As most people approach retirement from their career job, they typically break into two camps: those who never want to work again (and can afford it due to proper planning), and those who want to continue to work, either because they need to or want to.
I’ll probably retire within the next five years and would love to turn my love of music into my next career. I may resume my radio career or even start my own record store or guitar store.
I’ve started to do some homework on the subject, and here’s what I’ve learned:
- Do your research. If you’re considering starting a new business, make sure your community can support it. What’s the competition, and would you attract enough customers?
- Consider your need for benefits. As you retire, are you losing benefits such as health insurance? Benefit replacement is worth looking into, especially if your business grows enough to require employees who need benefits.
- Don’t lose your retirement money. If you need start-up capital, be very careful about using your retirement nest egg on a high-risk opportunity.
- Assess your business knowledge. To run a successful business, you need a business model with projections on expenditures, profits, loss and inventory. You might not make a salary for the first year or two and be prepared to work long hours when you’re getting started.
More Americans ages 65 and older are working than at any time since the turn of the century.1 If you’re thinking about joining that group, do a little research to make sure you’re positively adding to your overall financial future.
1PEW Research – pewresearch.org