This is a detailed guide on the 10 best businesses to do after retirement.
Retirement is the stage in life where your services at your place of work are no longer needed and you are advised to permanently leave the workforce.
If you failed to prepare for your retirement when you are active in service, you will live to regret it all your life.
In this article, we will tell you how to successfully plan your retirement while still active, and also let you know the ten best businesses to do after retirement that is very profitable.
When To Start Planning For Your Retirement
This question of when to start planning for retirement has lingered in plenty of people’s minds.
Sadly, plenty of people ask this question when they have a few years to retire.
It may feel unusual to start planning for retirement when you are in your 20s or just starting a job, but it is worth starting immediately.
The truth is everybody wants to retire to a good life, nobody wants to encounter poverty or return to the bottom after retirement.
How well you prepare for your retirement will determine how enjoyable your retirement years will be.
Planning for your retirement should be something you think about immediately after you start working.
Thinking about it every time will enable you to save, prepare, and tame your spending habit.
The sooner you begin saving, the more money you will grow because financial security does not just happen, it takes commitment and discipline.
Steps To Start Planning For Your Retirement in Nigeria
Below are the steps on how you should start planning and preparing for your retirement.
1. Set Goals And Stick To Them
It is important to set your long-term retirement goals early enough, this will help you know how much money you will need in your retirement.
Start saving and stick to your goals, retirement is expensive, you need enough money to maintain your standard of living.
While saving, have in mind that inflation will affect the value of your savings over time.
Inflation increases the cost of goods and services, so it is necessary to save more than just a little.
Moreover, the key to a successful retirement is to plan and also consider what you anticipate your retirement to look like.
You will need to rate your expenses, and also consider these questions when planning
- How old would you be when you stop working Full time?
- Do you have any health challenges?
- Do you want to live in your home or a rented apartment when you retire?
- How do you want your budget and expenses to be?
- Do you hope to travel around the world or own a business?
2. Understand Compound Interest
It is important to know that the earlier you can start saving for retirement, the more you will benefit from compound interest.
You will enjoy Compound interest if you don’t withdraw from your retirement account. Compound interest is also why it is necessary to quit withdrawing from your retirement account before you retire.
3. Establish A Business
Do not wait until you retire before you establish a business. Establish a business while you are still working to bear all the initial risks without fear of going bankrupt.
Moreover, it can take many years for a new business to generate ceaseless income, so you have to start early in life.
Grow your business while you are still young and working so that when you retire, you won’t be struggling and complaining unnecessarily.
4. Avoid Procrastination
Procrastination can hinder you from attaining success in anything you do. Procrastination pops up everywhere, it is a dream killer.
Avoid procrastination at all costs if you want to successfully save for your retirement.
5. Educate Yourself
It is important to take time to learn about retirement planning and investment so you wouldn’t make mistakes.
Learn about investment approaches that are best for you.
You can reach out to an expert to advise you on how to go about it. You can take an online investment class, read books, and learn from the internet.
Types of Pension Plan In Nigeria
Below are the types of pension plans in Nigeria
1. Contributory Pension Scheme
The contributory pension scheme works for everybody whether you are working in the private or public sector. Under this scheme, you are qualified for a Retirement Savings Account (RSA).
This savings account is a dedicated account that allows monthly contributions from you and your employer.
The amount contributed is usually between 15%-20% of your salary.
Your Retirement Savings Account performs the duty of a savings account, except, contributions are made on autopilot and your contributions are capitalized in financial devices to yield profits which protects your pension fund from inflation.
2. The Micro Pension Scheme
The micro pension scheme is for self-employed individuals. This plan gives room for more flexibility for entrepreneurs, traders, professionals, and other self-employed persons that are not eligible for the contributory pension scheme.
3. Cross-Border Pension Scheme
This pension plan allows Nigerians who are employed outside the country to make contributions to the pension fund. Their retirement savings account will be in Naira.
4. Voluntary Contribution Scheme
The Voluntary Contribution is optional, you can make more contributions to your pension fund if you are capable.
Unlike the RSA, your contributions can be made monthly, bi-annual, quarterly, or even weakly.
10 Best Businesses To Do After Retirement in Nigeria
Retirement is tough especially when you keep on spending and not making more money. To avoid untold hardship, these are the ten best businesses to do after retirement to keep earning money.
1. Poultry Farming
Poultry farming is one of the best businesses a retiree can do because you would have enough time to properly manage your poultry.
Poultry farming in Nigeria is one of the most lucrative businesses to venture into especially when it is properly set up and managed.
The demand for poultry and poultry products is high and a retiree who is dedicated to the business can earn a massive income within the shortest time because of the quick maturity of poultry.
Moreover, anyone can do a poultry business, it does not matter your educational background or your social class.
The types of poultry farming you can venture into are:
- Chicken (for meat and eggs)
- Ducks (for eggs, meat, and down feathers)
- Turkeys (for meat )
- Guinea Fowl (for egg production and meat)
- Quail (for eggs and meat)
- Pigeons (for meat)
- Geese (for eggs, meat, and down feathers)
2. Agriculture Business
The agriculture business is one of the most lucrative businesses a retiree can venture into.
