MONEY Second Career

When You’re Bored Silly in Retirement

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Martin Diebel—Getty Images

After taking a break from your career, you may need a break from retirement. Here's how three retirees found their next act.

Ah, retirement! Playing golf whenever you like. Fishing when the mood strikes. Cocktails in the afternoon and barbequing on the patio. But what do you do when you try out retirement and you’re bored stiff?

Ask Ken Howard, 67, of Greer, S.C., who built a successful trash hauling business and sold it to Waste Management in 1997. “I was really looking forward to getting rid of all the everyday headaches that come from running a company,” Howard recalls. So he built a house on a golf course, but soon found that after “playing a good bit of golf I got bored.”

His retirement lasted about five months.

Howard then bought a car wash…and then another….and then another. He now has eight. He has also bought a septic pump business (largely run by his son and nephew) and owns a small real estate investment company.

“I still get excited about cutting a deal,” he says. “Doesn’t matter if it’s $200 or $200,000.” These days, Howard says, he spends a lot of time at his family’s lake house, “but when I am in town I’m usually at the office.”

Even Del Webb Got Bored

Former utility executive Jackie Hauserman, 72, took a retirement package in 1998 when her company, Centerior Energy, was bought. She moved from Ohio to Florida, first to Naples and then to Bonita Bay. Retirement didn’t take, so Hauserman got a real estate license in 2001, at 59, and has been selling for John R. Woods Properties ever since. “I have been really busy. It is fun,” she says.

Even Del Webb, developer of America’s most famous retirement community — Sun City, near Phoenix, Ariz. — couldn’t live the life of leisure. A 1962 Time cover story about him said: “Del Webb, the hulking, slope-shouldered, long-striding 63-year-old who hates to be called Delbert, could not stand the life in one of his own Sun Cities for more than a few days — or a few hours.” He preferred working.

Here’s the thing I’ve learned while researching my new book, Unretirement: Most people desire to live their third age doing something between full-time work and full-time golf. And many new retirees find themselves easily bored without working part-time, even if they don’t need a paycheck.

Certainly, that sentiment was repeatedly expressed at a recent talk I gave at Verrado, a new multigenerational development outside Phoenix, where residents found the initial joy of sleeping in and enjoying an early cocktail faded with time. All were now working part-time or looking for the right retirement job.

The Shock of the New

The swing from racing to embracing leisure to seeking work isn’t really surprising. Put it this way: You spend many years holding down a full-time job (or multiple part-time jobs), so freedom from bosses and job stress is liberating at first. Many people have a bucket list of delayed projects and postponed travel, too. But… Your career and the expertise you’ve built up over a lifetime are also a big part of who you are.

So putting it all behind you can be a shock.

“After awhile, you then wake up and something isn’t quite right,” says Joel Larsen, a certified financial planner at Navion Financial Advisors, in Davis, Calif. “Successful retirement means finding fulfillment and meaning. And a lot of fulfillment and meaning comes from being good at what you do.”

4 Myths of Aging and Retirement

His insight echoes the results from the recent Merrill Lynch survey, Work in Retirement: Myths and Motivations, Career Reinventions and the New Retirement Workscape.” Conducted in partnership with Age Wave, the demographic consulting firm, the survey disputes four popular myths about aging. They are:

  • Retirement means the end of work
  • Retirement is a time of decline
  • People only work in retirement because they need the money (the reality: meaning and purpose matter, too)
  • New career ambitions are only for young people

I’ve grown convinced that most people need to take a break from their careers — they need to retire — before they can Unretire. It takes a break to figure out the next stage.

Adopting a Fresh Perspective

“You have to get out of the work mindset and take a fresh perspective,” says Ellen Griggs, 59, an excellent example of someone who has taken deliberate steps toward Unretirement.

Griggs had a successful career in finance with some storied firms (Paine Webber and Strong Capital Management among them) as Chief Investment Officer, Chief Operating Officer, Client Advocate and Investment Consultant. In 2011, at 56, Griggs took a year off, traveling spending time with her family and working on a 160-year-old home on Cape Cod.

She also hooked up with Boston-based New Directions, a career transition organization focused on helping executives and professionals figure out what’s next. “During my career I had never been introspective about what I was going to do when I retired,” she says. With New Directions, “I got to kick the tires.”

She’s since ended up filling her days with a mix of for-profit and not-for-profit activities, including being a member of the philanthropic trust board at the Boston Medical Center and a board director at Evanston Capital.

How to Beat Boredom in Retirement

So, what should you do when playing golf isn’t enough and you want more meaning and purpose in retirement?

Reach out. Talk to your network of friends and former colleagues who know your skills and strengths; ask them what they think you should do next.

If you’ve decided what field you’d like to migrate into, part-time, attend a local industry meeting and find out how others made their transition. This is a low-cost way to glean information and make contacts.

Potentially even more powerful is hooking up with similarly challenged retirees who’ve decided to put their leisure days aside.

For instance, Experience Matters in Phoenix matches talented private sector workers looking for their next act with community-based nonprofits. Similarly, Shift is a Twin Cities-based organization with a goal of guiding midlife life transitions toward “purpose, passion and a paycheck.” And the Encore Fellowships Network is another path for experienced professionals who want to devote time at social-service organizations.

