5 Benefits of Working in Retirement for Ernst & Young Employees

In the past, retirement has been depicted as a conclusion, a grand departure from the workforce. However, the regulations are changing. The labor force participation rate for those aged 65 to 74 is projected to reach 32% by 2022, up from 20% in 2002. (1) As the Baby Boomer generation ages, an increasing number of individuals view retirement as an opportunity to experience the benefits of work in a novel manner. Following are some of the benefits that Ernst & Young retirees can look forward to.

1. Mental Benefits

Recent research has shown that working longer can be linked to better cognitive function in old age. According to a study by the National Bureau of Economic Research, individuals who delayed retirement by one year experienced an increase in cognitive performance equivalent to two and a half months of aging.

Continuing to learn new skills during your Ernst & Young retirement can help you maintain mental agility. Engaging in productive activity helps create 'mental muscle,' which can reduce the risk of developing dementia and Alzheimer's (2) and delay the onset of senescence.

2.. Physical Benefits

For sustained health, it is essential for Ernst & Young retirees to maintain an active lifestyle. Whether you choose to work full-time or volunteer a few days per week, engaging in some form of work will keep your body active and provide opportunities to maintain balance, strength, and health.

3. Financial Benefits

In addition to the apparent additional income, working during your Ernst & Young retirement may enable you to delay Social Security benefits. Your Social Security benefits can grow by an average of 8 percent per year for every year you delay receiving them. (3) Finding a successful strategy can be very profitable.

4. Emotional Benefits

According to studies, a sense of purpose increases both lifespan and quality of life.4 During your years or retirement from Ernst & Young, working on a project you care about, starting a new business, or mentoring others can prevent depression and provide a healthy sense of fulfillment and direction.

Featured Video

Articles you may find interesting:

5. Social Benefits

One of the risks associated with retirement is an increase in social isolation, which has been compared to smoking nearly a carton of cigarettes per day. (5) Working with others mitigates this risk, allowing you to develop relationships and engage in meaningful interactions.

Conclusion

Retirement can be seen as a 'half-time break' during a long and fulfilling career. Just like in sports, it's a chance to rest, recover, and reassess your strategies. However, staying on the bench for too long can lead to a loss of skills and stamina. Continuing to engage in work or productive activities during retirement is like getting back on the field for the second half of the game. It keeps your mind and body in shape, allows you to develop new skills, and provides a sense of purpose and fulfillment. So, if you're looking to make the most of your retirement, consider staying in the game!

Sources

1. AARP.org, February/March 2015

2. Forbes, 2017

3. Social Security Administration, 2017

4. Association for Psychological Science, 2017

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Ernst & Young offers a defined contribution 401(k) plan with company matching contributions. Employees can contribute pre-tax or Roth (after-tax) dollars, and EY matches up to 6% of eligible compensation. The plan includes various investment options, such as target-date funds, mutual funds, and a self-directed brokerage account. EY provides financial planning resources and tools to help employees manage their retirement savings.

Ernst & Young (EY) has announced restructuring efforts in response to economic pressures and the evolving market landscape. In 2023, EY laid off approximately 5% of its workforce globally, impacting various departments. The layoffs are part of a broader strategy to streamline operations and reduce costs. Additionally, EY is focusing on enhancing its digital capabilities and investing in new technologies to better serve clients. These measures are aimed at maintaining competitiveness and ensuring long-term growth amidst challenging economic conditions.

Ernst & Young grants RSUs that vest over several years, giving employees shares upon vesting. They also provide stock options, allowing employees to buy shares at a set price.

Ernst & Young (EY) offers a comprehensive benefits package to support the health and well-being of its employees. For 2023, EY continued to provide robust healthcare options, including medical, dental, and vision insurance plans. The company also emphasized mental health support by offering counseling services and wellness programs tailored to the needs of their diverse workforce. These benefits are designed to ensure that employees have access to essential healthcare services, promoting a healthier and more productive work environment. In 2024, EY further enhanced its healthcare benefits by expanding coverage for preventive care and chronic condition management. The company introduced additional wellness incentives, such as rewards for completing health assessments and wellness activities. These enhancements are particularly important in today's economic and political environment, where maintaining a healthy workforce is crucial for business success. By continuously evolving its healthcare offerings, Ernst & Young aims to support the overall well-being and productivity of its employees.