Save More for Retirement - Fahgetaboutit
You can’t save more for retirement when you’re already 58.
Isn’t it infuriating to see all of those articles targeted at young people to save more for retirement?
The reason you see so many articles about saving more is because that is brainless advice that requires no thinking whatsoever. In order to explain how to have a retirement when you’re already close to retirement age, requires some creative thinking.
Let’s consider the alternatives.
You never retire completely, you just slow down or work seasonally
If you work 40 hours a week currently, can you shift to 20 hours a week in retirement, reduce your income and enjoy some free time? Or maybe better, can you shift to seasonal employment so that you only work some months of the year?
People that have businesses or jobs at resorts typically work only during the “high season” at the resort which may be summer or winter. For example, I have a friend who is a chef and he works four months every year for a six-figures at an expensive resort. While having a skill gives you more options, you don’t need any skills to pursue this strategy.
Any resort needs to hire labor during high season. That labor is typically unskilled meaning you don’t need any special degrees, education are training. Simply being a waiter or waitress can pay very well when you decide to work 80 hours a week for four months and take the other eight months off.
Don't dream about a vacation in Hawaii. Get a summer job and live there for the season!
There are many types of seasonal jobs you may not have even considered. H&R Block will teach you how to prepare tax returns and you can be very busy for four months a year (January through April). Or, if you’re in terrific physical shape, you can go work on a crab boat or lobster boat during fishing season. Do you enjoy casinos? You could be a dealer or pit boss during vacation season. Seasonal employment offers many options you have likely never considered.
Next, let’s consider being in your own business. Forget making any big investment as that is not required.
I have covered several specific ideas for starting retirement businesses with no capital in earlier posts. Let me just summarize to say that these businesses can be done part-time or full-time and do not require any special education or skills. Additionally, you have the opportunity of operating an Internet-based business.
On the Internet, you can sell items on eBay or Etsy or Shopify and never leave your house. You can start a blog and earn money by selling advertising on that blog (no need to actually sell anything as automated services take care of getting you the advertisers). You can pick a product that you really love and sell it on Amazon. Or if you write, sell your writing on Amazon.
There are plenty of online courses that teach you how to become an Internet entrepreneur. While you should not plan to become wealthy, you can readily generate sufficient income to retire from a regular job.
The narrow minded perception of retirement, of going cold-turkey from working, is outdated. Very few people can afford a "traditional retirement" and live the lifestyle they enjoy. We know statistically that a minority of people of retirement age have sufficient retirement resources to live off their savings.
So next time you see an article about saving more for retirement, you’ll know that is a single-minded way to think about retirement and a method that has not worked for most. There is no "retirement crisis," there is only an "innovative thinking about retirement" crisis.