Retirement is known as the best years of your life and a time to look forward to, the final breakaway from the employment rat race. Sadly the truth is that most retirees have to work past their retirement age in order to acquire enough capital growth and/or to pay off existing debt.

The reality of retirement in South Africa is that*:

  • 16% of retired people are fully dependent on state pensions
  • 31% of people who reach retirement age have to keep on working to earn a living
  • 47% of people who reach retirement age depend on family members or friends to support them financially
  • And ONLY 6 out of every 100 South Africans can retire independently of others

The biggest financial fear for those planning for retirement and, particularly for those who are already retired, is losing all sources of income. Hence when you are younger the essential part of your financial planning is knowing where your income will come from post-employment.

This has given birth to one of the fastest growing trend with pensioners: Ways of earning an income in your golden years.

Majority of retirees work for money while a few work for other reasons like keeping busy, maintaining social relationships or just for fun. Whatever the case may be, the key idea to working in retirement, is to work because you WANT to and not because you HAVE to.

So if you are wondering what options are out there, here are a few flexible ideas to look into:

Turn your hobby into a business

Now that you finally have the time for your personal interests, why not put them to business use which can be both rewarding and enjoyable?

  • If your retirement has given you a chance to improve your golf game, perhaps you could give lessons at the local country club.
  • If photography has always been your passion, find a community college where you can offer photography lessons.
  • Do you enjoy hand crafts? Rent a stand at a local market to sell items such as hand crafted toys and jewellery.

Explore Entrepreneurship

People love the convenience of having a local and reliable service provider in their community. You can look into providing a door to door delivery service in your neighbourhood.

  • If you have a small used vehicle, start a local driving school for students or housekeepers in the area.
  • If food is your passion, start a small catering business from the comfort of your own kitchen.

Make use of the skills you have acquired from your previous work/job

Seek employment opportunities in your former field. You may be able to find a contract/project based consulting prospect.

  • With an accounting background, you could look for contract based bookkeeping opportunities or having an IT background you could find consulting work with a company in your area.
  • Luckily for us we have this amazing search engine called Google which has made it easy for us to access great opportunities and knowledgeable ideas.
  • There is an abundance of opportunities out there that could potentially offer you that extra income after retirement, all it takes is some introspection to find out what is most suitable for you.

*Article ref: South African Pensioner stats   

http://www.fin24.com/Money/Money-Clinic/Retirement/How-much-do-I-need-to-retire-20130121