They thought their retirement would deliver them into the golden years with financial security, but according to the Association of Mature American Citizens, senior citizens have been hit hard under the last decade’s economic climate. With limited savings and Social Security Benefits, they are returning to work on a part-time basis and some – deterring Social Security – are looking for a new full-time career altogether.
Beginning a new career after 65 also allows for many to start contributing to a new retirement account. Under the age of seventy and a half, you can contribute to a traditional IRA. However there are no age restrictions for Roth IRAs. Many companies will offer life insurance, but if you don’t have it or you don’t have enough, it would be a good idea to look into a policy that would benefit your needs.
If you decide to return to the workplace, make sure you create a budget and calculate your expenses carefully. Is it worth it? You need to take into account how working full- or part-time will affect your tax status as well.
If you are on Social Security, how will the benefits be affected? In many cases,you may be able to stop and restart your Social Security, but talk to a Social Security counselors for more information.
According to a survey completed at Boston College, since 1990, employment for those over 60 have increased and those entering their 60’s and 70’s are better educated than the generation before them. Education and experience can be a winning combination. Many companies are looking for those with robust experience so they can save time and money on job training. They want seasoned employees that can hit the ground running in the area of maturity and decision-making. Seniors should learn to let their reputation do the work for them.