Working After Retirement: Things to Consider

Key takeaways:

• Working after retirement can offer benefits beyond extra income, including social interaction, routine and opportunities to use your skills in new ways.

• Potential disadvantages include having less time for travel, family and hobbies, along with the physical or mental demands that can come with a job.

• Part-time, seasonal, freelance and other flexible work arrangements can give retirees more control over when and how much they work.

• If you receive Social Security before reaching full retirement age, earnings from work may affect your current benefit payments.¹

• Before accepting a job, consider the schedule, commute, responsibilities, compensation and how the work fits with what you want from retirement.

Is it worth working after retirement?

For some people, working after retirement can be worthwhile because it provides extra income, social interaction or a renewed sense of purpose. For others, the time commitment or demands of a job may take away from the flexibility they wanted in retirement.

Start by thinking about why you want to work. Extra income may be one reason, but you may also miss having a routine, want more opportunities to meet people or simply enjoy the kind of work you do.

The type of work can make a difference too. Someone who wants plenty of time to travel may prefer seasonal or occasional work, while someone who misses the social side of a workplace may prefer a regular part-time schedule.

There is no single answer to whether working in retirement is worth it. The goal is to find an arrangement that matches your priorities instead of automatically returning to the same kind of schedule you had before retirement.

Benefits of working after retirement

Continuing to work can offer both financial and lifestyle benefits. Which ones are most important depends on what you want your retirement years to look like.

1. Extra income

A paycheck can provide another source of income alongside Social Security, retirement accounts, pensions or other resources. Depending on your circumstances, earnings from work may also allow you to withdraw less from retirement savings for everyday spending.

Extra income can also provide more room in your budget for discretionary expenses such as travel, hobbies or entertainment.

2. More opportunities for social connection

Leaving a long-term career can change how often you interact with coworkers, customers and professional networks. Returning to work can create regular opportunities to meet new people and stay connected with others.

If social connection is one of your main reasons for working, think about the type of interaction you want. A customer-facing role, team environment or volunteer position may provide a different experience than remote or independent work.

3. A sense of routine and purpose

Some retirees miss the structure of a regular workday or the sense of accomplishment that can come from using their skills and experience. Returning to work can be one way to add structure or purpose to your week.

Work is not the only option, however. Volunteering, hobbies, learning and community involvement can also provide meaningful ways to spend your time. Explore more ways to find purpose in retirement.

4. The opportunity to try something different

Retirement can give you an opportunity to approach work differently than you did during your primary career. Instead of focusing mainly on advancement or salary, you may have more flexibility to consider a role based on your interests, schedule or the people you want to work with.

That could mean using skills from your previous career in a new setting, trying a different field or taking on occasional projects rather than a traditional full-time position.

5. Potential workplace benefits

Some employers offer group health coverage, retirement plan contributions, employee discounts or other benefits to eligible part-time or full-time employees.

Eligibility varies by employer, position and hours worked, so review the details of a job before factoring workplace benefits into your decision.

Disadvantages of working after retirement

Working after retirement can have trade-offs too. Thinking through the potential disadvantages before accepting a job can help you decide whether the opportunity fits the retirement you want.

1. You may have less free time

One of the biggest trade-offs is giving up some control over your time. Even a part-time schedule can compete with travel, hobbies, family responsibilities and other activities you hoped to prioritize after leaving your career.

Consider not only how many hours you would work, but also whether the schedule is fixed and how easily you could take time away.

2. Your schedule may be less flexible

A job may come with set shifts, deadlines, meetings or limits on when you can take time off. That can make spontaneous plans or longer trips more difficult.

If flexibility is one of the things you value most about retirement, consider whether part-time, seasonal, freelance or occasional work would fit better than a traditional schedule.

3. Work can bring physical or mental demands

Think about what the job actually requires from day to day. Standing for long periods, lifting, driving, commuting, meeting deadlines or working with customers may require more time and energy than expected.

Choose work that fits your abilities and preferences, and talk with your doctor before making changes that could significantly affect your usual level of physical activity.

4. Commuting and work expenses can add up

Returning to work may also mean spending money on transportation, meals, clothing, equipment or other job-related costs. Consider those expenses alongside the pay when deciding whether a position makes sense for you.

5. The wrong job can interfere with the retirement you planned

A position that takes more time or energy than expected can change how you spend your retirement. Before committing, think about what you would be giving up.

If travel, family time, hobbies or community involvement are priorities, look for work that can fit around those plans rather than automatically taking their place.

6. Earnings can have financial implications

A paycheck can affect more than your monthly income. Depending on your age and circumstances, working can affect current Social Security benefit payments, taxes and how certain retirement account rules apply.³

These considerations are important, but they are only one part of the decision. Your schedule, workload and reasons for returning to work can be just as important when deciding whether a job fits your retirement.

Working part-time after retirement

Part-time work can offer a middle ground between leaving the workforce completely and returning to a full-time schedule. But “part time” can mean very different things depending on the employer and role.

In Mutual of Omaha’s 2025 Decumulation study, 33% of people nearing retirement said they expect part-time work to be a source of income during retirement.*

Before accepting a position, consider:

• Hours: How many hours per week do you actually want to work?

• Schedule: Can you choose your shifts, or will you have a fixed schedule?

• Flexibility: How easy is it to take time away for travel, family or appointments?

• Location: Is the job remote, nearby or a significant commute?

• Job demands: Does the physical and mental workload fit what you are looking for?

• Consistency: Do you want steady year-round work or something seasonal or occasional?

• Compensation and benefits: Does the pay make sense after accounting for work-related expenses, and are any workplace benefits available?