Another resource: your local community college. These schools are creating courses and meeting spaces for boomers looking for a next act. You can look up programs near you at the website for the American Association of Community Colleges’ Plus 50 program.

It’s a safe bet that in coming years, people will talk less about golf and leisure in retirement and more about preparing for a new stage of productive and creative work in their Unretirement.

Chris Farrell is senior economics contributor for American Public Media’s Marketplace and author of the forthcoming Unretirement: How Baby Boomers Are Changing the Way We Think About Work, Community, and The Good Life. He writes about Unretirement twice a month, focusing on the personal finance and entrepreneurial start-up implications and the lessons people learn as they search for meaning and income. Tell him about your experiences so he can address your questions in future columns. Send your queries to him at cfarrell@mpr.org. His twitter address is @cfarrellecon.

More from Next Avenue:

What Retirement Is Really Like

Avoid Living Unhappily Ever After in Retirement

Know Your Level of Activity for Retirement

MONEY Ask the Expert

5 Strategies for Finding Meaningful Part-Time Work In Retirement

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Robert A. Di Ieso, Jr.

Q: I want to find part-time work to bring in extra income when I retire next year. But I don’t want to be a greeter at Walmart. How do I find a job that’s meaningful but still flexible enough for me to enjoy my retirement life?

A: Working in retirement has become the new normal. Nearly three-quarters of workers 50-plus say their ideal retirement will include working, according to a survey by Bank of America Merrill Lynch and Age Wave. But they also want a job that is flexible and fulfilling. Some 62% of working retirees said staying mentally active was the most important reason to work vs just 31% who said they simply needed the money.

“A lot of people are in the same boat. They need to bring in some income and are happy to work but don’t want to go from a professional career to something mindless or boring,” says Tim Driver, CEO of RetirementJobs.com. Still, it’s often challenging for an older worker to find that combination. If you can, start the hunt while you’re still working and your skills are up to date—that way, you can leverage your current contacts. Here are five more tips to consider:

Look to your employer. If you like what you do and want to still use your professional expertise, a natural place to start is with your current employer, says Nancy Collamer, a career coach and author of Second Act Careers. “It might be possible to downshift into a part-time or seasonal schedule, freelance or be on-call as an in-house temp.” For advice on how to ask for a flexible work arrangement, go to WorkOptions.com.

Line up new clients. Does your career lend itself to consulting or freelance project work? Many fields do, from graphic design and event planning to tax advising and tech services. Consulting or freelancing is an ideal retirement job for retirees because of the flexibility it gives you to choose your projects and how much you want to work, says Driver. There are a number of sites that connect older workers to project work, including Driver’s RetirementJobs.com and RetiredBrains.com.

Fill in at a high level. For mid- and higher-level executives, another option is to temp as an interim executive. Interim execs fill an existing position while the company searches for a permanent replacement. It’s a great option if you still crave the prestige and pace of the executive life, but also want the flexibility to enjoy time off in between assignments, says Collamer. The Riley Guide lists firms that specializing in placing interim execs.

Find your passion. If you want to connect with work that you feel is most meaningful, you may be able to transfer your professional skills to a non-profit that focuses on issues important to you. “While nonprofits depend heavily on volunteers, most have at least a few paid staff positions,” says Collamer. Start volunteering now and see what opportunities are available. Nonprofits with tight budgets may be more open to part-timers. Check out non-profit job sites such as Bridgespan, Idealist and NonProfitJobs. Another good resource is Encore.org, which helps older workers transition to careers with a social purpose.

Seek adventure. Finally, if you’re looking for something totally new, check out CoolWorks.com’s Older and Bolder section. It is aimed at retirees looking for seasonal or temporary jobs at national parks, lodges, ranches and other outdoor destinations.

Do you have a personal finance question for our experts? Write to AskTheExpert@moneymail.com.

MONEY Second Career

This PR Exec Launched Her Second Career by Raising Millions for Wounded Veterans

PHH Co Founder John Gallina and Vicki Thomas
Purple Heart Homes co-founder John Gallina with Vicki Thomas Lynnette Thompson for Purple Heart Homes

Marketing pro Vicki Thomas saw a news segment about a non-profit start up. She knew she could help them—and ended up with a new job and happier life.

Just four years ago Vicki Thomas was a successful public relations executive in New York City with high-profile financial services clients. But she was was growing frustrated. “There was a voice calling me to really make a difference in the lives of others, not just improve a client’s bottom line,” says Thomas. “I wanted to do something more fulfilling, but I wasn’t sure what it was going to be.”

Then one day in 2009, she saw a news segment on CNN about Purple Heart Homes, a North Carolina organization founded by Iraq veterans Dale Beatty and John Gallina to provide handicap-accessible homes to wounded vets. Beatty and Gallina, who also suffered combat injuries, focus on vets who lack the money and resources to renovate their own residences. Thomas felt an immediate connection and wanted to help the fledgling organization raise more money. Improving their marketing and public relations outreach was key.

“I knew they could use professional advice but couldn’t afford the kind of expertise I could give,” says Thomas. She cold-called Gallina and Beatty, leaving a message offering her services pro-bono. “It took them two weeks to call me. But we agreed to meet and we’ve been working together since.”

