Semi-Retirement Is On The Rise Asset Strategy

In recent years, the outlook for work after retirement has shifted. The traditional concept of retirement has now expanded to include the practice of semi-retirement. Typically, semi-retirement is used as a transition phase to ease into full retirement. For others, semi-retirement can last a long time and serve as a second leg of a career.[1] Regardless, during the semi-retirement stage, people usually work fewer hours, either at their former employers or in a new part-time job. Semi-retirement can also help to create additional income and provide access to benefits while improving engagement, satisfaction, and better mental and physical health.[2]

Understanding the Basics of Semi-Retirement

So, what does a semi-retired life look like? Semi-retirement can look a little different for everyone. Some might choose to work fewer hours for the same employer, while others may take a new part-time job or start a business.  Regardless of the path you choose, be sure to weigh the pros and cons of each. For example, a part-time or seasonal job could allow you the chance to pursue a personal interest or goal; or maybe allow you the opportunity to learn a new skill set. But part-time work is also likely to pay less and may not always offer health benefits. Nevertheless, there is still a major upside to embracing the semi-retirement lifestyle.

Earning more income is one of the more notable benefits of having semi-retirement. In fact, individuals preparing to retire without a pension or sizable personal savings may be wary of whether their Social Security benefits will be able to support their families.[3] Thankfully, semi-retirement can provide additional income to help cover basic living expenses. Moreover, those with a personal savings account or a pension can actually use semi-retirement to avoid dipping into their Social Security benefits – which could produce a higher monthly benefit.[4] Not to mention, those who continue to work will be supplied with the social engagement that would otherwise be lacking had they stopped working completely. According to Investopedia, remaining active in this fashion can benefit cognitive and physical health more than complete leisure.[5]

Semi-Retirement Takeaways

Nowadays, more and more people are choosing to continue working part-time after retirement. Instead of diving into the retirement stage, they are wading in—some because they have to, others because they want to. Semi-retirement can be both enjoyable and financially gratifying, resulting in a flexible, rewarding combination. If you’re considering semi-retirement, talk to us for a complimentary meeting about your financial and retirement situation.



Advisory services are offered through Asset Strategy Advisors, LLC (ASA). Securities are offered through representatives licensed with either Concorde Investment Services, LLC (CIS), member FINRA/SIPC, or RCX Capital Group, LLC (RCX), member FINRA. Insurance is offered through Asset Strategy Financial Group, Inc. (ASFG). ASFG and ASA are independent of CIS and RCX.

Because investor situations and objectives vary this information is not intended to indicate suitability for any individual investor.

This is for informational purposes only, does not represent legal or tax advice does not indicate suitability for any particular investor, and does not constitute an offer to purchase or sell investments. Please consult the appropriate professional regarding your individual circumstance.

Content regarding social security is not associated with or endorsed by the Social Security Administration or any other government agency.

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