How a Solo Gig Can Give You a Stronger Retirement

“When you’re a writer, you need to cobble together an income unless you’re employed full-time by somebody — and very few of us have that anymore.”

Adding a few more years of work to your retirement plan can be one of the best ways to improve retirement security, and some find that the best way to keep income flowing in one’s later years is a sole proprietor business of the kind Mr. Eanes started. Entrepreneurship provides a bridge of income to a later retirement — that income can help you delay your Social Security claim, boosting those benefits. It might also help you save more for retirement.

Entrepreneurship comes in many flavors, but think of these businesses as a form of self-employment or gig work. Experts say such businesses often can be started for as little as $5,000 to $10,000 to incorporate, create a website and brand identity, and to put other necessities in place, like bookkeeping software.

A key challenge is finding the right idea for your business. That might mean continuing in your current field, or pursuing a new interest. But these solo entrepreneur businesses also come with some financial challenges. A big one can be financing your living expenses while you wait for the new business to start earning revenue. “The big risk is that your income will go down, at least temporarily and maybe permanently,” said Jill Schlesinger, author of “The Great Money Reset: Change Your Work, Change Your Wealth, Change Your Life.” “And for many people, the idea that you’re not receiving a regular paycheck is a little daunting.”

And as an entrepreneur, you’re responsible for the full cost of benefits your employer subsidized, such as Social Security payroll tax contributions, health insurance and retirement saving accounts.

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