Thomas left her corporate PR career behind in 2009 and began drawing on her 35 years of experience in fundraising and marketing to bring attention to the non-profit. “When I met them, I couldn’t get a news story in the local paper about them,” says Thomas. A few months later, thanks in large part to her network of contacts, Gallina and Beatty were featured in a 2011 Time magazine cover story about a new generation of veterans bringing their leadership lessons home—they even appeared on the cover. “That opened so many doors. ABC News and Nightline did stories on them, and money started pouring in,” says Thomas.

Today, as the chief communications officer for Purple Heart Homes, Thomas has helped raised millions in financial contributions and material donations. In her first year with the start up, contributions rocketed from $67,000 to $2 million. With that cash horde, the non-profit was able to qualify for grants, including a major donation from Home Depot, which further improved its financial stability. She’s particularly proud of a program she launched that matches veterans with foreclosed homes donated by banks.

After providing her services pro bono for two and a half years, Thomas now 68, began working full time for Purple Heart Homes in 2012 and drawing a salary of $48,000 a year. It’s a lot less than what she earned in her PR career, and she’s fine with that. Her husband still works, but “we’re at an age where we’re not buying stuff,” she says.

She enjoys the different pace of her work life, which is far less hectic than her days in PR. “I have so much flexibility—I can take a play day when I want to,” says Thomas, who works from her home in Connecticut. “I probably have a more perfect balance in my life than I ever had before.”

As for retirement, it’s not happening. “They’ll have to carry me out on a flip chart,” she says. “I believe you remain much more vital and connected if you can work in some capacity, especially if you are doing something you are passionate about.”

Vicki Thomas was the 2013 Winner of the Purpose Prize for Future Promise, sponsored by Symetra. The Purpose Prize is a program operated by Encore.org, a non-profit organization that recognizes social entrepreneurs over 60 who are launching second acts for the greater good.

MONEY working in retirement

Here’s the Best Way to Rescue Your Retirement and Find Happiness Too

A second career can provide income as well as meaning. This advice from retirement expert Chris Farrell can help you plan your next venture.

Chris Farrell has a hot retirement investing tip for you, but it’s not a stock or bond.

Farrell wants you to invest in yourself. In his new book, Unretirement (Bloomsbury Press), he argues that developing skills that can help you earn income well past traditional retirement age offers a better return on investment than any financial instrument—and it can help transform the economy as it continues to heal from the Great Recession.

Farrell is senior economics contributor at public radio’s Marketplace, a contributing editor at Bloomberg Businessweek and a columnist for the Minneapolis Star Tribune. In a recent interview, I asked him to describe his vision of unretirement.

Q: How do you define “unretirement”?

“Unretirement” is about the financial impact of working longer. If you can work well into your 60s, even earning just a part-time income through a bridge job or contract work, you’ll make so much more in the course of a year than you could from saving.

That changes the financial picture—and not just income. You also don’t have to tap your retirement nest egg during those years, and you might be able to add to it. And it allows you to realistically wait to claim Social Security between age 66 and 70, depending on your health and personal circumstances.

Q: What are the essential tools and strategies for people trying to figure out how to unretire? Where should they begin?

The most important thing is to begin by asking yourself what it is you want to be doing—what kind of work. Do informational interviews with people. The real asset that older workers have is their networks—the people who have known them over the years. Talk with them to find out if you need to add new skills.

Don’t romanticize any particular idea—research it. Think about how you can take your existing skills and move into a different sector of the economy with those.

Q: One of the biggest obstacles facing older workers is age bias. Are employers adapting to help older people keep working longer?

The only evidence I’ve seen of that is at companies that face very tight labor markets—typically technology businesses. It’s also true for the nursing profession. For the rest of the economy, I’ve been to conference after conference focused on older workers, where employers wring their hands about all the brain power walking out the door. They’re sincere, but when they go back to the office they really aren’t motivated to do anything about it because the labor market isn’t strong enough

Q: If that’s the case, how will unretirement be able to take hold as a trend?

The economy is getting better, and labor markets are tightening. But this also will be driven by grassroots change. Many leading-edge boomers are negotiating their own deals, starting businesses or setting themselves up for self-employment with a portfolio of part-time jobs. It’s very do-it-yourself.

And attitudes are changing—there will be enormous pressure from society as people push for this. They’re going to be saying, “We’re pretty well educated, and healthier than we were before, and the numbers don’t work for us to go down to Florida or Arizona and retire—and we actually don’t want to do that.”

Q: There’s a great debate under way over whether we are headed for a crisis in retirement security or not. What’s your view?

I don’t think there will be a retirement crisis if we continue to work longer. But we’re going to want to do it with jobs that provide meaning rather than those that make people just miserable enough that they have to continue to work.

One thing that upsets me is that we have a conflation of financial stresses facing the middle class and pretending that the middle class will be in poverty in retirement—and that’s just not true. There is a group that is really vulnerable—they’ve worked all their lives for companies that don’t provide retirement or health insurance benefits. That is the really vulnerable group.

I think two-thirds of our society will be fine, but for this other group, it’s not about investing in a 401(k), because they simply don’t have the money. For them, Social Security will be the entire retirement plan.

Q: That suggests we will need to beef up Social Security, at least for the lowest-income retirees.

