Working After Retirement: Everything You Need to Know

The idea of working after retirement might seem very unusual to many. Why would you work for decades and finally reach your golden years just to then go back to work after retirement? Yet, millions of (now ex) retired Americans have already taken this decision.

According to the U.S. Bureau of Labor Statistics (BLS) estimations, it’s actually a trend. And it’s growing so much that in the next few years the number of Americans aged 65 and over that are still at work could be at least 13 million.

Going Back to Work After Retirement and Social Security

Before talking about why and how you would go back to the office in your golden years, you might be asking “can you work after retirement?”, and if so, “how many hours can you work after retirement?” These are legitimate questions, especially since after you officially retire you start tapping into your Social Security and so, there are a few factors to keep in mind.

First, claiming your pension cheque doesn’t limit your possibility of working after retirement, not even the number of hours. However, if you stop working at the earliest opportunity (62 years of age) and then decide to return, your Social Security benefits will likely be reduced until your full retirement age. This is due to a limit on how much you can make while also collecting Social Security in early retirement.

After you turn 66 or 67 (depending on when your birthday falls), the rule no longer applies, so you can work as much as you want without being penalized. What might happen, though, is that the additional income could push you into a higher tax bracket and therefore into higher charges for Medicare, if you are a beneficiary of this federal health insurance.

WHY DO PEOPLE GO BACK TO WORK AFTER RETIREMENT?

It turns out that there are quite a few reasons why people consider working after retirement, including: • Needing or wanting an additional income besides your pension cheque to improve or fix your house, travel more often, or help family members. • Some people experience a loss of identity or purpose without a job or routine. • Missing social interactions with coworkers or clients. • Others just really liked their job, and after a break realize they are not done contributing yet. • It’s an opportunity to finally pursue a passion in a new field.

Whatever the reason, even science approves. Studies have shown that returning to work after retirement, especially after 65, brings a series of health benefits. These include a lower incidence of various chronic illnesses and a slower cognitive decline. Not to mention the reduced risk of elderly depression and other problems associated with loneliness.

OPPORTUNITIES AND ADVERSITIES TO CONSIDER

When working after retirement, whether going back to the same job or entering a new field, there are both perks and challenges. Returning to your old role as someone already established in the industry makes it easier to use your knowledge in consulting, freelancing, or other similar alternative forms of work that you might enjoy more.

You could also decide to take on fewer hours or responsibilities. Either way, depending on how long you’ve been out of the workforce, you might notice some advancements in your industry that require you to catch up. On the other hand, if you choose a new work sphere everything is new and exciting. However, you also have to learn new things quickly, which could be refreshing for some, while stressful for others.

HOW TO GO BACK TO WORK AFTER RETIREMENT

Once you know your reasons for going back into the workforce, the kind of role you want, and you’re aware of the issues you might face along the way, it’s time to make a plan. Here are some tactics we recommend for a strong one. 1. Reskilling and Upskilling

If you’re trying to access a completely new profession in which you need some degree of technical knowledge, traditional learning is your first and best bet. Perfect examples are: • university courses • industry-specific programs • certifications

E-learning and online courses from a reputable institution or provider are other excellent options. People looking to start working after retirement that need a little bit of catching up with their existing industry can also benefit from these resources. Online options are very flexible alternatives and often allow you to go at your own pace. Other useful resources to help you fill gaps in your professional knowledge include: • industry-based newsletters • books and publications • podcasts • webinars • thematical YouTube channels

Finally, consider shadowing a colleague or a manager. This can be extremely beneficial to jumping right back into a role. You learn by first observing and, once ready, by actively performing tasks with supervision. 2. Know Your Value and Learn to Sell it

As an older worker, you are certainly experienced and knowledgeable in your field. You might need a little refresh on new developments, but that’s nothing compared to decades of experience on the job. Being in the same industry for that long, you know how to handle a great variety of situations. Plus, chances are you’ve mastered interpersonal skills just as well since you spent so long in the game.

When applying to new jobs to return to work after retirement, make sure to highlight all of these in a powerful strong elevator speech during interviews. Use real-life examples and explain how certain skills helped you achieve past goals. Don’t forget that you can also leverage the soft skills you acquired during your career in any work environment. Pair it with an eager-to-learn attitude and you’ll be on the right track to success.