Why do the over-60s plan for semi-retirement instead of retirement?
Retirement is a scary time for many people. Despite the best planning, jumping right in holds too much uncertainty. It is for this reason that the over-60s are planning for semi-retirement. It makes going into full retirement an easier process. Below are the reasons for semi-retirement.
For a majority of the over-60s, their social life closely links to their work life since they have spent a lot of time at work when younger. Retirees spend most of their time at home. Semi-retirement allows you to work on a part-time basis allowing time to meet other retirees and form a strong social network.
With semi-retirement, the over-60s can continue earning an income, and this allows them to put off depending on their retirement savings. Statistics show that the longer one puts off withdrawing social security benefits, the larger the checks will be. This is because there is more money to invest and get higher returns.
Work is fulfilling
For many people, working is the reason for getting out of bed every day. Work makes the over-60s feel useful and needed by society as compared to sitting alone at home. Semi-retirement is an excellent opportunity to continue to work and get recognition for their efforts.
Semi-retirement allows the over-60s to stay active. Working part time during semi-retirement allows the over-60s to remain active and ward off lifestyle diseases that may come from being sedimentary.
A disadvantage of complete retirement is that information gets lost. Semi-retirement allows the over-60s the opportunity to give back to the community by transferring knowledge and information to the younger generation.
Semi-retirement helps the over-60s to ease into retirement with fewer worries and a strong support base. Just as an internship is necessary for starting a work life, so is semi-retirement necessary to get ready for retirement living.