In An Easier Way to Fund Your Retirement I talked about the advantages of working longer before you completely retire. In summary, every extra year you work gives a tremendous boost to your retirement savings by letting it have an additional year to compound as well as requiring it to last a year less than otherwise might be the case. I also noted that I hope to downshift my career and work on some projects I've always wanted to work on -- but that I didn't plan to retire completely. Not only will this give me some income and help me fulfill some of my life goals, but it will also keep me active physically and help keep my mind sharp as I age.
This article from Yahoo has some similar thoughts on working longer before you retire. It starts with a thought on the financial advantage of working longer:
Most Boomers in America are in trouble about retirement savings. One solution is for them to work longer. If they can supplement investment and pension income by work, they're that much better off.
Yep. That's what I said above.
Next, the piece addresses the fact that employers like older workers:
What I really learned from the nice staffing people at Randstad is that older workers, especially older temp workers, are much prized by employers for their work ethic and discipline, have great attitudes compared with younger workers, and feel quite good about working.
I often ask employers who they're looking for and they say they love older workers. Older workers are grateful for work, show up on time, and have ethical standards. They don't just see work as a stumbling block to playing Everquest or gossiping about who's dating whom. In short, older workers know the score.
This is good news for those of us who may want to work longer. Being older may actually be an advantage when we decide to downshift or look for a different career.
Finally, he notes the physical and mental benefits of working:
I totally empathize. Work is a gift. Work organizes our days, gives us something to wake up for, and offers us a sense of achievement and purpose. Work clears the despair and fear out of our heads. To teenagers, work is a drag and a burden. To wiser heads, it's salvation.
So what I'm saying here is that maybe we don't have to aim at complete retirement at age 65. Maybe we would be better off planning to work part-time if our health permits from, say, age 65 to 75. My observation, respectfully offered, is that work offers both mental and physical health benefits for people of all ages.
I agree completely. I think we have all heard of and/or know people who worked 50 years, quit one day to retire and "enjoy life", and were dead in less than a year. Work has several purposes and one of them seems to be that it just keeps us going.
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