Retirees Continue to Work, Open Lucrative Practice

11th Jul 2018

Close up of manufacturing plant

While the age to start receiving social security is 66 years old, according to the National Academy of Social Insurance, more retirees than ever are continuing to work. Nowadays, there isn’t a standard retirement age – in fact, retirees are embarking on second careers or even starting their own companies. Abby Donnelly, founder of The Leadership & Legacy Group, who advises retiring executives on how to transition to their next phase of life, told Kiplinger there is no route to careers post-retirement. Some people choose to do what they did before, and some chose to do something new.

A recently retired professional decided to use his expertise and longtime experience to launch a consulting business. He and a colleague, who also had just retired, signed a 5-year contract with their former employer to consult on international projects to build manufacturing plants. Both of the men have enough in pensions and other savings to support their current cash flow needs.

In their new consulting practice, both men will each earn $125,000. The men decided to open a retirement plan that will help them save in taxes and build wealth. The majority of this money will be used to fund a cash balance plan that will shelter about 75% of their earnings for at least the next five years.

This is a great second act for these two retirees!

Dedicated DB@ DedicatedDB

Here are 6 tips to help you plan for retirement via @CNBC #retirement #retirementplanning https://t.co/tD0c161gmR

8:35 PM 19 April 2019

Dedicated DB@ DedicatedDB

Looking for a tax deduction? See how much you can save with our free Defined Benefit calculator #definedbenefithttps://t.co/uwc1ckzVDC

7:34 PM 19 April 2019

Dedicated DB@ DedicatedDB

A 25-year-old YouTuber quit her day job and now makes 6 figures recording herself eating via @money #youtuberhttps://t.co/4BH5ZaL5Nq

5:14 PM 19 April 2019

Dedicated DB@ DedicatedDB

11 strategic topics to discuss at your next meeting with your financial advisor via @forbes #advisorshttps://t.co/Q1ulizP44R

4:15 PM 19 April 2019

Dedicated DB@ DedicatedDB

Financial advisors are innovating their practices too slowly and that may have negative implications for their grow… https://t.co/8JaWYTFuzp

8:55 PM 18 April 2019

Dedicated DB@ DedicatedDB

2019 PR trends are affecting high-income PR professionals, who are opening Defined Benefit plans #PRhttps://t.co/fQDGQILpEF

5:30 PM 18 April 2019

Estimate contribution and deduction with our DB calculator Try it now

Send this to a friend