Absolutely. If a majority of us are healthy and continue to work and pay into the Social Security system, we will become a wealthier society—and we will be able to afford to be more generous with Social Security.

Chris Farrell’s write columns on second careers for NextAvenue.com, which also appear on Money.com; you can find his articles here.

MONEY Careers

3 Easy Résumé Fixes to Help You Make a Career Change

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Rob Chatterson—Corbis

Ready to move to a new industry or a new kind of role but can't get employers to pay attention to you? You might need to tweak your C.V., says career coach Caroline Ceniza-Levine.

Recently, I coached an experienced healthcare executive who wanted to switch industries. She had substantive experience in business development, research and project management, but had been sending out her résumé with little response.

This is a common problem of career changers: Your résumé points employers in the wrong direction—to your past. It represents a field that you no longer want, so don’t get called in for the jobs you do.

However, with these easy adjustments, your résumé can help—rather than hinder—your career change.

1. Highlight qualifications that cut across industries and roles

When you describe your roles, take out any industry-specific jargon. You want your prospective employers in other industries to be able to see you working for them. The healthcare executive that I was working with needed to focus on general research skills, rather than make specific references to clinical research or medical research. What skills do you have that cut across industries—sales, project management, people management, marketing, analysis, financial acumen?

2. Demonstrate relevancy

Employers will be reluctant to hire someone whom they have to teach about the industry or the job. So you need to show that you have already have demonstrated some movement in that direction. Professional work experience is an obvious choice to demonstrate expertise…but then you would no longer be a career changer. Courses or certifications, professional associations and conferences, and volunteer work are more realistic ways that you can get hands-on experience with an industry, and this activity gives you something to put on your résumé . What can you use to prove that you’ve done something related to your new career area?

3. Reference emerging trends

In growth areas, demand for talented candidates exceeds supply, so employers in those fields are more open to considering outsiders. This healthcare executive had led business development for data-intensive projects, which relates nicely to the red-hot area of Big Data. By referring to her sales focus with phrases like Big Data or market analytics, she emphasizes an expertise for which multiple industries are competing, not just healthcare. What hot skills can you highlight—digital marketing, social media, customer engagement, Big Data?

Caroline Ceniza-Levine is co-founder of SixFigureStart® career coaching. She has worked with professionals from American Express, Condé Nast, Gilt, Goldman Sachs, Google, McKinsey, and other leading firms. She’s also a stand-up comic. This column will appear weekly.

Read more from Caroline Ceniza-Levine:

 

MONEY Second Career

Why You Need a Second-Career Matchmaker

Dave Dardis worked for over 39 years at IBM in management roles in sales, marketing and business development. He retired about six years ago, spending his newfound free time volunteering at nonprofits in Silicon Valley. He found the volunteering work deeply unsatisfying.

“They were along the lines of ‘Can you help us for several weeks and then we’ll wave goodbye,’” Dardis, 68, recalls.

But in a parking lot conversation following a nonprofit event, Dardis learned about The Encore Fellowships Network. He was intrigued.

What The Encore Fellowship Is

The program was created by Encore.org (whose slogan is “purpose and passion in your second act”) to serve as a matchmaker for private-sector professionals and nonprofits. It typically lasts six to 12 months and comes with a stipend.

In 2011, Dardis applied to become an Encore Fellow and, after being selected, was asked to choose among three nonprofits. He picked the Hispanic Foundation of Silicon Valley (HFSV), which spearheads local educational initiatives. Its draw? Dardis’s parents were both teachers; so is his wife.

The part-time Fellowship paid $25 an hour for 1,000 hours. When it ended, Dardis was hired as HFSV’s chief operating officer where he works three days a week on fundraising in his “unretirement.”

Says Dardis: “I am doing things that leverage my skills from IBM. I am having fun. This is a gas.”

The 20-hours-a-week schedule gives Dardis time to run errands, cook dinner for his wife and spend relaxing weekends watching his grandchildren play soccer. Financially, he’s doing fine with a pension from IBM, Social Security and two checks a month from HFSV (earning close to what he made during the Encore Fellowship).

From Creating Ads to Helping Ex-Cons

Beth Kempner worked in New York City for Saatchi & Saatchi Advertising for 25 years, where she became a Senior Vice President. When Kempner’s kids were in high school, she decided it was time to “retire” and spend more time with them before they left for college.

In her “retirement,” she did a project for the Taproot Foundation, a pro bono consulting firm, and got a certificate in the Funder and Grantmaking Program at New York University. Then, while browsing the Internet, Kempner chanced upon the Encore Fellowship program. She applied and became an Encore Fellow in 2011, working in public affairs for the Center for Employment Opportunities (CEO), a nonprofit that helps ex-cons get and stay in jobs.

Like Dardis, Kempner (now 55) stayed on when the Fellowship finished. She was hired as CEO’s part-time Director of Public Affairs, leveraging her advertising and marketing skills. “It’s a wonderful job,” she says.

Kempner has been with the organization for three years, working three three days a week. She’s passionate about the work, but loves the free time that has let her rediscover tennis, revive friendships and take classes.

The Encore Career Gap

Many others in their 50s and 60s are inspired by the fledgling encore career movement where Durdis and Kempner are foot soldiers. But some are unsure about which encore career to pursue, how to find a good opportunity and whether the finances will work out.

