Can you still work whilst living in a retirement community?
Posted 22nd August 2022
Working in Retirement
The answer is yes …. and with more people working in later life, we expect many more may opt to move into a retirement community before they retire.
Working from your retirement rental is a great way to keep your mind active.
Earlier this year research by the Institute for Fiscal Studies showed that record levels of 65-year-olds are choosing to stay in work due to an increase in the state pension age[i].
They found about 55,000 more people aged 65 were in employment in 2021. This may partly be due to the slight rise in state pension age from 65 to 66 between December 2018 and October 2020.
Some older people are choosing to stay in work not just for financial reasons. One 71-year-old man who was still working as a customer service adviser was interviewed by the Guardian recently.
He said his reasons for deciding retirement wasn’t for him were: “I was bored rigid. I enjoy working. It keeps me active and my brain going. You start to stagnate if you’re not careful.”
This may be something that becomes more common too. The second National Older Workers Week[iii] is being organised by workingwise.co.uk from 21st– 25th November 2022.
They help organisations develop policies and procedures to attract and retain older workers and ensure their organisations employ people of all ages. They also provide advice, support and inspirational case studies which will help older job seekers improve their confidence during their job search.
Enjoying longer retirements
As the UK has an ageing population who are living and staying healthier for longer, we believe it’s likely that more people will choose to work in later life in some capacity. The traditional view of retirement is changing. Many people aren’t content to just sit back and put their feet up when they reach retirement age.
Often, people don’t realise that just because they are working full or part-time doesn’t mean they can’t take advantage of the benefits of living in a retirement community.
Retirement renting
Many of our rental properties are occupied by people who are still working and who have decided for one reason or another to move to a retirement property before they give up work. This can help ease them into retirement living.
Retirement developments are usually aimed at people aged over 55 years old. Some people choose to downsize and rent when they retire. This could be to release capital to help fund their retirement but also to move to a more manageable sized property.
With more people working from home too these days, they can be more flexible on where they live, so moving before retirement can be an option as they plan for the future.
The benefits of renting in a specialist retirement development are many and appeal as much to people who have yet to retire, as those that have already done so. Not only can people free up capital, they no longer have the burden of on-going property maintenance.
Assured Lifetime Tenancies
Most of our properties come with assured (lifetime) tenancies. This means people can stay as long as they wish provided they stick to the terms of their tenancy agreement. Other benefits include access to a ready-made community. With many developments organising social events and outings, they can be a real lifeline, especially for single people. Pets are also allowed in many developments so those with a dog or cat can also live in a retirement community.
So whilst the name retirement community may indicate that everyone is retired, this isn’t always the case. More people are benefiting from moving into a retirement community in their 50s and 60s whilst still working. It enables them to perhaps moving to a location they have always dreamed of living such as by the coast.
We expect this is a growing trend as it can offer an affordable way to move, as well as enable people to be settled in ready to enjoy their retirement when they decide its the right time for them.
[i] https://www.ftadviser.com/pensions/2022/01/25/rise-in-working-65-year-olds-due-to-pension-age-increase/
[iii] https://www.workingwise.co.uk/events/national-older-workers-week/