Finance

Working During Retirement

Published

11 years ago

September 19, 2014

If you plan on working during your retirement, you’re not the only one. An increasing number of Americans plan to work at least some of the time during the course of their retirement years. According to the Employee Benefit Research Institute’s 2013 Retirement Confidence Survey, 69 % of workers plan to work in retirement, but historically only about 1 in 4 retirees have had the opportunity to do so.

If you plan to work during retirement, consider how you might adjust your plans if illness or job loss prevented employment. One benefit is that you’ll be earning money and your savings could last longer, as shown in the example below:.

Assumptions:

Retirement savings $1,000,000
Earnings rate 6 %
Preretirement income $150,000
Social Security $2,000 / month
Desired income replacement 80 % ($120,000 / year, $10,000 / month)

Without working, you’ll need to use $8,000 ($10,000 desired income minus $2,000 Social Security) of retirement savings per month, and your savings will last 16 years.
But if you earn this amount monthly:	for 3 years, your savings will last:	for 5 years, your savings will last:	for 10 years, your savings will last:
$1,000	17 years	18 years	19 years
$2,000	18 years	19 years	22 years
$3,000	19 years	21 years	26 years
$4,000	20 years	23 years	32 years
$5,000	22 years	26 years	39 years
This is a hypothetical example and is not intended to reflect the actual performance of any specific investment, and does not take into account the effect of taxes and inflation.

If you still work, you may also have access to affordable health care, as more and more employers are offering this important benefit to part-time employees.

“There are also non-economic reasons for working during retirement,” says Martin Walcoe, EVP of David Lerner Associates. “Many retirees work for personal satisfaction– to stay mentally and physically active, to take pleasure in the social advantages of working, and to try their hand at something new– the reasons are as varied as the number of retirees.”

If you have private or employer-sponsored health insurance, talk to your benefits administrator or insurance representative before enrolling in Medicare to learn how your current health insurance fits in with Medicare.

Working can affect your Social Security benefits

If you work after you start receiving Social Security retirement benefits, your earnings may affect the amount of your benefit check. Your monthly benefit is based on your lifetime earnings. When you become entitled to retirement benefits at age 62, the Social Security Administration calculates your primary insurance amount (PIA), whereupon your retirement benefit will be based. Your PIA is recalculated annually if you have any new earnings that might increase your benefit. If you continue to work after you begin receiving retirement benefits, these earnings may boost your PIA and hence your future Social Security retirement benefit.

“Working may cause a reduction in your current benefit,” says Martin Walcoe. “If you’ve reached full retirement age (66 to 67, depending on when you were born), you don’t need to concerned about this– you can earn as much as you want without affecting your Social Security retirement benefit.”

If you haven’t yet reached full retirement age, $1 in benefits will be withheld for every $2 you earn over the annual earnings limit ($15,480 in 2014). A special rule applies in your first year of Social Security retirement– you’ll get your full benefit for any month you earn under one-twelfth of the annual earnings limit, in spite of just how much you earn during the entire year. A higher earnings limit applies in the year you reach full retirement age. If you earn more than this higher limit ($41,400 in 2014), $1 in benefits will be withheld for each $3 you earn over that amount, until the month you reach full retirement age– then you’ll get your full benefit no matter how much you earn. (If your current benefit is reduced as a result of excess earnings, you may be entitled to an upward adjustment in your benefit once you reach full retirement age).

Not all income reduces your Social Security benefit. In general, Social Security only takes into account wages you’ve earned as an employee, net earnings from self-employment and other types of work-related income, including bonuses, commissions, and fees. Pensions, annuities, IRA distributions, and investment income won’t reduce your benefit.

Keep in mind that working may enable you to put off receiving your Social Security benefit until a later date. In general, the later you begin receiving benefit payments, the greater your benefit will be. Whether delaying the start of Social Security benefits is the right decision for you, however, is dependent on your personal circumstances.

