Have you ever considered buying a brothel in an outback mining town at 55 years old? Would you like to still be working at 102? How about becoming a barrister when you have just been sacked as the judge on a top rating television talent show? Or becoming an entrepreneur in your 60s?
These remarkable stories, and many others, were shared on a recent Australian television show. Insight host Jenny Brockie interviewed people who, for many different reasons, are still working at a much older age than normal. She also sensitively dealt with the issue of older people finding it very difficult to find work. You can view this great program by clicking on the image above.
With the trend of people living longer many people worldwide are questioning the paradigm of retiring at 65 and just living off their investments, doing no more income producing work for the rest of their lives.
The concept of a ‘traditional’ retirement is being challenged by many.
This idea is not new. It has always been common for successful business people to transition from full time work to becoming a director of a company with part-time involvement. Retired professionals often become consultants within their industry and continue to work on a project basis, with blocks of full-time work alternating with blocks of full-time traditional retirement. Writing a book has long been the retirement project of people who felt they still had a contribution to make but wanted to do it in their own time, combining the lifestyle they desired with the challenge of creating a great book.
People seek purpose, challenge and meaning in their lives, at all stages of their lives. Why should this change when they hit the magical age of 60 or 65?
For many people this purpose, challenge and meaning comes from the traditional retirement life that they create; perhaps some form of community service, genealogy, pursuing a long-held interest, mastering a physical or art/craft activity or becoming actively involved in the lives of their grandchildren.
For others, this is a time of life when they decide to do the things that they couldn’t do before. How often have you heard someone say “I’ve got a great business idea but I can’t do it now” or “I’d love to work from home”. There is a spark of entrepreneur lurking in the most surprising people, and it is often when people get older that they embrace this aspect of their personality and are in the position to build a business.
Outliving your retirement nest egg is a fear of many people as they approach retirement age. The reality is that living is expensive and that a large proportion of people go into retirement worried that they will not be able to afford the lifestyle that they have dreamed they would be able to live in retirement.
There is no point in worrying about it but there is a lot of point in doing something about it!
Technology has given us the opportunity to run a business from anywhere, with no borders, no need for staff, and no glass ceiling. There are many people who are earning very good incomes (sometimes extraordinary incomes) working online, all around the world. Certainly there is learning involved, but that is part of the fun and the challenge. Just like any business venture there are no guarantees, and it is essential that you trust the right people as there are many sharks online.
Barclays has appointed the founder of a skincare company, Liz Earle, to advise on the ways that banks can better support older entrepreneurs. In an interview with YourMoney.com she commented
The older generation adds so much value to the workplace in any context – bringing a wealth of experience and industry contacts to the table. I’m not surprised to see so many budding entrepreneurs of my generation, but it’s great to see them taking the plunge in later life, rather than feeling it’s too late.”
She offered ten tips for people starting a business later in life which I have adapted and shared with you here.
What if I had done things differently?
What if I could do things differently now?
What if I was twenty years younger?
Are those “what if…?” questions stopping you from living a rich and full lifestyle?
Are they stopping you from following dreams, learning new skills, seeing opportunities, doing different things?
Getting older doesn’t have to mean that you give up on your dreams and seeking new challenges.
Frank is 85 years old and has retired three times. " I saw that people who retired often died fast. I didn't want to die."
Frank wants to live life to the full and create an income. Watch his story here.
In keeping with our BoomersNextStep belief that baby boomers can thrive on making career changes and should not let age stop them from following their lifestyle dreams, in the post below I proudly announced that I’ve been practicing what I preach.
I’d been searching for a way to continue to make an income once we decide to retire from our “real jobs” and were free to travel as and when we wanted to. I started learning about Amazon selling, and this blog post was written when my first product had just been launched on Amazon. It was a challenging, exciting, scary, inspiring, fun, frustrating, but mostly delightful journey, except for the fact that it didn’t really work out for me as I had hoped.
What went wrong? Amazon kept changing the goal posts and I didn’t manage to keep ahead of their changes. They had a major change in the way they promoted products, and it made it more difficult for small business to compete with the big companies. As with any business, unscrupulous people “played” the system, and in this case people were paid by bigger companies to write negative reviews about their competitors. Another problem for me was the design of my product. It was designed to be packed inside itself, forming a small pouch. Amazon is very lenient with their returns policy, and returned items are put back for sale if nothing seems to be wrong with them. In the case of my product you couldn’t see anything wrong with it if it was packed back into its pouch. Consequently when it was resold customers received damaged goods. I’d be upset about that too.
So do I regret my venture into Amazon? Not really. I wish I had made more money out of it, but I learnt a lot and actually enjoyed the experience. I think if you are venturing into unknown territory you have be prepared to be resilient and I have learnt that I am.
It is now sold out and I have closed my account but I’ll still share the Press Release with you. It was a great product and fortunately we still have a couple of bags left that we use all the time when we are traveling or going out to a festival or other day outing.
The new RovEasy daypack is designed to meet the needs of the savvy traveler. Weighing less than 6oz, the pack folds with ease into its own internal pocket in seconds, small enough to be easily transported in a handbag or coat pocket. The daypack features classic styling with high quality fabric and once open is a comfortable size for adults of all sizes to carry their daily travel necessities.
Principal of Clarity Travel Solutions, Jenni Proctor, explained “We were thoroughly enjoying our travels, but because of the changeable weather we started the day wearing jackets then needed to remove them as the temperature rose. It was inconvenient carrying jackets around all day in our arms but we didn’t want to carry a backpack on our backs all day, even when it wasn’t needed.”
