Ways To Generate Additional Income In Retirement

Ways To Generate Additional Income In Retirement

Who on earth would not want to get extra money as a senior? Even if you have a lot of money in your savings account, you still won’t resist the urge to get more money. With more money, you are less likely to encounter stress in retirement. There are many options for retirees to get more money. Here are some of the options to consider.

  1. Start a business

May be you had been having the dream of starting g your own business even before retirement but you did not manage to do so. Now is the time to live that dream. Staring your own business in retirement is a great way to fulfill your lifelong goal and to make more money as well.

  • Monetize your hobby

One good thing about retirement is that you get the time and freedom to do what you want. For many seniors 65 and older, retirement means that there is enough time to dive into hobbies which may have been previously put aside due to the tight work schedule. But besides enjoying your time doing what you love, exploring your hobbies can also be an effective way to earn more money. Whether it is gardening, baking, or crafting, you can turn almost any hobby into a good business venture. There is nothing more fulfilling as making money from a hobby.

  • Buying an annuity

In case you have no idea what an annuity is, it is simply a contract between an individual and an insurance company. By giving out specified amount of money to an insurance company, the company issues your annuity and signs an agreement to give you a certain amount of income for the rest of your life. Unfortunately, this option is not for every senior citizen because it normally attracts a huge amount of fees, and it requires an individual to have a lot of money.

  • Invest your savings in dividend stocks

Of course, it is always tempting for seniors to abandon stock and opt for bonds and other safer investments. However, holding on to dividend stocks can actually pay in retirement. Just invest your money in companies that are known to pay good dividends, and you will be able to collect your payments quarterly throughout your retirement years. You can use 2020 Medicare Supplement Plans the quarterly payments freely and enjoy yourself, or you can decide to reinvest the money into the company and get even more money.