One last important point to consider: generally, your Social Security benefit won’t be subject to federal income tax if that’s the only income you receive during the year. If you work during retirement (or receive any other taxable income or tax-exempt interest), a portion of your benefit may become taxable. IRS Publication 915 has a worksheet that can serve to help you determine whether any part of your Social Security benefit is subject to federal income tax.

Working can affect your pension

If you work for someone aside from your original employer, your pension benefit won’t be impacted whatsoever– you can work, receive a salary from your new employer, and also receive your pension benefit from your original employer. If you continue to work past your normal retirement date for the same employer, or if you retire and then return to work for that employer, you need to understand how your pension will be impacted.

Some plans will allow you to start receiving your pension benefit once you reach the plan’s normal retirement age, even if you continue to work. Other plans will suspend your pension benefit if you work beyond your normal retirement date, but will actuarially grow your payment when benefits resume to account for the period of time benefits were suspended. Still other plans will suspend your benefit for any month you work greater than 40 hours, and will not offer any actuarial increase– essentially, you’ll forfeit your benefit for any month you work more than 40 hours.

Some plans provide yet another option–“phased retirement.” These programs allow you to continue to work on a part-time basis while accessing all or portion of your pension benefit. Federal law encourages these phased retirement programs by allowing pension plans to start paying benefits once you reach age 62, even if you’re still working and haven’t yet reached the plan’s normal retirement age.

If your pension plan calculates benefits using final average pay, be sure to discuss with your plan administrator how your particular benefit might be affected by the decision to work part-time. In some cases, reducing your hours by the end of your career could reduce your final average pay, resulting in a smaller benefit than you might otherwise have received.

Working can affect your health benefits

Many people work during retirement to retain their medical coverage. If working during retirement for you means moving from full-time to part-time, it’s important that you fully understand how that decision will impact your medical benefits.

Some employers, especially those with phased retirement programs, offer medical coverage to part-time employees. Other employers don’t, or require that you work a minimum number of hours to be benefits eligible. If your employer doesn’t offer medical benefits to part-time employees, you’ll need to search for coverage elsewhere. If you’re married, the obvious option is coverage under your spouse’s health plan, if your spouse works and has coverage available. Otherwise, you may be eligible for COBRA.

COBRA is a federal law that enables you to continue receiving medical benefits under your employer’s plan for some period of time, usually for 18 months, after a qualifying event (including loss of coverage a result of a reduction in hours). It’s costly — you typically have to pay the full premium yourself, plus a 2 % administrative fee. (COBRA doesn’t apply to employers who have fewer than 20 employees.) Another option is private health insurance, but that will also be very expensive.

Of course, once you turn 65, you’ll be eligible for Medicare. You’ll want to contact the Social Security Administration approximately three months before your 65th birthday to discuss your options.

IMPORTANT DISCLOSURES

David Lerner Associates does not provide tax, or legal advice. The information presented here is not specific to any individual’s personal circumstances.

To the extent that this material concerns tax matters, it is not intended or written to be used, and can not be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.

These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable– we can not assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.

Prepared by Broadridge Investor Communication Solutions, Inc.

Material contained in this article is provided for information purposes only and is not intended to be used in connection with the evaluation of any investments offered by David Lerner Associates, Inc. This material does not constitute an offer or recommendation to buy or sell securities and should not be considered in connection with the purchase or sale of securities. Member FINRA & SIPC.

Up Next

Save for Retirement Week

Don't Miss

Helping Pay for your Grandchildren’s Education

Finance

AI and the Future of LinkedIn: How Technology is Redefining Professional Networking

Published

2 months ago

August 29, 2025

Good Life Guide

The tech industry has always been a proving ground for new tools and ideas, and right now one of the most powerful forces reshaping the way professionals connect is artificial intelligence. From the way companies recruit talent to how thought leaders build influence, AI is changing the rules of the game on LinkedIn and beyond.

Smarter Recruiting
Hiring managers no longer sift through stacks of résumés. AI-powered systems can analyze skills, career paths, and even cultural fit to recommend candidates. On LinkedIn, predictive recruiting tools help companies identify prospects before they start looking for a new role. The result is faster hiring and better matches between employers and employees.

