102020Mar
beach holidays

Earn extra money in retirement

Want to earn extra money in retirement but without getting a job? We’ve put together some ideas for you to explore. As well as keeping the mind active, it can increase disposable income for bills, hobbies, holidays, entertainment and family gifts.

Pet sitting

Pet sitting is a great way to make some money, particularly if you are fond of animals. Usually, pet sitting involves visiting the pet owner’s home, making sure the pet is fed, watered, safe and exercised. Register at websites such as https://www.rover.com/uk/ Note that you may need to get relevant insurance/s as well, such as public liability, a change of use on your car and to notify your household insurer.

Rent out your home

Use your property to make a little bit of extra cash in retirement by renting your entire home or a room out, via Airbnb. You can do this when you are going on holiday or visiting relatives. For those who have a spare room to rent out for longer periods, explore https://www.spareroom.co.uk/ Alternatively, opt to rent a room out on a short or long-term basis. Monday to Friday lets are popular and allow you your space back at weekends!

Rent out your driveway

If you have an unused parking space and you are near an airport or train station, you could rent the space out to local commuters or travellers. It is free to register at https://www.justpark.com/about/rent-your-space/ and you can choose as and when your driveway parking space is available to rent. Furthermore, earnings from renting out your driveway are included in the property trading income allowance, introduced by the government in April 2017. This means you can make up to £1,000 per year, completely tax-free.

Rent out your driveway

Get cash back on your shopping

Visit your favourite retailers through Quidco, shop as normal and get cash back! There are over 4,500 retailers to choose from with high street names and popular brands available.

Sell your unwanted items

Most people accumulate a lot of things over the years and a lot of it you will never use again. So, why not make some cash selling things you no longer need and free up space at the same time? As everyone knows, one person’s trash is another person’s treasure.

Car boot sales are perfect for selling an assortment of goods, or try selling online. There are many websites to choose from, including eBay, Depop, Gumtree, and Facebook Marketplace.

You could also try upcycling and selling your revamped items! Here is some inspiration: https://www.prima.co.uk/craft/easy-craft-ideas/how-to/a35597/upcycling-ideas-national-upcycling-day/

Will I need to declare my earnings?

Follow this link to find out about paying income tax on extra money you earn in retirement: https://www.gov.uk/income-tax/find-out-if-you-need-to-pay-income-tax

Don’t forget – you will need to notify your lender…

If you have a mortgage or a borrowing secured against your home, please note you will need to speak to your lender before receiving any extra income that directly involves your home, such as renting out a room, parking space or even pet-sitting at your premises. Not all lenders will allow these or they may just want to impose specific terms or waivers.

Get creative!

These are just a few ideas that can provide you with some extra money in retirement and help keep you busy. Maybe you can enjoy a new hobby and make some new friends too!

Do you know how much money you will need to finance your retirement?

You can get a pension forecast and work out your income and outgoings in advance https://www.moneyadviceservice.org.uk/en/tools/pension-calculator

Have you got questions about your retirement income needs?

If you are worried about a pension income shortfall our professional Advisers can discuss your options with you. Find out more here: https://www.bowerretirement.co.uk/retirement-planning/do-you-know-if-your-pension-income-can-meet-your-monthly-outgoings-during-retirement