The issue of retirement is one that affects everyone but is often overlooked in favour of shorter-term concerns. However, recent ONS statistics indicating that 6.9 million households are led by retirement-age citizens – and that the number is set to increase over time – has made retirement planning a priority for many.
Even a generous pension plan may not be enough to maintain the current quality of life, leading to questions about the best way to earn money after retirement. Here are three of the best ways to do just that:
Rent Out Extra Space
One of the easiest ways to create passive income in retirement is by turning your home into an asset. It may be that you have some spare garage space you aren’t using, or a spare room that’s currently not much more than a storage space. By renting out these spare spaces, you can create a monthly income as a landlord of sorts.
Your spare room could be a long-term rental for lodgers, or you could put it on a gig-economy rental site like AirBnB, and generate income from short-term lets or holiday bookings. Meanwhile, any spare garage or shed space could be rented out as storage for a third party.
Alternatively, you could tidy up your garage space and rent it out as a workshop or office environment for freelance workers or small businesses, ensuring your personal time isn’t affected by renters on your property.
While the idea of taking up work of any form might not align with your retirement plans, there are some types of work you could pick up that not only provide a decent income, but also an enjoyable way to spend your day. For animal lovers, dog-sitting is one of those jobs!
There are various gig-economy and pet-sitting sites you can advertise yourself on, enabling you to generate income simply from looking after other people’s beloved pooches. The major benefit of this kind of work – besides regular contact with man’s best friend – is the flexibility, as you can decide your availability and select work at your pace, with ease.
Consider Equity Release
For a true passive income experience in your retirement though, there are ways you can re-access money you’ve already invested in order to live comfortably. An equity release mortgage is one of the most popular ways to do this, which allows you to release the equity in your home in installments or as a lump sum.
The equity release is a kind of loan, which is paid off by the sale of your home when you enter long-term care or pass away – meaning you aren’t liable for any repayments past voluntary interest repayments. This way, you can enjoy your retirement without worrying about giving up time to other financial pursuits.