A part-time job does not automatically mean a low-stress job. The right fit depends on the responsibilities, workplace and what you want from this stage of life.

What kinds of jobs are good for retirees?

A good job after retirement is one that fits your interests, schedule, abilities and reasons for returning to work. For some people, that may mean a flexible role with only a few hours each week. Others may want more structure or an opportunity to continue using skills from their previous career.

Options to consider include:

• Tutoring or mentoring: Share professional knowledge or teach a subject or skill you enjoy.

• Retail or customer service: Part-time positions can provide regular social interaction and a set routine.

• Pet care or dog walking: These roles may offer flexible scheduling and time outdoors.

• Tourism or visitor services: Museums, attractions, parks and other destinations may offer seasonal or part-time opportunities.

• Freelance or consulting work: Use skills from your career on a project basis while having more control over your workload.

• Creative work: Writing, editing, design, photography and other creative services may offer remote or flexible arrangements.

• Seasonal work: A temporary position can provide periods of work followed by longer stretches of free time.

Before choosing a role, think less about whether a job is traditionally considered “good for retirees” and more about whether it works for your retirement.

Financial considerations before returning to work

Financial rules should not drive the entire decision, but there are a few things to understand before working after retirement.

Social Security and working after retirement

You can work while receiving Social Security retirement benefits. If you are younger than full retirement age and earn more than Social Security's annual earnings limit, some current benefit payments may be withheld. Beginning with the month you reach full retirement age, earnings no longer reduce your Social Security retirement benefits.¹

The earnings limits can change from year to year, so check the latest information from the Social Security Administration rather than relying on an older dollar amount.

Taxes

Income from a job increases your taxable income and may affect whether part of your Social Security benefits is subject to federal income tax. The tax treatment depends on your overall income and filing status.²

Talk with a tax professional about how additional earnings could affect your individual tax situation.

Retirement accounts and RMDs

Working after retirement does not automatically eliminate required minimum distributions (RMDs). Traditional IRAs generally require RMDs beginning at the applicable age even if you are still working, while some employer-sponsored plans may allow distributions to begin after you retire, depending on the plan and your circumstances.³

Review the rules for your specific accounts and consider talking with a financial professional when deciding how work fits with your broader retirement income plan.

Questions to ask yourself before working after retirement

Before saying yes to a job, ask yourself:

1. Why do I want to work again — income, social connection, purpose, routine or something else?

2. How many hours do I actually want to work each week?

3. How much schedule flexibility do I want for travel, family and hobbies?

4. Does the job's physical and mental workload fit what I want at this stage of life?

5. Is the commute or work location practical?

6. Will work-related expenses significantly reduce what I earn?

7. Could the income affect my Social Security benefits or taxes?

8. Would part-time, seasonal or freelance work fit my goals better than a traditional full-time role?

The answers can help you evaluate a job as part of your overall retirement lifestyle, not simply as another paycheck.

Frequently asked questions about working after retirement:

Can I work full time after retirement?

Yes. Retirement does not prevent you from returning to full-time work. If you receive Social Security before full retirement age, however, earnings above the annual limit may affect your current benefit payments.¹ Consider the schedule, workload and financial implications when deciding whether full-time work fits the retirement you want.

Can you have work-life balance after retirement?

Yes. Part-time, remote, seasonal, freelance and other flexible arrangements may make it easier to fit work around the activities you value in retirement. Before accepting a position, look closely at the hours, schedule and time-off expectations rather than relying on the job title alone.

Can you collect retirement and still work?

Often, yes, but “retirement” can refer to different types of income. You can receive Social Security retirement benefits while working, although earnings rules may apply before full retirement age.¹ Pension and employer retirement plan rules vary, so review the terms of your specific plan before returning to work.

Sources:

*Mutual of Omaha worked with research vendor, quantilope, to conduct research related to Decumulation – the strategic drawdown of assets during retirement years. This research had a sample size of 496 respondents aged 50+ who were already retired (n=327) or nearing retirement (n=169) within the next 10 years. Respondents who stated they did not have at least some assets to draw down during retirement were excluded from the survey. The research was conducted in a 10-minute online survey from October 6-15, 2025. All data included in this report are based on Mutual of Omaha proprietary research unless otherwise noted.

1. Social Security Administration, What happens if I work and get Social Security retirement benefits?, Jan. 2, 2026.  https://www.ssa.gov/faqs/en/questions/KA-01921.html

2. Social Security Administration, Must I pay taxes on Social Security benefits?, June 30, 2025.  https://www.ssa.gov/faqs/en/questions/KA-02471.html

3. Internal Revenue Service, Publication 590-B (2025), Distributions from Individual Retirement Arrangements (IRAs), accessed Aug. 2026.  https://www.irs.gov/publications/p590b

Disclosures:

Registered Representatives offer securities through Mutual of Omaha Investor Services, Inc., Member FINRA/SIPC. Investment Advisor Representatives offer advisory services through Mutual of Omaha Investor Services, Inc.  Mutual of Omaha Advisors is a division of Mutual of Omaha Insurance Company, a stock insurer*.

All investing involves risk, including the possible loss of principal, and there can be no assurance that any investment strategy will be successful.

Mutual of Omaha and its representatives do not provide tax and/or legal advice, and the information provided herein is general in nature and should not be considered tax and/or legal advice.

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*Mutual of Omaha Insurance Company (the Company) is a stock insurer. Policyholders of the Company are members of Mutual of Omaha Holding Company (MOHC) of Omaha, Nebraska. The Company is an indirect, wholly‑owned subsidiary of MOHC.​