Before anyone can contemplate retirement they should have sound financial support in place. For those reliant on superannuation then as a general rule six times your anticipated annual salary at time of reaching retirement age should be amassed in a superannuation fund. For those deriving income from investments then the income should equate to two thirds of your anticipated annual income at retirement age.
Many people dream of early retirement, resign their jobs and then soon regret their decision. These people lose social interaction and run the risk of becoming hermits. With long periods of inactivity comes the risk of depression. Despite having no financial worries these people really need to work after retirement to maintain their sanity. Should the idea of returning to the work force full time not appeal to them then either part time work of volunteer work would solve the problem of social interaction.
There was a time when life expectancy beyond retirement meant that the dilemma of whether or not to work after retirement was of no great concern. People worked until reaching sixty five in labor or mentally taxing jobs and their health usually gave out ten years later. The last thing a person wanted was to return to work. Ten years may sound a long time but in the context of a lifetime ending at seventy five then it is a short time to enjoy those remaining years.
Retirement is all about enjoying life without the hassles of employment. It is paramount that a retiree have their time spent in ways that are enjoyable and occupy their time. The problem of course is to find an activity that does not require a great deal of expense. Buying a caravan and touring the countryside may sound like a dream come true however this can quickly become a nightmare of expense. Proper planning should be undertaken beforehand. Sports such as lawn bowls or golf may be the answer. These sports do not necessarily involve a great expense and fulfill the basic requirements of enjoyment, social interaction and employment of time on a long term basis.
Perhaps the best way of determining whether or not to work after retirement is to take three months long service leave before actually retiring. During those three months, see if you can live off only the income you earn for those three months without touching any accumulated savings. This means that all your bills will have to be met as well as food and entertainment. Just perhaps if you have no change left over at the end of three months then the possibility of having to work after retirement merits some consideration.
In the overall scheme of things really it is a matter of quality of life. It would seem a tragedy to enter the workforce and not leave it until one day you die. Working after retirement comes down to a matter of choice. And with any choice the answer should be, “Whatever makes you happy.”