The transition from working life to retirement or financial independence often brings about a significant shift in one’s purpose and life goals. After years of building a successful career, individuals find themselves equipped with a unique skill set that may no longer be as applicable or fulfilling in their everyday retirement lives. Suddenly, their primary source of income shifts from active work to their retirement savings and investments as they embrace the role of capital owners. This change can leave retirees feeling anxious without a clear sense of direction.
While retirement savings and listed investments are the conventional and prominent sources of income during retirement, there are other often-overlooked assets that retirees can leverage to enhance their financial situation and find a renewed sense of contribution and purpose.
Let’s explore some ideas for unlocking the income potential tied to unlisted assets that retirees may possess, knowingly or by chance.
1.House Hacking:
Utilise your property for additional income. Retirees typically own a house or multiple properties, which can create a financial burden once their primary salary stops. However, these properties can also serve as valuable sources of income.
- Consider renting out a spare room or a portion of the house through platforms like Airbnb or to long-term tenants. This option requires minimal effort and can be suitable for retirees who enjoy social interactions and are open to sharing their property.
- Explore the possibility of renting out space within your property for creative purposes. This could include offering an art/photography studio, a rehearsal space for musicians or dancers, or even storage for artists. By providing affordable spaces for creative endeavours, you can foster a vibrant community while generating additional income.
- A fancy or unique house can be made available to content creators to film music videos, host art galleries, or for elegant sunset shoots.
2.Mentorship/Consulting:
Share your expertise and network. Retirees have amassed decades of experience, knowledge, and valuable professional networks. Consider offering part-time consulting services or mentorship opportunities to individuals entering the workforce or seeking guidance in your industry. Not only can you earn a modest fee, but you can also derive immense satisfaction from nurturing the next generation and making a meaningful impact in their lives.
3. Content Creation:
Amplify your voice and expertise. Leverage the power of the connected world by creating content that shares your expertise or explores your areas of passion. Start a blog, YouTube channel, newsletter, or podcast where you can offer valuable insights, practical advice, and engaging stories.
4. Passion Projects:
Transform your hobbies into income streams. Retirees often have acquired tools, equipment, or skills through their personal passion projects. Monetise these assets by renting them out or offering lessons to those interested in learning. For example, if you have a collection of woodworking tools, offer workshops or one-on-one sessions to teach woodworking skills to enthusiasts. The same can be said of surfing, bonsai-making, or any number of fun activities.
5. Angel Investing:
Support small businesses and entrepreneurs. If you have surplus savings and a wealth of experience in a specific industry, consider angel investing. Identify promising startups or small businesses aligned with your expertise and invest in them. This allows you to provide financial support, share your insights, and guide the entrepreneurs towards success. It can be a gratifying way to stay involved in your field while enjoying potential financial returns.
By exploring these avenues, retirees can maximise their income potential, find renewed purpose, and make a lasting impact. Embrace the opportunities that lie within your unlisted assets and let your retirement years be a time of giving, sharing, and prosperity.