That may explain why a new Encore.org survey of Americans age 50 to 70 found that although 55 percent believe it’s important to take their skills to help others, only 28 percent said they are ready to make the leap into an encore job.

Structure and Support

It’s also why a structured, focused program like the Encore Fellowship Network can ease the transition. There are now Encore Fellowships in 15 cities in the U.S. and England, with more in the works. Each is run slightly differently, with its own application season and process.

“Not only did they [the Fellowship management] help direct me to this new ‘life’ but the support system in place in fantastic,” says Kempner. “Over the year of the Fellowship, we had speakers from every part of the nonprofit world come to speak to us and share their transitions and experiences.”

Adds Dardis: “The Fellowship isn’t a once and done kind of experience.”

Dardis and Kempner said the Encore Fellowship’s application process forced them to think about their skill sets and what they wanted out of their next chapter. Although Kempner said she had doubts whether she was qualified to assist a nonprofit for ex-cons, a meeting with the group’s former head convinced her to take a risk.

Both have found their “unretirement” work extremely fulfilling. That’s often true for people who transition from full-time professional jobs into encore careers.

Nicole Maestros, a Rand Corporation economist and author of the study, “Back to Work: Expectations and Realizations of Work After Retirement” found that 26 percent of full-time employees who retired reversed their decision and returned to work (either full time or part time) within a few years. They did so mostly because they found retirement less satisfying than they had expected, Maestros says.

The Evolving Fellowships

The Encore Fellowship model is evolving in interesting ways. For the past two years, Intel has been offering its U.S. employees who are eligible to retire the opportunity to apply for Intel Encore Career Fellowships. So far, more than 200 Intel employees have become Fellows.

More nonprofits are learning about the Encore Fellowships and snagging its talented men and women. But too few people who could become Fellows know about the program. Dardis learned about it through a chance parking lot conversation and Kempner by browsing the Internet.

The Encore Fellowship is also only one piece of a much bigger unretirement and encore career infrastructure puzzle. There are many more on-ramps to be built. Still, the Fellowship is a practical path for some boomers to thoughtfully transition from one career to another.

Check it out.

Chris Farrell is senior economics contributor for American Public Media’s Marketplace and author of the forthcoming Unretirement: How Baby Boomers Are Changing the Way We Think About Work, Community, and The Good Life. He writes about Unretirement twice a month, focusing on the personal finance and entrepreneurial start-up implications and the lessons people learn as they search for meaning and income. Tell him about your experiences so he can address your questions in future columns. Send your queries to him atcfarrell@mpr.org. His twitter address is @cfarrellecon.

Related Links:

 

MONEY Second Career

These New Programs Help Workers Retire at Their Own Pace

The federal government will allow employees to phase in their retirement by working part-time. But private companies are slower to offer this benefit.

Gwendolyn Ross will turn 66 in November, but she isn’t ready to retire. A deputy comptroller for the U.S. Coast Guard in Miami Beach, Florida, she hopes to work until she’s 70—but she would like to cut back her hours.

“I have some health issues that require a lot of visits to the doctor, and I’d love to have more time to visit my family in Michigan,” she says. At the same time, she needs to keep working to prepare for retirement. “As I get closer to it, I realize I’m not as financially ready as I thought I would be when I was younger. The time went by really quickly.”

Ross is a great candidate for a new federal government program that will allow workers to opt for a phased retirement. Participants in the program, which launches this fall, will be able to work half-time while collecting half their pensions after they reach the eligible retirement age.

For the government, the program is expected to be a money saver. The Congressional Budget Office estimated recently that 1,000 employees might take advantage of phased retirement annually, and would continue work for three years. That would cut required contributions to the government’s pension system by $427 million from 2013 to 2022, and boost worker contributions by $24 million.

But phased retirement also will help the government retain talent and expertise at a time when the “brain drain” from an aging workforce is a major concern. About 600,000 people, or 31% of the federal civilian workforce, will be eligible for retirement by September 2017, according to the U.S. Government Accountability Office. Phased retirees will be required to spend at least 20% of their time mentoring younger employees.

“It can help people who want to phase out over time, but it makes sense for the whole workforce,” says Kevin E. Cahill, a research economist at Boston College’s Sloan Center on Aging and Work. “Younger workers can tap into the knowledge that the older crowd has, and make sure it doesn’t get lost lost.”

Worker interest in a flexible glide path to retirement is strong, and it’s not limited to the federal payroll. A survey this year by the Transamerica Center for Retirement Studies found that 64% of workers—of all ages—envision a phased retirement involving continued work with reduced hours. For workers closest to retirement, frequently cited reasons for continued work included financial need (34%) and a desire for income (19%). But 34% had a desire to “stay involved” or said they enjoyed their work.

Employers have been slow to respond. Just 21% of respondents to the Transamerica survey said their employers offer phased retirement—and that figure may be too optimistic.

The Society for Human Resource Management reports that 11% of employers provide some version of phased retirement, with only 4% having formal programs. Cahill’s research shows similar employer disinterest in phased retirement programs.

“Sometimes there are institutional or administrative restrictions,” he says. “And some employers may have good reasons not to offer flexible hours.”

