Financial Advisors Reveal 4 Surprising Ways Boomers Are Making Money in Retirement
Retirement doesn't have to mean you're just sitting around or golfing and fishing all day. It just means you no longer have to work and are free to choose pursuits that benefit you.
According to research from Economist Enterprise, older Americans expect to stay in the workforce for an extra four years, with 47% citing rising living costs as the reason. The good news is that many seniors have retired and found side income streams that have helped them cover expenses and find something meaningful to do with their spare time.
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If you’re out of the workforce and looking to bring in some extra cash, you have many options. We spoke with financial experts to learn about unexpected ways boomers are making money in retirement.
Create Social Media Content/Become an Influencer
John Enwere is a financial expert and the cofounder of Caringene, a company that assists older adults and their families. He said that he has seen some quite unusual retirement micro-income streams. While some side gigs are crucial for additional cash flow, he has noticed that one that has offered a sense of fulfillment is becoming a social media influencer/creating content.
He assists an older couple wherein the husband, in his 70s, created a niche YouTube channel focused on hobbies and commentary. While he's not huge, it does generate enough money to pay him approximately $1,000 per month. He was originally creating the videos to help keep himself mentally active while retired. Over time, it has become a secondary source of income that helps handle the bills.
Brennan Kolar, a senior financial analyst and founder of Atlas CPA Index, noted that as brands chase the over-60 audience for their large share of disposable income, boomer influencers can earn $250-$500 per sponsored post featuring short product videos. The niche will depend on what the seniors are into, but there are plenty of options to choose from.
Hosting Meetups
Enwere pointed out that he knows of several senior citizens earning around $200-$500/month by hosting local and/or online tabletop gaming events and Dungeons & Dragons sessions.
“They typically earn money in these ways by charging participants a small fee each time they attend an event," he said. "Many of them will also host tournament-style games or other types of recurring community evenings.”
A side hustle like this provides a senior with an extra bit of income and something to do that involves community. The meetups bring people together and help out with covering some of the costs of retirement hobbies.
Consulting Roles
“An extremely effective way of earning income is selling expertise that they spent a career building,” said Kolar.
An example from his own acquaintance is a retired finance executive working as a fractional-CFO, providing part-time help to small companies. He found that these roles can bring in about $175-$450 an hour or a $5,000-$15,000 monthly retainer, depending on involvement. It’s worth noting that these positions also exist in operations, marketing, HR and legal. The boomers can also offer their company the option to retain them on a part-time basis once they’ve retired.
Renting Out Rooms
A more passive way for boomers to earn cash in retirement is to rent out spare rooms, per Kolar. Renting out extra space on Airbnb brings in $10,000-$15,000 a year in a typical market, in his experience.
The best part of this side hustle is that boomers may already have the space once their adult children have moved out, so they can turn an existing asset into cash flow. While this side gig will depend on the market, boomers can turn a basement, an accessory dwelling unit on their property or any extra space into a source of income.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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