Retirement - Ups and Downs

The Ups and Downs of Retirement

 Retirement is not the end. It is the beginning. It is a phase
where an old chapter is closed and the person moves forward to
face another. 

There are many things people can do after retirement. A person
can do new things, learn new skills, be more active with the
community but most people feel that the identity of the person
is with the job which makes it difficult to let go.

Most people prefer to work after retirement and there are ups
and downs for a person choosing do so.

One of the most important things people consider is money. By
having a job, it gives revenue which can be used to pay bills
and other expenses instead of using the money one has saved from
the retirement plan. Another benefit is that the new employer
will give health insurance. By working full-time, the employee
can enjoy this, which again saves the money earned from the
retirement plan. Part time work in most cases is not given any
health coverage.

By staying active, one's mental development is still sharp
making the person feel important in the community. 

Social security benefits are also a factor because the benefit
payments are based on the top 35 earning years which could be
higher by working longer. 

The downs of working after retirement are that in some places
age discrimination does exist. Some people hire younger people
since these people believe that older people are no longer that
efficient. 

Pension problems may happen if one retires and decides to get a
new job. To avoid this, one must check with the former employer
if there will be any problems in accessing the pension plans
should one choose to work again. The best choice will be to get
a lump-sum pension from the previous employer so the funds will
not be affected.

By working again and increasing one's income with the new job,
there is a big chance that a large percentage will be deducted
for tax. 

If one chooses to work again, instead of spending the leisure
time relaxing with friends and family, the new job will prevent
this and other interests from happening.

Last con of working again after retirement is with IRA
withdrawals. This will still require the person to give minimum
contributions at 70% which means more of the social security
benefits one has will be taxed. 

Retirement is not the end rather the beginning. It is just a
phase where an old chapter is closed and a new one opens. 

One should just weigh what matters most.