The future of retirement is looking brighter, as more and more people are planning for flexible retirement. Planning a flexible retirement is becoming more and more popular.
Many people are realizing that they don’t want to be stuck in the same job for 30 years just because it’s what society expects of them, and instead prefer to enjoy their retirement however they want.
Retirement doesn’t always mean the end of a career. More and more people are planning a flexible retirement with some sort of work or volunteer activity they enjoy.
In this post, we will discuss the growing trend in flexible retirement and how it can help you make sure your golden years are not only enjoyable but also financially secure.
Most Retirees Don’t Intend to Stop Working
A flexible retirement is a type of retirement that allows people to retire when they want, not just at the traditional age. This has been made possible by more and more companies offering phased-retirement1 options.
According to the Standard Life Aberdeen 2021 research, 56% of this year’s retirees want to take a phased or flexible approach to retirement.
27%, which is nearly 1 out of every 4 people looking forward to what’s next with retirement plans, don’t seem intent on giving up working completely. Most intend only a shift towards more flexible hours.
19% would like to help other organizations by volunteering while the majority are happy working for someone else, 6% wish they could be in charge and want to start their own business.
Retirees in 2020
It was discovered that 34% choose to continue working in some capacity, while 21% are considering returning to work part-time after previously leaving their positions. Some people felt it would be beneficial for them to find a job with flexible hours. Only 2% of those who retired last year are considering going back to work full time.
The days of everyone having a specific date or age beyond which they will never work again are long gone. Instead, there is a noticeable rise in the number of people opting for flexi-retirement and continuing to work. Whether it’s a financial or emotional decision, how you retire will be entirely dependent on what’s best for you.
It’s clear that the pandemic2 has fueled a new trend in retirement. Retiring as soon as possible is now an understandable decision, but some of last year’s retirees are having second thoughts about returning to work after being stuck at home during lockdown for so long.
Many people view retirement as a time to enjoy themselves, and with constraints gradually being lifted, many will be preparing for the retirement they had envisioned. Whether that is traveling the world or spending more time with family members or even continuing to work part-time there are no limits on what you can do in your golden years.
What Age Can You Take Flexi Retirement?
You can withdraw part or all of the pension benefits you’ve built up if you cut your hours or transfer to a less senior job after you’ve reached the age of 55, providing you’ve completed the two-year vesting period in the scheme and your employer agrees. Your employer will have a flexible retirement policy.
Is Flexible Retirement a Good Idea?
Flexible retirement allows you to relax a little bit more while yet maintaining the structure and camaraderie of work. It means you can continue to earn a salary while drawing on one or more of your pensions to cover any gaps in your earnings.
There are many reasons to plan for flexible retirement. With more people planning on retiring later in life, the potential is there to work longer and save more money.
If you’re feeling unsure about how you can afford an enjoyable retirement, be sure to seek expert advice from financial professionals who have helped their clients achieve success during this time of uncertainty.