“For convenience we bought a lightweight backpack that could be carried in my handbag or my partner’s pocket and then unfolded it when needed,” Jenni said. “It became the most useful item we had on our holiday, but we were unhappy with its quality and felt the design needed improvement so we decided to design one that would really meet our needs.”
The RovEasy daypack has just been launched on Amazon at a special introductory price. For more information please have a look at RovEasy daypack on Amazon.
Meanwhile these intrepid Baby Boomer travelers are planning their next holiday and their next product to ease the inconveniences and enhance the ease of traveling.
When it comes to being exposed to malware and viruses, who do you think is more likely to fall victim – the kid who spends every waking hour online, or your grandmother who just logged onto the world wide web for the first time over the holidays? If…
Over the last ten years the world has moved online…business, learning, shopping, marketing, even ordering a takeaway dinner. The advantages and convenience are obvious (most of the time) but what does it mean to you if you are considering business possibilities for yourself?
Increasingly baby boomers are seeing an online business as a very viable alternative to seeking employment, a way of creating a business that brings in an income through your own endeavors, skills and preferred style of working.
The thought of having to learn how to make a business succeed online can be daunting for those who can see its potential but haven’t been actively involved in how to make it happen.
I have been working in this space for some years and have been to so many seminars, attended so many workshops, participated in so many webinars, that if I had put that effort into a PhD I’d have a completed it with honours by now! It’s become a bit of an obsession for me I think J
By nature I’m a lifelong learner. I love learning about new things or hearing similar ideas expressed from a different perspective. I have been fascinated by all things to do with the internet and have watched the “normalization” of working in this space over the last few years. Six years ago if I was attending an internet marketing workshop I would tell people I was going to a “business” workshop, which was true but was definitely putting up a smoke screen. Why? Because I found then that people treated internet businesses with mistrust. I would have to explain to them it was the way business was going, and that perfectly respectable normal people like me needed to learn about it. Now I happily proclaim my interest in blogging, social media and internet marketing to anyone.
I’m going to be blogging about working online, particularly from the perspective of baby boomers creating an online business that uses their skills, experience and expertise while giving them new challenges and their choice of working environment.
So my big question is:
Email me firstname.lastname@example.org and let me know what interests you and I’ll be sure to include that in the blog posts.
By Jenni Proctor
Do you have the retirement savings that you had hoped for or expected to have by now? Daniel Goldstein's TED talk considers what we need to do to achieve our goals when that involves a battle between your present self and your future self.
According to the McKinsey Global Institute two out of three baby boomers will not be able to meet their anticipated retirement needs when the time comes. He specifically speaks about retirement savings, and uses some very interesting virtual reality tools to give emotional strength to the need for current action to meet future needs.
If you’re considering retirement, deciding whether or not you’ll need to keep working can be a difficult and confusing question. There are a number of things to consider, but the list below should help you to make an informed decision.
1. Consider your actual living expenses after retirement
Once you know how much you’ll need to keep your household going from month to month you can examine how much money you’ll receive in Social Securityand how much you’ll be able to draw from any investment accounts or IRAs you may have. Be sure to make your calculations based on the post-tax dollar amount to avoid a potentially serious misstep.
You’ll need to be aware that working after retirement could actually push you into a higher tax bracket, which could cause you to fall short of your monthly expenses. Determine what your tax liability will be, including your Social Security and any other income you may have, then determine how continuing to work will impact that liability.
2. Understand how working will impact your Social Security
There are a couple of factors to be taken into account when determining whether or not working after retirement is going to impact your Social Security. It will be impacted by the age at which you retire and your income from work. If you decided to wait until you had reached fill retirement age you can earn any amount without reducing your benefits. On the other hand if you retired anytime between the age of 62 and your full retirement age, you can be penalized financially for earning more than around $15,000.
By researching the full retirement age for yourself you can discover the cap on your income. If you exceed that cap for a full year your Social Security payments will be reduced by $1 for every $2 you go over, and if it will be less than a year you will lose $1 for every $3, but the income limit is significantly higher. Use government resources to be sure that you are being given the most accurate information.
3. Determine what the best health care option will be
Once you’ve reached age 65 you will automatically qualify for Medicare. If you’re still working you may also be paying for some private insurance through your employer, and it will be in the best interest of that insurance company to get you moved over to Medicare as soon as possible.
For many people this is a great option, but in some cases a private insurance plan will cover treatments and procedures that Medicare won’t. It is important to realize that you can keep both types of coverage, but bear in mind that you will be paying to health care premiums. Speaking with your medical provider and a representative from both of these insurers can help you to sort out the best option for your health and finances.
4. Research how working in retirement will impact your pension
If you have a pension or a 401K plan, you’ll want to speak with the administrator of that plan to understand what effect working in retirement will have on it. While continuing to work can reduce the amount of time you’ll spend draining these funds and even increase them with added contributions, some pension plans max out at 30 years and continuing to work could lead it to stagnate or even to be reduced. On the other hand, some pensions are based on your most recent salary with the company, and if you decide to drop down to part time with the same employer to supplement your income, a large portion of your pension could disappear.
5. Decide whether or not you’ll spend your golden years doing something you love
One of the best advantages of working in retirement is the fact that money can be a secondary goal. If you’ve planned and invested well, and if you live within your fixed means, you can choose to do something that you find interested, fulfilling, or fun, and worry less about how much it will contribute to your income.
Some people find ways to work from home, some work as consultants in their former industry, working to shape it for the better. Others endeavor to write their history or give back to their community. The most important thing to remember is that you now have the luxury of choosing how to spend your time, so why not spend it doing something that makes you happy?
Arlene Chandler works as a freelance writer for Suncorp, a company that provides income protection insurance for Australians.