From renting out space to getting paid for your opinions, how to boost your income when you're retired
12/20/2024 06:34 PM
NEED to make some extra cash in retirement? You are not alone.
Nine in ten over-65s find the state pension is too little to live on, says charity Independent Age.
But heading back to work is not an option for most.
Instead, people are having to find other ways to make money.
Some rent out rooms or sell vintage treasures, others are rewarded for how they shop.
Around one in five people aged 60 to 78 have a side hustle, says personal finance website Finder.com.
You can make up to £1,000 extra per year tax-free under the Government's trading allowance.
Earnings above that must be declared to HMRC.
If you want to afford the cost of living but not leave your home, Mel Hunter has found these ways to make money . . .
RENT YOUR SPACE
IF your children have flown the nest, you can rent out space in your home on websites SpareRoom or AirBnb.
Take in a lodger or just rent out a room occasionally.
You can earn up to £7,500 a year renting out a furnished room until you have to pay tax on it, through the government's Rent a Room Scheme.
Matt Hutchinson of SpareRoom says: "Between increased interest rates and the current cost of living, more homeowners are looking for ways to make extra cash.
“For over-60s, renting out a spare room is easy, and a great way of keeping company for those who live alone."
Or just let someone store their stuff in your spare space.
You can make as much as £1,000 a month by letting your garage, says David Mantle of stashbee.co.uk.
You could pocket up to £200 a month renting out a parking space or driveway on ParkLet or JustPark, especially if you live near a transport hub or popular venue.
Tom Geddes of JustPark, says: "It's a perfect, low-maintenance way to for retired people to make some money."
LOANS FOR LOLLY
SITES like fatllama.com let you rent out your possessions so other people can use them.
This site offers insurance cover on items up to £25,000.
You can hire out everything from furniture to fancy dress outfits.
If you have an old sewing machine gathering dust, get around £10 a day for it on the site.
A pressure washer can land you around £15 a day.
The website takes a 25 per cent cut of the rental price.
SHARE YOUR SKILLS
EVERYONE has a skill, so make money from yours.
You could set up an online course, teaching people basic gardening, music or DIY.
Or offer your services to the local community.
Simon Podmore, 72, of Hind-head, Surrey, finds handyman jobs on popular community website Nextdoor.com.
He started takling on work 18 months ago when he found a shortfall between his state pension and other income and the bills he had to pay.
Simon, a retired engineer who used his own skills to convert his garage into a flat, topped up his income by £15,000 last year doing decorating, plumbing and other jobs.
He says: "As well as helping with the bills, it keeps my mind and body active."
SHOP SMARTER
YOU can make a few extra quid simply by changing how you shop or buy financial products like insurance.
Use a cashback website such as Quidco or Topcashback to get money back when you spend.
Go to the site, search for the retailer you want to shop with and click through to their site.
The cashback site then pays you some of the money it receives from the retailer for driving traffic to them.
Topcashback members earn an average £345 a year.
And stack up even more savings by then paying with a credit card that also gives cashback — like the Amex Cashback Everyday card, now paying up to £125 cashback over the first five months of membership.
You can also use loyalty cards like Clubcard or Nectar to convert points into rewards.
SELL, SELL, SELL
THERE'S a place to sell almost anything.
Clothes can go on eBay or Vinted.
Anything more than 20 years old is officially "vintage".
Classic, well-made items, like those from Marks & Spencer with the St Michael label or from high street store C&A, can command a higher price.
Head to charity shops and car boot sales to pick up a bargain you can resell.
Now eBay has slashed sellers' fees, there's more money to be made.
Flog books by scanning their bar code using apps like Ziffit or Webuybooks, and sell tech on Music Magpie.
If you have toys that are around 30 years old in your attic, they could go for a premium now, according to Tim Weeks, toy expert on BBC's Bargain Hunt and owner of Wessex Auction Rooms in Wiltshire.
If you have a talent for craft, such as making jewellery or other items, sell these on websites such as Etsy or Folksy.
GET PAID FOR OPINIONS
EARN cash by doing surveys.
Never pay to join survey sites, keep a log of questionnaires you complete to ensure you get payment.
You'll make more money from attending focus groups — usually around £50 a go, often paid by an e-gift card.
Angelfish Opinions' website will give you an idea of jobs on offer.
Right now, you can apply to be interviewed about watching TV, paying up to £100.
'I make an extra £100 a month on survey and cashback sites'
NICK DAWS runs the blog poundsandsense.com, aimed at helping over-50s make and save money.
Nick, 68, who used to work as a writer, uses a host of clever tricks to supplement his income – the State Pension plus a small personal pension.
He says: "I make small amounts, but they all add up, allowing me a few little luxuries, like a meal out now and then."
As well as taking on occasional writing work and making some money from the blog, Nick, from Lichfield, Staffs, generates around £100 a month extra mainly from completing surveys and using shopping apps and cashback sites.
He does surveys through academic research site prolific.com, earning up to £30.
"I've made hundreds of pounds over the years and it's quite interesting," he reveals.
He is signed up to the market research app Shop and Scan, which rewards him with points.
These accumulate into vouchers in return for simply scanning the bar codes on his shopping, using a device that the site sends him.
And before Nick does his supermarket shop at Morrisons, he buys vouchers via the cashback site Jam Doughnut.
He typically gets around four per cent cashback, which he cashes in when he reaches £10.
After posting various pieces of feedback on Amazon, he was invited to become an Amazon Vine reviewer, getting to keep the items he tests.
To start with, there is a cap on the value of items you can review.
But Nick's experience has earned him "gold" status, meaning he can pick any of the items up for review at any value.
The highest value item he reviewed, and kept, was a £1,200 laptop.
All in all, he reckons that his canny methods make him around £100 a month.
He says: 'I'm not wealthy and the extra money really does make a difference, especially with bills being so high."