The agriculture sector is one of the most thriving sectors as people can’t do without food.
Food is one of the basic needs of humans and people are in constant need of agricultural products.
With proper planning, anybody that has the basic knowledge of farming and manufacturing operations can start a profitable agriculture business.
The list of most lucrative agriculture businesses to start are:
- Poultry Farming
- Rice Farming
- Honey Bee Farming
- Snail Farming
- Catfish Farming
- Maize Farming
- Pig Farming
- Cassava Farming
3. Food Stuff Business
The foodstuff business is one of the very lucrative businesses you can go into as a retiree and make a huge amount of money every day.
Food is very crucial in the life of human beings and so no one can exist without it.
Moreover, as the population is increasing, the demand for foodstuff increases and so you cannot venture into the foodstuff business and fail woefully.
Benefits of starting your foodstuff business are:
- It is high in demand
- It can be done in any season
- The profit rate is high
- It can be done anywhere
4. Real Estate Business
A real estate business has to do with the buying, selling, operation, management, or investment of land and houses. It also includes natural resources below or above the land.
If you want a stress-free retirement, it is necessary to consider venturing into a real estate business to achieve your financial goal.
Real estate is one of the most profitable and growing businesses in Nigeria. As a retiree, you can make a lot of money by starting a real estate business.
Various Divisions Of Real Estate Business In Nigeria
- Real estate agent
- Land resale/flipping
- Property development
- Property rent/leasing
5. Pharmacy Business
Pharmacies are the most visited shops in Nigeria because people are in constant need of health products to stay fit, healthy, and strong.
As a retiree, you can venture into this business and make a profit.
Moreover, you cannot just rent a shop and start selling drugs, because rules implemented by the pharmaceutical Council Of Nigeria (PCN) are guiding the sales of drugs.
To start your pharmacy business, it is necessary to first register with them to avoid problems.
Moreover, if you are not a pharmacist, and you want to venture into the business, you will be required to employ a professional pharmacist to run the business for you. Learn how to register a Pharmacy business in Nigeria.
6. Consultant Business
Virtually every industry of the economy needs the advice and expert direction of highly experienced individuals with specialized skills and industry connections.
A business consultant is an expert who provides expert advice in a particular area such as human resources, marketing, security, management, accountancy, law, finance, engineering, science, digital transformation, or any other specialized area.
Business consultants are paid by companies and business owners to help them with their management-related issues.
Becoming a consultant in your area of expertise can earn you a reasonable income after retirement.
As a retiree, you can easily become a business consultant due to the many experiences you’ve gathered over the years.
Moreover, the business is flexible, it allows you the opportunity to work with different clients. It is also a good business that brings in good money.
7. Own A Blog
Blogging is one of the businesses you can do at the comfort of your home and earn mercilessly as a retiree.
Blogging allows you to live life at your pace, and you get to become your boss. You can comfortably work from anywhere around the world, and at your convenience.
You can blog about your experiences over the years in your area of specialization.
The traffic you drive to your blog will then convert into income over time.
Moreover, It takes time, patience, and persistence to grow a blog.
8. Online tutoring
As a retiree, you can start online tutoring if you have a specialized skill that you want to pass on to people.
When you tutor, you make an impact on people’s lives and help guide them towards educational success.
Becoming an online tutor allows you remarkable job flexibility, allows you to manage your plan and set your rates.
The good thing about this business is that you work from home. To start your online tutoring business, you need to
- Register your business
- Draft a business plan
- You need a computer and a strong internet connection, you also need a webcam and a functional microphone.
- Set up a classroom, find a clean and neutral place in your house to conduct your online tutoring.
- Find the right tutoring software like video calling software(Zoom and google hangouts), virtual whiteboard software, and document sharing software.
- Establish a web presence by creating a website. Also, set up social media handles to create more awareness and drive traffic to your website
9. Ebook Business
An eBook is simply a book in electronic form. The demand for eBooks is rising very fast, therefore an ebook business is a very profitable business any retiree can venture into.
Moreover, anyone can start this business from home investing very little or no money.
To rapidly sell your ebooks, you must create ebooks that can solve existing problems especially if you are a professional in your field.
Moreover, to sell your ebooks, eBay is a great platform for selling eBooks. Apart from Amazon, most people search eBooks on eBay.
10. Ecommerce Business
An e-commerce business is one of the businesses you can venture into as a retiree. The first step to building your e-commerce is knowing the products you want to sell online.
You have to conduct a market survey to know the products that sell fast, so you won’t be frustrated.
Moreover, you must have a trusted supplier to supply you with products to avoid buying fake products from random suppliers. Learn how to start an e-commerce business in Nigeria.
It is a good thing to retire to a good life. Therefore it is important to start planning for your retirement early in life to avoid untold hardship.
That’s all on the top businesses to do after retirement.