The Crucial Role of Maintaining Identity and Work in Retirement Planning

Loss of Identity and More

There's a reason getting laid off at work can be such a blow. Not only does a layoff mean losing your paycheck, but it can also mean losing a part of your identity.

Such is the struggle many retirees face. Not only can the shift from earning money to living off savings and Social Security be daunting, but the absence of work can leave many feeling lost and unsure how to fill their days.

You may want to set yourself up to continue working

You may be inclined to view retirement as a time to stop working, period. But before you lock yourself into that decision, be honest with yourself.

There may be a big part of you that wants to continue working in some capacity in retirement. If so, don't dismiss that feeling as pre-retirement nerves. Take it seriously -- and set yourself up to continue working once your retirement kicks off.

How do you do that?

Well, you may decide you'd enjoy consulting in your former field for 20 to 40 hours a month, as opposed to putting in the 40-hour workweeks you're used to.

• Build a network of contacts within your industry
• Let your employer know you're interested in consulting work
• Start a dog-walking service or become a freelance photographer for a new experience

While worrying about money is natural, concerns about losing identity and filling your days might indicate the importance of maintaining some form of work in retirement.