purchasing land for retirement, starting a business, finally writing that book, paying off debts, and more.
Utilize the funds in a way that will improve your situation. Ideally, consider an opportunity that could create passive income in the future.
It’s worth noting that before reaching full retirement age, there are limits to how much you can earn annually before it affects your Social Security benefits. However, it’s not a significant concern.
Read: Exceeded Social Security Earnings Limit: Don’t Worry
Working part-time while receiving benefits offers several advantages.
When you work part-time and pay Social Security taxes, the credits in your account can increase, potentially raising your benefits when you reach full retirement age.
If you continue to work after you start collecting Social Security benefits at age 62, the Social Security Administration will recalculate your benefit amount to include those extra years of work. Working part-time during retirement while receiving Social Security can be advantageous if you take full advantage of the opportunity.
Work part-time in retirement to stretch resources.
After retirement, you may have another 20 years or more ahead. If you find yourself needing extra income, consider working part-time.
Many retirees opt for seasonal jobs, such as driving shuttle buses in national parks or taking temporary retail positions during the holidays. Others utilize their expertise to start a business or provide consulting services.
Even if you believe you have enough money saved for retirement, a part-time job can still be advantageous. It can help supplement your savings and postpone using your retirement funds, allowing them to continue growing.
Retire and get creative with part-time work.
It’s widely recognized that maintaining social activity and engaging your mind can enhance your health and lower the risk of serious illnesses. One effective way to exercise both your body and mind, while also embracing new challenges, is to participate in creative part-time work.
Additionally, with some effort, you can turn your creative talents into a source of income. For example, if you have a passion for painting, now might be the perfect time to pursue it. Seeing your artwork sell in a local shop can be incredibly fulfilling and provide some extra cash. Alternatively, you could set up an Etsy store to sell your creations online, turning a lifelong hobby into an exciting part-time venture.
YouTube provides a fantastic platform for creatives. It’s fascinating to see older adults sharing their experiences through videos. A quick search will reveal content on a wide range of topics, including RV retirement lifestyles, pantry prepping, and wilderness survival skills.
If you’re interested, here are a few channels to check out:
You might find these websites interesting:
After years of raising children and working with my husband in business, I now focus on building my online presence, a pursuit shared by many older adults.
Conclusion
Many retirees choose to work part-time during retirement, and this can be a wise decision. Collecting Social Security benefits while holding a part-time job allows you to invest in yourself and maintain financial security. If you need extra income, a part-time job can provide the financial support you require. Even if you don’t need the extra money, working part-time can help you grow your savings. Additionally, maintaining a part-time job during retirement can keep you active as you age, helping you focus on good health while potentially creating an income stream.
Last Update: 06/10/24
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Are you retired and working part-time? Please feel free to comment below! And before you go, please take a moment to subscribe to our newsletter, and like us on Facebook!
Hi,
Thank you for your interesting article. I have a question about your comment…
“When you work part-time and pay Social Security taxes, the credits in your account increase, which can raise your benefits when you reach full retirement age.”
What do you mean by this? It sounds like you are saying that If I retire early and still work, when I reach full retirement age I will suddenly get a higher amount of social security? I never know this to be true. Please elaborate.
Hi Rebecca, Great question! Let me clarify. If you work and if your latest year of earnings turns out to
be one of your highest years, Social Security will recalculate and pay you any increase that’s due. Your benefit amount is based on your highest 35 years of earnings. Not knowing your history, or current earnings, I can only say that’s it’s possible. It’s a point I try to emphasize because many people don’t know this. This PDF from Social Security explains the topic in detail. https://www.ssa.gov/pubs/EN-05-10069.pdf Please check out page 7 where this question is answered. Thank you!
Best,
Marlene, Yoga Woman
What about healthcare insurance?
Hello Dottie, Thanks for asking. Rebel Retiree and I went for a time without coverage until Medicare kicked in. However, some of the options available include COBRA, Medicaid, state programs, individual and family plans, and health savings accounts. I’ve read that part-time work occasionally includes health insurance. I encourage you to explore these options to determine if they are appropriate for your unique situation. I know that health insurance is expensive and can be a deal breaker for some folks wanting to retire at 62. Thanks for stopping by. I hope this helps and you’re able to retire sooner instead of later.
Best,
Marlene, Yoga Woman
Health Insurance is a big deal. You need it more than ever. Thirty six months without it is NOT advisable. You will need to buy insurance. Consider that it could cost you a lot more than before you started to collect benefits and were receiving benefits from SS. Do your research before you take the leap. Learn from my mistakes. One more thing most part time jobs DO NOT offer benefits like health insurance, holiday, sick pay or personal time pay. Be careful.
Congratulations on your retirement, Eric! Happy to hear that retiring at 62 has been so beneficial to your health. Thanks for stopping by and leaving an uplifting comment.
All the best,
Marlene, Yoga Woman