6 Reasons to Work after You Retire

Why seek employment after retirement? In poll after poll, many Americans say they plan to delay retirement or to never retire. And then there are retirees who find their newfound freedom tedious, or they miss the water cooler conversations and camaraderie.

A 2009 study from the Journal of Occupational Health Psychology found those who work after retirement are physically and mentally healthier than those who don't, and they're more financially prosperous.

Example: Joan Riggs of Orlando, Fla., spent 29 years coaching and teaching high school physical education classes, selling real estate on the side. Although Riggs thought she'd hung up her associate broker's license when she retired, the former teacher found she missed working and reignited her real estate career.

"Work gives you a sense of purpose, a meaning in your everyday life. I wanted to feel needed by something or someone," she says.

With many retirees working longer or launching second careers, there's a strong argument for staying employed later in life. In fact, employment after retirement makes sense for a lot of reasons. Here's a look at some of the benefits.

You're less likely to dip into savings Lita Epstein, author of "Working After Retirement for Dummies," says, "If you think you don't have enough saved for retirement, it's much better to work early in retirement because it will be harder to do so as you get older."

The lesson: Don't wait to go back to work if you think you'll need to supplement your income down the road.

You can beef up retirement plans like IRAs Longevity risk -- the risk that you may outlive your money -- is something that many retirees fear. What if you live to 100? Do you have the money to sustain yourself?

Richard Johnson of The Urban Institute, a Washington, D.C., think tank, says you can continue to sock money into an IRA until you reach age 70½. You can build up your 401(k) and Roth IRA indefinitely, thus adding to your nest egg for the years when you may most need it.

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