The Benefits of Phased Retirement
Some say, "retirement isn’t the end, it’s a new beginning." But for many, the leap from full-time work to full-time retirement can feel more like a cliff dive.
That’s where phased retirement comes in. It’s a way to find your footing as you enter this next phase of life.
Phased retirement can take many forms — from reducing your hours to moving into a contractor or consulting role.
Keeping one foot in the workforce means you can still receive a steady paycheck while you adjust to your new retirement budget.
Depending on your employer, you may also be able to keep some benefits, like health insurance, if you're not yet eligible for Medicare.
Maintaining an income stream may reduce the need to tap your retirement savings and give your investments more time to grow.
Want greater freedom to enjoy fishing? Traveling? Volunteering? Working fewer hours lets you test out and refine your daily routines before moving fully into retirement.
It can provide time to balance your finances and lifestyle, and set the wheels in motion for a more fulfilling future.
Phased retirement helps you maintain workplace friendships, professional networks, and a sense of community — and make the transition to retirement feel less isolating.
Before deciding if phased retirement is right for you, consider speaking with a qualified financial professional. They can help you evaluate how your projected income, benefits, and withdrawal strategies fit your long-term goals.