How to make money in retirement: low-stress jobs that boost your income

27 Oct, 2026

I meet more people working past 60, often helping family, stretch their savings or adding a retirement income stream. What I have found is that a calmer role doesn’t have to mean a much smaller pay packet.

At a glance

  • A calmer job doesn’t have to mean a big pay cut. Pay depends mainly on responsibility, skills and experience, not on how stressful the role is.
  • Plenty of roles suit later life. Bookkeeping, tutoring, proofreading, admin and counselling can all pay £20,000–£40,000 full-time, and many work part-time or from home.
  • National Insurance stops at State Pension age, but income tax still applies to your earnings and pension combined.
  • Drawing a pension flexibly limits new contributions to £10,000 a year with tax relief, which matters if a new job offers a workplace pension.
  • Deferring your State Pension while you’re still earning can increase what you get later.
  • Make the switch in steps: use your transferable skills, retrain flexibly online, and try the new role part-time first.

When I read that the “Bank of Gran and Grandad” had handed over more than £37bn to help grandchildren, I wasn’t surprised. Research by Saga found grandparents helping with everything from university costs to first homes, and I see the same pattern in people I talk to every week.

That generosity has a cost. With rising living costs and longer retirements, many people in their 50s and 60s tell me they’re choosing to keep earning for longer.

What they don’t want is the pressure that comes with their old job. After 30 or 40 years of long commutes, targets and back-to-back meetings, I can understand why. So how do you generate income in retirement, or in the years before it, without stress?

A calmer job doesn’t have to mean less money

I often hear people assume that stepping back means taking a big pay cut. In my experience, that isn’t always true. Pay is driven mainly by responsibility, specialist skills and experience, and stress is only part of that.

I’d also argue that stress is a money issue in its own right. The Health and Safety Executive estimates that 964,000 workers in Great Britain suffer from work-related stress, depression or anxiety. That’s around half of all work-related ill health.

The people I see strike the best balance are usually in skills-based roles. These tend to come with predictable hours, a clear scope and less firefighting, while still rewarding the experience you’ve built up.

Low-stress jobs after retirement: ways to boost your income

These are the roles I’d suggest to anyone who wants steady work, flexible hours or a chance to use decades of experience. The salaries are typical full-time ranges, and part-time or freelance earnings scale with the hours you choose.

Role Typical full-time pay Why it suits later life
Bookkeeper £25,000–£35,000 Can be freelance from home, with clients chosen to fit your week
Tutor (private or online) £20,000–£40,000 Turns career or subject knowledge into flexible, often hourly, income
Proofreader £22,000–£35,000 Quiet, deadline-based work that rewards a good eye for detail
Administrative assistant £22,000–£30,000 Part-time and local roles are widely available
Counsellor £28,000–£40,000 Draws on life experience; many people retrain for it in their 50s
Care worker £20,000–£28,000 Strong demand and flexible shifts, with meaningful day-to-day work
Gardener £18,000–£30,000 Outdoor, active and easy to run as a small sideline

I’ve covered each of these in more detail, along with five more options, in our guide to low-stress jobs in the UK.

Money matters: what changes when you keep working

Before you take on a new role, there are a few money quirks I’d want you to know about.

  • National Insurance stops at State Pension age. If you’re employed, you stop paying once you reach it, so show your employer proof of age. If you’re self-employed, Class 4 stops from the start of the next tax year.
  • Income tax still applies. Your State Pension, any private pension and your earnings are added together. I’ve seen a part-time salary push people into a higher tax band they didn’t expect. If you’re self-employed, you’ll still need to file a Self Assessment return.
  • Watch the money purchase annual allowance. If you’ve started drawing taxable income flexibly from a defined contribution pension, you can only pay up to £10,000 a year into pensions with tax relief. That matters if your new job comes with a workplace pension.
  • You don’t have to take your State Pension straight away. If you’re still earning well, deferring it can increase the amount you get later.

If you’re unsure how extra income will affect your tax or benefits, my advice is to speak to a regulated financial adviser.

Making the switch: five practical steps

  1. List your transferable skills. If you’ve managed budgets, trained colleagues or dealt with customers, those skills carry straight over into bookkeeping, tutoring and admin roles.
  2. Fill the gaps with flexible learning. I’ve seen a short online course give people a recognised qualification, such as bookkeeping or counselling, without them giving up their current income. Most can be studied at your own pace from home.
  3. Start small. I always suggest trying part-time, freelance or volunteer work in the new field first. It tests both the role and the income before you commit.
  4. Apply for roles that fit your life. Look for adverts offering part-time hours, term-time working or remote options, and don’t be shy about asking for flexibility at interview.
  5. Keep learning once you’re in. New skills keep your earnings growing and make it easier to raise your rates if you go freelance.

 

One more tip: work out your budget first. Knowing how much you need each month tells you how many hours you really need to work.

I don’t think working in later life has to mean more of the same. With the right role, you can keep supporting your family, protect your savings and enjoy work that fits around the rest of your life. For me, choosing a lower-pressure job is as much a financial decision as a lifestyle one.

FAQs

How can I generate income in retirement in the UK? Most people combine several sources: the State Pension, any workplace or private pensions, savings and, increasingly, part-time or freelance work. A flexible job is one of the simplest ways to add a retirement income stream without dipping further into your pension pot.

Can I keep working after I start claiming my State Pension? Yes. There’s no limit on how much you can earn while receiving the State Pension, and it isn’t reduced if you work. Your earnings are simply taxed alongside your pension income.

Do I still pay National Insurance if I work past State Pension age? No, as an employee you stop paying once you reach State Pension age. If you’re self-employed, Class 4 contributions stop from the start of the following tax year.

Will a part-time job affect my private pension? It can. If you’ve already drawn taxable income flexibly from a defined contribution pension, you can only pay up to £10,000 a year into pensions with tax relief. That includes any employer contributions from a new job.

Is it worth deferring my State Pension if I’m still earning? It can be. Deferring increases the amount you receive later, and it can stop your pension pushing your income into a higher tax band while you work. Whether it pays off depends on your health, tax position and other income, so I’d get advice first.

What are the best post-retirement jobs in the UK? The roles I recommend most are bookkeeper, tutor, proofreader, administrative assistant and counsellor. They tend to combine steady pay with manageable pressure, and many can be done part-time, freelance or from home.

Am I too old to retrain? Definitely not. I regularly hear from people retraining in their 50s and 60s. Many qualifications can be studied online at your own pace, and starting with a short course or some volunteer work is a low-risk way to test a new field.

Sources and fact-check notes

  • NCC Home Learning: 12 best low-stress jobs in the UK (17 April 2026): salary ranges, the five-step plan and the claim that stress causes around half of work-related ill health (52%).
  • British Safety Council on HSE 2024/25 statistics: 964,000 workers with work-related stress, depression or anxiety.
  • UK: National Insurance and tax after State Pension age: NI stops for employees; Class 4 stops from the next tax year; Self Assessment continues.
  • LITRG: pension contribution limits: money purchase annual allowance of £10,000.
  • LITRG: deferring State Pension: deferral increases later payments.

 

Author bio: Nick Cooper is a writer at NCC Home Learning, the online learning provider offering flexible courses and recognised qualifications you can study from home. He writes about careers, retraining and lifelong learning, with a focus on helping people find work that fits around the rest of their lives, whether they’re changing career in their 40s, returning to work, or looking to boost their income in later life.