So you’re retired now. Hopefully, building up your 401k, and now you have enough wealth set aside to sustain yourself. However, just because you’re retired doesn’t mean you need to stop making money! Having a side gig can help you cover fun extra expenses, such as travel costs, nice meals out, and the like. And since you have your retirement fund to support your day-to-day lifestyle, you no longer have to choose jobs based on how much they pay. Instead, you can choose income-earning activities based on the sense of fulfillment they give you. Consulting, for example, can keep your mind sharp, while tutoring might help you connect with younger generations in a fun way.
To expand on these ideas, we’ve identified a few of the best ways to actively make money while retired.
- Invest and Trade
If you’ve used a 401k, you definitely have experience with investment markets, such as the stock exchange. Instead of only growing your wealth passively however, why not try actively trading? Active trading is about buying up investment assets and paying close attention to short-term price movements to time profitable sales. The process forces you to deepen your understanding of financial markets, which is why, for some, it can be an exciting way to grow wealth.
Stocks, currencies, and cryptocurrencies are some of the most popular trading vehicles today. Stocks may be the most familiar, and cryptocurrencies the trendiest. But forex (another name for foreign currency exchange) may be the most suitable option, since most reputable forex brokers will ensure that you don’t enter the market unprepared. These platforms tend to provide research materials that guide you in your early dealings. And going a step further, the trading demo account on FXCM even lets users practice trading using virtual money. This way, they can test their trading strategies against simulated market conditions without staking any real capital.
Whatever method you choose, should you decide to invest, just make sure you’re adequately prepared before putting real money on the line.
- Rent out part of your home
If you live in an area that gets a decent amount of tourist traffic, consider entering the short-term rental market. You can generate rental income by letting travelers occupy a part of your living space through websites like Airbnb. It’s infinitely cheaper than buying a separate property to rent out. In fact, Airbnb won’t even charge you for putting up a listing; you’ll just have to pay service fees once a user books your rental.
Many Airbnb hosts also spend time with their guests. Through your rental, you can meet interesting travelers from around the country (if not the world!), which can be a great way to fulfill your social needs.
- Become a tutor
You can also keep your brain exercised by becoming a tutor. This is a job that is both flexible and rewarding. You can do it on your own chosen schedule and from the comfort of your home, be it through in-person meetings or telecommunications platforms like Zoom. Additionally, you’ll get to play a big role in helping young learners achieve their goals. It is generally very satisfying to watch a student expand their knowledge and skills under your guidance.
Online, there’s a growing market for English language teachers in particular. Many students across the globe want opportunities to practice their English with native speakers. Through teaching platforms like Cambly, you can earn money just by having conversations with both adult and child ESL students. Teachers aren’t required to have previous experience, and can choose their own hours, schedules, and topics.
- Start a consultancy business
This is a good option if you’re still attached to your regular career in one way or another. Simply put, the insights you can dispense as an industry veteran can be extremely valuable –– and highly sought after. So, if you want to exercise the skills you gained during your career, but don’t want to work full-time, you might consider starting a consulting business. As a consultant, you’ll help individuals and organizations achieve their goals by analyzing their situations and providing actionable advice based on your own experience.
Whatever path you choose, pursuing activities that will earn you some income as a retired individual can be a rewarding endeavor. Since you already have your retirement fund backing you up, you now have the freedom to explore fulfilling opportunities without having to worry about pay. And of course, the extra income stream will only make retirement that much sweeter!
Disclaimer: The views and opinions expressed herein are that of the author and don’t represent the positions or opinions of Plootus. Additionally, the information provided in this blog is for informational purposes only. It should not be considered legal or financial advice.