Much more common, he found, are workers who find what they need by changing jobs. “These are bridge jobs that carry people through from their careers to withdrawal later on from the labor force,” he says.

Some experts think phased retirement options will become more popular as the economy improves and labor markets tighten, particularly as demand for specialized skills rises. And the federal government’s move could be a catalyst for change in the private sector.

Each federal agency will write its own eligibility rules, and phased retirement won’t be a guaranteed right for all workers. But basic eligibility will depend on which of the two major federal retirement programs covers an employee.

The government has a legacy Civil Service Retirement System (CSRS), a traditional defined-benefit system, and the newer Federal Employees Retirement System (FERS), a defined-contribution program with a small traditional pension component.

CSRS employees will be eligible for phased retirement at age 55 with 30 years of service, or at 60 with 20 years of service. FERS employees must be 60 with 20 years of service, or have 30 years of service and have reached their minimum retirement-eligible age.

Interest in the program is strong, according to Jessica Klement, legislative director of the National Active and Retired Federal Employees Association.

“The number of phone calls we get from members tells me there are a lot of people waiting for this,” she says. “Many of them are ready to take a step back, but they don’t really want to quit yet.”

MONEY Second Career

How This 66-Year-Old Launched a Second Career Raising Millions to Fight Cancer

Ysabel Duron
A former TV journalist and cancer survivor, Ysabel Duron founded and leads Latinas Contra Cancer to educate and support Hispanics fighting the disease. Photo by Eydie Mendoza

Ysabel Duron saw that Latinos needed more cancer support services. So she left the TV business and started a non-profit to help them.

When Ysabel Duron was diagnosed with Hodgkin’s lymphoma at age 51 in 1999, she was working as a news anchor for a local television station in San Francisco. It was a natural move for her to chronicle her treatment and raise awareness about cancer. Her documentary about her experience won awards. But after attending support groups for cancer patients, she realized a key audience wasn’t getting the message: Latinos. Relatively few were getting treatment or support services. So she set out to help low-income Spanish-speaking cancer victims in need of help.

She first volunteered with the Cancer Prevention Institute of California, educating Latina women about breast cancer. But she wanted to do more. In September 2003 she founded Latinas Contra Cancer (Latinas Against Cancer), an organization aimed at educating and providing services to low-income Spanish speakers. The issue is critical in the Latino community, Duron says. Cancer is now the leading cause of death among Hispanic Americans, overtaking heart disease, which is still the top killer of whites and African Americans in the U.S., according to the American Cancer Society.

One key reason for the high cancer rate is cultural. Among Hispanics, cancer is still a taboo topic, so they are less likely to get advance cancer screening. Economic barriers are also a challenges—one-third have no health care coverage. “I had access to good health insurance and knew how to research treatments,” says Duron, who has been healthy since she finished treatments in 2000. “So many Hispanics don’t have the advantages I did.” To help meet these needs, LCC runs cancer education workshops, as well as provides Spanish-language support groups, home visits, phone counseling and help navigating treatment and insurance

After launching LCC, Duron continued to work weekdays and evenings, while still maintaining her full-time weekend news anchor job. One of her first moves was to organize a fundraiser—using her news anchor connections, she persuaded local politicians and VIPs to attend by giving them awards. She also sought out regional grants from organizations focused on cancer issues, like the Komen Foundation.

“As we showed success, we were able to attract others to support us,” says Duron. She recruited local investors and persuaded a businessman to donate a small office space for $250 a month in a good neighborhood in San Francisco. “I was determined to make sure we had a good image,” say Duron. “You always have to look like you’re a good investment. We don’t operate like a nonprofit with its hand out. We operate like a business.”

Last year she retired from the TV business at age 66 and now devotes all her time to LCC as its CEO and executive director. “I spent 13 years doing two jobs. It’s a pleasure to focus all on my energy on this,” says Duron. Her organization has a $450,000 annual operating budget and nine part-time workers, up from $150,000 and two part-timers its first year and has so far raised more than $2 million. “It’s still a small organization and we work hard for every dime,” says Duron.

Even so, she is seeking to extend LCC’s services nationally, so it doesn’t just rely on local funding. To bring more recognition to the group, she sits on several national non-profit boards. In 2008 she started the first National Latino Cancer Summit, which brings together health care providers, researchers and community-based agencies. Duron also lobbies on national issues, such as extending Affordable Care Act insurance to more immigrants and including more minority women in cancer research.

Since embarking on her second career, Duron no longer makes a six-figure salary—as executive director of LCC, she earns about $50,000 a year and often uses her own money to cover expenses such as travel for work. But thanks to her pension, savings and Social Security, she still enjoys a comfortable lifestyle, she says—despite living in the expensive Bay Area.

As for her former life as a broadcaster, she doesn’t miss it. “I had a successful career. I was ready for my next act,” says Duron. “You need the ganas, the determination and will power to make something like this a success—but this is what I was meant to do.”

Ysabel Duron is a Purpose Prize winner. The Purpose Prize is a program operated by Encore.org, a non-profit organization that recognizes social entrepreneurs over 60 who are launching second acts for the greater good.

MONEY Second Career

How to Shift From Full-time Work to a Part-Time Second Career

Choir Teacher
Nicole Hill—Getty Images

Here are proven strategies for finding both money and joy in your transition to retirement.

