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How you can supercharge your retirement.

THERE are 1.18 million people aged 65 and over in the workplace across the UK, according to Office for National Statistics (ONS) figures.

If you're considering working post retirement, there may be secrets lurking in the small print of pension and employment rules that can make flexible retirement far more rewarding.

Sarah Coles, a personal finance analyst at Hargreaves Lansdown, says: "If you're going to make flexible retirement as profitable as possible, you need to get to know the secrets in the small print that can supercharge your strategy."

Here are Sarah's top tips: | Ask your employer to reduce your hours: If you reach 65, give up work, and then go looking for an alternative part-time role, it's possible you may end up taking on less well-paid work.

A more rewarding alternative could be to talk to your employer about the possibility of reducing your hours.

| You could benefit from putting off the state pension: If you are in work at the age when you become eligible for your state pension, you may not need it immediately. You could get a boost from deferring - but weigh up whether this is worthwhile. | There may be gains to be made from putting off taking a defined benefit pension: You'd be forgiven for thinking that as soon as you had accrued the maximum pension allowable in a defined benefit pension scheme, you may as well start drawing it.

However, if you put off taking an income from the pension, most schemes will usually increase the amount payable each year - typically around 8% a year. If you don't need to start drawing this pension immediately, deferral is worth considering. | A hidden gain when putting off an annuity purchase: If your income from work means you don't need to buy an annuity immediately, it could leave you better off. Usually, as you get older, you will be offered a higher rate.

When you are shopping for an annuity, it's also important to declare any health conditions or illnesses you face at that time. It may mean you are entitled to an enhanced annuity.

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Publication:Solihull News (Solihull, Birmingham, England)
Date:Feb 16, 2018
Words:349
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