Personalized Content Feeds
LinkedIn’s algorithm has grown into more than just a filter. It now functions as a learning engine that studies professional interests and behavior. For tech companies, this means employees and executives can reach the audiences that matter most. A thought leadership article, a product update, or even a short post can now land in the feeds of potential clients, investors, or collaborators with remarkable accuracy.

The Rise of Automated Outreach
Sales and business development teams are experimenting with AI-assisted outreach. Instead of sending hundreds of generic messages, companies can use tools that analyze profiles, identify key talking points, and create personalized introductions. While this raises questions about authenticity, it also makes networking more efficient and effective.

Data as a Strategic Asset
LinkedIn’s real strength lies in its data. Millions of profiles, skills, and career shifts create a powerful resource. With AI, companies can analyze that information at scale, spotting workforce trends, predicting which industries are about to grow, and even identifying where the next wave of innovation might emerge. For tech leaders, this kind of intelligence can shape everything from hiring strategies to market expansion.

Balancing Human and Machine
The challenge is keeping professional networking personal. AI can accelerate connections and refine the process, but relationships still depend on authenticity, trust, and shared experience. The tech industry, more than most, will need to find the right balance between automation and genuine human interaction.

As AI becomes part of the digital networking fabric, LinkedIn is evolving into more than a résumé platform. It is becoming a predictive, personalized ecosystem that reflects the future of work. For tech companies, learning how to use this shift to their advantage may be just as important as the innovations they are building.

Finance

PR and SEO Best Practices for Law Firms, Dentists, Wellness Companies, and Chiropractic Offices

Published

2 months ago

August 29, 2025

Good Life Guide

PR and SEO best practices for law firms, dentists, wellness companies, chiropractic offices

These days, your reputation often begins online before a client ever walks through your door. Whether you run a law office, a dental practice, a wellness brand, or a chiropractic clinic, people are searching the web to find answers, compare options, and decide who they can trust. That is where public relations and search engine optimization come together.

PR shapes your story and builds credibility. SEO makes sure the right people actually see it. When the two are aligned, they create a cycle of trust and visibility that fuels growth.

Why PR Matters for Professional Services
Public relations is not just about getting your name in print. It is about shaping perception. A thoughtful media mention, a quote in an article, or a published expert opinion can position you as someone worth listening to. For a lawyer, this might mean explaining a high-profile case in plain language for the public. For a dentist, it could be offering preventative care tips during National Dental Health Month. Chiropractors might focus on wellness and posture awareness, while wellness companies can shine by connecting their products to lifestyle conversations.

“PR is about storytelling,” says Mike Falkow, CEO at Meritus Media. “For industries like law and healthcare, it is often the difference between being just another listing online and being recognized as a trusted voice.”

How SEO Brings People to You
PR helps you look credible. SEO makes you visible. If you want new clients to find you when they type into Google, you need smart SEO strategies. That includes clear keywords, easy-to-navigate websites, local business listings, and reviews.

A law firm in Los Angeles that wants more personal injury clients has to show up when someone searches for “Los Angeles personal injury attorney.” A Tampa chiropractor has to be easy to find when someone types in “back pain relief near me.” It is not just about ranking higher, it is about meeting people right at the moment they need you.

Blending PR and SEO
Here is where the magic happens. When you land a feature in a credible publication, that mention often includes a link back to your website. Google sees that link as a vote of confidence, which boosts your search rankings. On the flip side, a blog post that is written with SEO in mind can get picked up and shared if it is timely and tied to bigger conversations in the media.

According to Meritus Media, “The mistake many professionals make is treating PR and SEO as separate projects. The truth is they amplify each other. Press mentions bring credibility and backlinks, and optimized content helps that coverage travel further.”

Best Practices for Each Industry

Law Firms: Build authority through thought leadership. Comment on relevant legal issues and create content around the cases and topics people are searching for.
Dentists: Focus on education. Share preventative care tips, encourage reviews, and make sure your practice shows up in local searches like “dentist near me.”
Wellness Companies: Lean into education-driven PR. Announce new research, highlight expert voices, and optimize for lifestyle searches such as “natural ways to boost energy.”
Chiropractic Offices: Become the go-to local expert. Host workshops, engage with local press, and use SEO to highlight treatments tied to specific conditions and locations.