If you’re a boomer you may remember small “hippie” shops selling fringe jackets. Maybe you still have one of them stored in a closet. If so, your Age of Aquarius memento might have been created by Lincoln Wolfe, now 60.

In recent years, Wolfe has made the transition from full-time (high stress) manager in the craft leather business to part-time (low stress) consultant to the industry. His job duties now range from training young workers to planning factory layouts.

“I didn’t want to work full-time for anyone,” he says. “I enjoy what I am doing at a more relaxed pace. This is retirement.”

Downshifting In the Field You Love
Transitioning from a 40-hour-plus workweek to a part-time schedule in retirement that’s less of a grind, but still in the field you’ve grown to love, may be your idea of retirement, too.

Here’s how Wolfe and professional singer Fay Putnam told me they did it and what you can learn from their experiences.

Wolfe decided he was done with school at age 16 and headed for Florida where he started a business with a 24-year-old, making sand-cast castles on the beach and selling them to various outlets. A customer in New Jersey hired him about a year later, launching his career in the leather craft trade.

Wolfe worked his way up in the industry, sometimes running his own venture and other times for an employer. In the early 1990s, Coach (the high-quality leather goods designer and manufacturer) hired him to oversee the technical development of new products — moving leather goods from the designer shop into mass production.

Coach grew dramatically and the job became increasingly intense, especially when production moved offshore to India and China. But since Coach went public in 2000 and Wolfe’s shares had appreciated some 13 times by 2005, he then had enough money to retire on.

Growing a Consulting Business
When he began consulting from his home in Lambertville, N.J., Wolfe’s initial contracts were, as you might expect, from Coach. His business then expanded through referrals. These days, Wolfe works about a third of the time, usually on the road.

His “unretirement” timing was fortuitous with the revival of the American leather goods industry—mostly designer products catering to urban hipsters. In 2012, Wolfe began consulting with Shinola, the Detroit-based Made-In-America producer of handcrafted watches, leather goods and bikes.

When we talked in late July, Wolfe was in Dearborn, Mich. writing an industrial sewing curriculum for the Makers Coalition, a trade group formed to apprentice a younger workforce into artisan leather manufacturing. The program will be housed at Henry Ford Community College’s Michigan Technical Education Center.

Singing a New Song
Leather craft is an art. So is singing. Fay Putnam spent her career as a professional singer, putting long hours into her craft, mostly with choirs such as the Gregg Smith Singers and the San Francisco Symphony choir. Putnam also had a side business as a voice coach.

She moved around fairly frequently because her husband, Frank, was a U.S. Navy aviator. Now 68, Putnam has started a part-time business in Portland, Ore. as a voice and speech coach.

“I love doing it,” she says. I wouldn’t keep doing this if I didn’t love it.” Although, she concedes, she’d welcome a few more clients.

Putnam and her husband moved to a condo in downtown Portland from the San Francisco Bay Area two years ago. Their son and daughter-in-law live there; so does her husband’s brother. And their money now goes farther. Most of all, Putnam says, they were tired of the San Francisco metro area’s horrendous traffic jams.

Frank is now retired, but Fay wanted to stay engaged in her art and teach the voice and breath control techniques she learned over the years. Most of her business is helping entrepreneurs and employees polish their public-speaking presentations. She coaches some singers, too.

Takeaways From Wolfe and Putnam
Wolfe’s and Putnam’s stories highlight a number of critical aspects that others in their 50s and 60s should take into account as they mull their next chapters.

Both built their new ventures on their existing knowledge and skills, rather than shifting to unfamiliar fields. For most boomers, I don’t believe there is any reason to succumb to the lure of reinvention—the urge to embrace a radical makeover—especially if the goal is finding part-time work that offers a financial and psychic reward.

And yet, much of the late-in-life transition narrative we often hear extols the new, the different, the dramatic change.

You know the story. Someone has labored long in a cubicle, or spent hours as a road warrior, for corporate America. Now, in the last third of life, she finds her passion, somehow manages to open a winery, basks in its growing sales and gets invited to speak about reinventing yourself at global conferences.

Okay, I’m exaggerating slightly. But I wholeheartedly agree with the cautionary wisdom of Marc Freedman, founder of Encore.org, in a recent Harvard Business Review column.

He wrote: “After years studying social innovators in the second half of life — individuals who have done their greatest work after 50 — I’m convinced the most powerful pattern that emerges from their stories can be described as reintegration, not reinvention. These successful late-blooming entrepreneurs weave together accumulated knowledge with creativity, while balancing continuity with change, in crafting a new idea that’s almost always deeply rooted in earlier chapters and activities.”

What I applaud about Wolfe and Putnam is that they smartly exploited what they already knew. It’s an insight echoed in a 2010 paper by professor Barry Bluestone of Northeastern University and Mark Melnick of the Boston Redevelopment Authority. When investigating jobs that might be available for aging workers, the authors felt boomers should exploit their skills — albeit, sometimes in a different setting or even industry.

“In many cases, older workers could carry their existing skills and credentials into a new setting,” they wrote. “For example, a registered nurse might move from a major hospital to a community clinic; a computer systems analyst at a private software company might take a job in local government; a civil engineer at a private construction firm might work on a state government highway project.”

