Work a Little, Play a Little: A New Retirement Strategy from the New York Times covers the growing trend towards people working part-time in retirement.
As we reported last week, record numbers of Americans are working past 65. They are doing so for a variety of reasons, including financial need, wanting to stay engaged and simply enjoying work.
The article focuses on a retired educator who has put together a portfolio of activities to meet his goal of “balancing a life of leisure with a life of purpose ...”. He calls this approach consulteering, which he describes as:
"... my trifecta,” he said. “Paid work, giving back and relaxation."
Volunteering and spending time with family covers most of the giving back and relaxation. He also works part-time. The key is time management. Key quote:
The biggest challenge is time management. The management comes in how many gigs I will take on and how much volunteering we can realistically do.”
The article suggests more people will choose this path. We agree.
One reason is more people will need to do so. Simply put, many older Americans are not financially prepared for retirement and will need to work.
Additionally, many older Americans are pushed out of their jobs before they are ready to retire. Key quote from the article:
"A sizable 60 percent of retirees surveyed last year by the nonprofit Transamerica Center for Retirement Studies said they were pushed out of their jobs before age 65, largely for reasons out of their control, according to Catherine Collinson, president of T.C.R.S."
Others will choose to work part-time in retirement to stay and engaged. And, of course, many older Americans will continue working simply because they like it.
As we mentioned last week, older Americans have the highest rate of self-employment of all age cohorts. Age discrimination plays a part in this, but many older workers also prefer the flexibility and control independent work provides.
With 85 million baby boomers moving into their retirement years, you can see why we think the number of independent workers will continue to grow.