Methods of Generating Extra Income in Retirement

If you retire early, you may face more financial difficulties since your Social Security may be insufficient to support you. Perhaps you have adult children or grandchildren that you need to provide for. After retirement, your living expenses will likely rise. Additionally, even after retirement, you will obviously need to repay any debts incurred while you were still working. This is a major concern if your income is strictly fixed. Fortunately, picking up a few side hustles can be a good way to earn extra income in retirement without having to return to a full-time job. Many retirees use these strategies to supplement their retirement income, either out of want or necessity. So, what can you do? Keep reading to learn more.

Sell Things You No Longer Need

If you’re looking to get rid of unwanted items around the house, well-known online marketplaces such as OfferUp, Etsy, eBay, Facebook Marketplace, and others could be perfect. Selling items you no longer need, such as jewelry, retro clothing, artwork, vintage furniture, or cookware, can yield a surprising amount of money. Look at similar postings to get a sense of how much the item you’re selling is worth on the market: It may be possible to sell it for a higher price if it is newer and in better condition than comparable things. Or, you may decide to price it lower than very similar items that have been on the market for a long time to get a quick sale.

Rent Out Your Space

If you are an empty nester or haven’t downsized yet, your house most likely has some excess room. You might be able to generate a lot of passive revenue by renting out that space for the short term on sites like HomeAway or Airbnb. Or, if you’re not comfortable living with a tenant, you might rent out your entire house while you’re away on vacation. Consult with others who are already renting out their space for some tips on how to boost your rental income. You can learn from those who have done it before about how to improve your listing and increase bookings. Remember that AirBnBs are subject to state and local regulations, so be sure you understand them when you get started.

Drive for Uber or Lyft

There are numerous driving-related career opportunities available provided you have a reliable car and are a good driver. Driving for ridesharing services such as Uber and Lyft is a flexible method to earn extra income in retirement. Your earnings are calculated depending on the number of rides you take, and you will be paid weekly via direct deposit. You can also select when and how you work. For example, if you don’t enjoy driving at night, you don’t have to. This flexibility allows you to earn extra money while enjoying your retirement on your own schedule.

Work as a Substitute Teacher or Tutor

Have you previously worked as a teacher or in education? This country has a high demand for substitute teachers. Part-time substitute teaching provides flexible scheduling and low qualifications; most school systems just require a bachelor’s degree to become a substitute teacher. Furthermore, the money is reasonable, especially for a side gig. Substitute teachers earn an average of $20 per hour, or around $42,000 per year.* Alternatively, if you prefer to work one-on-one with students, you may choose to become a tutor in order to earn some extra income in retirement.

Leverage Your Talents

One of the best methods of earning extra income in retirement is applying the talents you picked up while working. Regardless of your previous profession—nurse, accountant, graphic designer, paralegal, etc.—you may be able to use the online marketplace to continue earning money from your skills after quitting full-time work. Websites such as Flexjobs, Upwork, and PeoplePerHour make it easier than ever to identify available work, explain your skills and availability, and get paid well for your talents, allowing you to earn extra income in retirement. Almost every skill out there can be applied in the online marketplace.

Struggling to Save Extra Income For Retirement?

Are you getting ready to retire? Are you concerned about the possibility of running out of money during retirement? If this is the case, you aren’t alone in your concerns. Fortunately, we can help. We can help walk you through the various options for protecting your retirement savings and earning interest on them over time. This should hopefully prevent you from having to return to work full-time after retirement owing to financial restrictions. Contact us for more information; set up a meeting so we can learn more about you and your specific circumstances; or register for one of our educational seminar presentations or online webinars.

*Sources: Barbara Friedberg Personal Finance, Bankrate

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