Training for the Transition
Of course, you still may have to pick up additional training or education to ease the transition.

Putnam spent her career on the creative side, so she realized she needed to know more about the practical aspects of running a small business. “Most of the time, in the training that artists get, business savvy isn’t included,” she laughs.

To wise up, Putnam took a month-long business basics class called “Better, Smarter, Richer” at Portland Community College. It was designed specifically for solopreneurs and creative entrepreneurs like herself.

The course taught Putnam how to build her website and market her services to local business groups. Best of all, she says, her classmates continue to get together, share information and cheerlead for one another.

Flexibility Is a Must
Like Wolfe and Putnam, many boomers want to continue earning an income during retirement, but put in fewer hours. Their desire for the “big job” and to climb the ladder of the “big career” lies in their past. Phyllis Moen, sociologist at the University of Minnesota, says what many boomers desire are: “not so big jobs.”

Wolfe and Putnam found it much easier to create their flexible work schedules by tapping into their backgrounds rather than attempting ambitious life overhauls. “Older workers value flexibility,” says Richard Johnson of the Urban Institute. “They don’t want to work 9 to 5, five days a week.”

Wolfe’s story reinforces the benefits of flexibility in a different way that will strike a chord with many in their 50s and 60s. He has dialed back on his consulting services recently after being diagnosed with cancer. His prostate cancer has been successfully treated, but Wolfe must now spend more time paying attention to his health, watching his diet, exercising, meditating and so on.

He still enjoys consulting, but his priorities have changed. Cancer has that effect. “I think that I would try to be more engaged than I am now if it wasn’t for the stress of travel,” he says.

Thing is, assuming their health holds up, both Wolfe and Putnam have achieved something all of us desire: Control over their destiny. They can curtail working if they want to. They can stay engaged, if the work remains interesting. It’s their choice.

Not bad for a next chapter.

Chris Farrell is senior economics contributor for American Public Media’s Marketplace and author of the forthcoming Unretirement: How Baby Boomers Are Changing the Way We Think About Work, Community, and The Good Life. He writes about Unretirement twice a month, focusing on the personal finance and entrepreneurial start-up implications and the lessons people learn as they search for meaning and income. Tell him about your experiences so he can address your questions in future columns. Send your queries to him at cfarrell@mpr.org. His twitter address is @cfarrellecon.

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MONEY Careers

Wish Every Work Day Felt Like a Vacation? For This Guy it Is.

David Harris
"We offer a great product," says David Harris. "It was a matter of getting it in front of the right people.” Benjamin Rasmussen, wardrobe and grooming by Ashley Kelly

After toiling in the tech industry for over three decades, David Harris decided to buy an adventure travel company. Here's how he did it.

For 30 years, David Harris bounced around Silicon Valley, using his sales and marketing savvy to overhaul tech companies. But in 2011 he received a sizable payout from the sale of Tumbleweed Communications, where he had been vice president—and he was ready for a change. Though his work was highly compensated, it was also high pressure. “I wanted to continue to chal­lenge myself,” he says. “But I needed to get out of high tech for my mental health.”

Around the same time Timberline Adventure Tours, a Lafayette, Colo., company offering hiking and biking trips across the U.S. and Canada, went up for sale. Harris and his wife, Kisa, had gone on many vacations with Timberline and had even become friendly with the owners.

For Harris, it was the perfect opportunity. He was looking to do something he felt passionate about, and Timberline filled that bill. Plus, he felt the business had potential beyond its current revenue: “I knew Timberline offered a great product. It was a matter of getting it out to the right people.” While details of the purchase were still being ironed out, Harris moved with Kisa (then an aerobics instructor) and his three daughters to Louisville, Colo., where they lived off investments until he settled into his new role.

Immediately after taking over in January 2012, Harris began boost­ing Timberline’s digital presence—revamping the website and developing strategies for social media and email marketing. He used skills he’d honed in Silicon Valley, only now “product overhaul” meant testing trails and putting together a “fun puzzle of trip itineraries.”

Today Timberline offers 84 tours to about 600 clients annually. Revenues hit $1.2 million in 2013, up from $850,000 in 2011. While Harris isn’t making the big bucks he used to, he’s enjoying going to a job that doesn’t feel like work. “At the end of a trip, when clients are beaming and thanking you for making their vacation,” Harris says, “it’s just such a pleasure.”

BY THE NUMBERS

$500,000: What the company cost

Harris, who bought the business with cash from the sale of Tumbleweed, drew on his sales experience to create a valuation. The owners still cared about the company, and Harris says that made it somewhat harder to negotiate them down to the price he wanted to pay.

84%: how much less Harris earns than he used to

While his family can live off the $100,000 he and Kisa bring in (she’s the VP), they’re still adjusting to the seasonality of the business, which requires intensive budgeting. Harris credits Kisa, who is “as organized as the day is long.”

240: Target number of new clients to add in 2014

Harris is proud of Timber­line’s customer loyalty— 84% of travelers in 2012 were returning—but he’d like to grow the customer base so that 40% of clients are new. He plans to introduce more trip itineraries, and he’s working on building corporate partnerships, hoping that this will help raise revenues to $2 million by 2015.

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