For both financial and non-financial reasons, continuing to work in early retirement can be very healthy. Consulting is one option, but not the only one. Starting your own business, earning a new degree, volunteering, etc. can all accomplish the same thing.
How many small business owners are planning for retirement?
According to a recent BMO Wealth Management survey of 400 small business owners, only a fraction of America’s entrepreneurs are prepared for retirement. (I’ll offer retirement-planning advice for small business owners shortly.)
Can a small business owner retire early due to health problems?
When the Employee Benefit Research Institute surveyed retirees earlier this year, 55% of those who retired earlier than they’d planned did so due to health problems or disability. For small business owners, it’s not that they don’t want to save for retirement outside of their businesses.
Are there any tax deductions for consulting in retirement?
In addition, several other necessities can become deductible, assuming they are bona fide business expenses. Examples include computers, phones, certain travel, etc. Even with the self-employment tax, many consultants find their tax situation to be improved in early retirement.
When to become a coach or consultant after you retire?
That’s why so many, lured by the promise of flexible hours, higher rates, and location independence, are intrigued by the idea of becoming a consultant or coach when they retire from their “official” career. Of course, competition for these plum positions is growing.
Are there benefits to working part time in consulting?
Earning a paycheck is one obvious benefit, but there are other less-obvious reasons why it could be a great decision for you. Upon retiring, many people are often invited to continue working part time in a consulting role. Whether to accept is one of the biggest decisions they face in early retirement.
Can a retired government employee work as a consultant?
According to Webster’s, it popped up around 1974 and referred to a rare breed of recently retired government employee who got hired back as an independent consultant. They are no longer a rarity.
