Recessions stink. It’s important to say that out loud now-and-again as a stress release. Recessions, when they happen, set everyone back; like starting a race 20 feet behind the starting line, it’s possible to finish but it will take longer and be harder to achieve.
So, when it comes to seniors looking to retire, or who are in the process of retiring, during a recession, is that truly even a possibility? Well, according to the experts at Investopedia, it is a possibility to retire in a recession, if you are willing to jump through some hoops.
The focus for retiring in general, but especially retiring in a recession, is income. But that can mean different things to different people. This is where rethinking how we look at retirement can come in handy. Rather than have initial retirement be all or nothing, reevaluate the whole retirement process. Consider a “half retirement,” or a change to the routine that offers you more freedom before retiring fully.
A half retirement for many might include a job change. Part-time work, particularly remote part-time work, can fuel income into retirement accounts while also offering more flexibility than the traditional 9 to 5. The pandemic shifted how we work, and ironically, we can use that to our advantage to still maintain income while starting the transition to full retirement.
Additionally, another way to build more income in a recession is to invest. It’s important to remember, only invest if you can afford it. Investing in a bear market can help people with time and money achieve a boosted portfolio. However, only if they don’t need the returns immediately.
Finding other sources of income can help you delay your Social Security benefits and make them go further. Follow the Council for Retirement Security for more retirement and Social Security updates.