The Takeaway
A strong digital presence requires more than just a website. It requires being seen, being trusted, and being remembered. For law firms, dentists, wellness companies, and chiropractic offices, the smartest approach is one where PR and SEO are not competing, but working together.

As Meritus Media puts it, “It is not enough to have an online presence. You need to be discoverable, credible, and memorable. That is the sweet spot where PR and SEO intersect.”

Finance

A Smarter Way to Save: Real Strategies That Actually Work

Published

2 months ago

August 4, 2025

Good Life Guide

Saving money often feels like something we should be doing, but somehow never quite master. Not because we lack discipline or financial know-how, but because most of us were never taught to approach saving in a way that feels organic and sustainable.

Forget the lectures about willpower. Think of saving more like tending a garden. You don’t expect a harvest overnight. You plant, water, and trust that something is growing under the surface.

Why Saving Feels Difficult

At its core, saving is about delayed gratification. You put money aside today for something you won’t enjoy until tomorrow. That can feel abstract and unsatisfying in a world where we’re used to quick wins.

Add to that the wear and tear of everyday decision-making. By the time you’re deciding whether to stash a hundred dollars or buy something impulsively, your mental energy is already spent. The easier option usually wins.

It’s not a character flaw. It’s a missing system.

Common Pitfalls That Derail Saving

One of the biggest traps is not knowing where your money is actually going. Subscription services, late-night shopping, and small indulgences add up fast.

Then there’s the issue of unclear goals. If you’re just “trying to save more,” it’s too vague to build momentum. Without a target, it’s hard to feel like you’re making progress.

Finally, many people treat saving as something they do only when it feels convenient. And as we all know, those moments rarely come around.

Simple Strategies That Actually Work

Start by making saving automatic. Set up recurring transfers to a separate account, even if it’s just fifty dollars a month. According to David Lerner Associates, automating your savings creates consistency without requiring daily effort. You don’t have to think about it—it just happens.

Next, tie your savings to something that matters to you. A trip. A safety net. A home project. As Martin Walcoe, CEO of David Lerner Associates, explains: “Saving works best when it’s connected to a goal you care about. Whether it’s building financial security or planning for something joyful, people are more likely to stick with it when it feels personal and meaningful.”

Small wins also build momentum. Consider using a round-up app that sweeps change from purchases into savings. Or throw spare change into a jar. These little actions remind you that progress doesn’t have to be dramatic to be meaningful.

Make Budgeting Feel Less Like a Chore

Instead of thinking of budgeting as a restriction, think of it as guidance. Look at your spending once a month. Track where your money goes. Treat savings like a bill—something you pay no matter what. Then adjust as needed.

Financial planning, like nutrition or exercise, is more effective when it fits into your natural rhythm rather than disrupting it.

Think Long-Term, Even in Small Steps

If you’re carrying debt, make a plan that works without pressure. Focus on understanding your terms and building a slow but steady path out. Saving and repaying can happen side by side. As Martin Walcoe puts it, “Finding the balance between repaying student loans, saving for the future, and investing is possible. With a proactive approach and the right strategies, you can tackle your loans while laying a strong foundation for financial growth.”

Even modest investing can pay off if you start early. Time does a lot of the heavy lifting. You don’t have to do it all—you just have to start.

Your Environment Shapes Your Habits

Surround yourself with people who share your mindset. Having a spouse, friend, or coworker on a similar journey can make saving feel more like teamwork and less like sacrifice.

And don’t overlook the importance of rituals. A monthly money check-in. A progress tracker. A celebration when you hit a milestone. These things help make saving part of your lifestyle rather than something separate from it.

Final Thought

Saving doesn’t have to feel like denial or discipline. When it’s tied to your values and built into your everyday life, it becomes a natural act of self-respect. Like nourishing your body, saving is an investment in the kind of life you want to live—not someday, but starting now.