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Working in Retirement

There are significant advantages to gradually winding down your work commitments

It may not seem logical to have a section on work and employment in a website devoted to retirement issues, but we firmly believe that retirement doesn't necessarily mean that you need to completely cease work or employment. Indeed, as long as you remain healthy, we see considerable benefit in individuals gradually winding down their work commitments over time, rather than simply being "employed one day, retired the next".

Those benefits extend beyond the obvious financial advantages associated with maintaining an income - many people are simply happier, and find themselves physically and mentally more robust, if they continue earning a living and, most importantly, remain active. The key of course is to ensure, as much as possible, that any work done at this stage in life is done as a matter of choice, because you enjoy it, rather than as a necessity.

Of course, access to interesting employment in retirement is not going to be available to everyone. Apart from health and age issues, which may limit the ability to do many physical occupations, age discrimination is alive and well in the Australian business community, with few exceptions. That situation needs to change, not least because it represents an extraordinary waste of experience and potential in a society that will inevitably find itself of short manpower because of demographic changes.

This part of the website focuses on how seniors, perhaps already in receipt of superannuation income streams and/or the age pension, are treated for tax purposes if they continue to work. You will find that the combination of both the Low Income Tax Offset (LITO) and the Seniors and Pensioners Tax Offset (SAPTO) can make it very attractive to continue working.

Please note prior to making any Inquiry: Financial regulations regarding the provision of specific advice mean that it is impossible for us to provide assistance unless it is provided as part of professional advice for which fees will apply. If your circumstances are not complex and you don't require or want to pay for professional advice you should direct any tax queries to the ATO.


If you would like to arrange professional advice in relation to the above matters, please complete the Inquiry form below providing details and you will be contacted accordingly. You will receive a fee quotation in advance of any advice or services being provided.