| Hybrid working helps employees phase gradually into retirement while supporting wellbeing | Working part-time after 66 can smooth the retirement transition and boost pension savings | Seek advice as pensions, investments and tax payments could all be impacted |
Higher productivity. Better quality of life. Greater satisfaction. These are just some of the potential benefits of hybrid working; but that’s not all. It could also support your retirement journey.
Hybrid working has become increasingly popular since the pandemic, with 28% of British adults opting to clock up their hours both in the office and at home during the first quarter of 2025. Employees aged between 30 and 49 are the most likely to take advantage of hybrid working, followed by those aged between 50 and 601.
Take a phased approach
Hybrid working is not only good for your wellbeing; it can also help you adjust to spending less time in the office as you head towards retirement.
One global survey2 found that 49% of workers aged 50 or older had either already started phasing into retirement or wanted to do so. Seventy-five percent of the workers who have started their retirement journey have reduced their work hours.
Gradually easing into retirement by working between one and three days a week for a few years after the age of 66 can boost a pension pot by tens of thousands of pounds, according to recent data3.
The ability to reduce your hours and/or responsibilities or to continue working beyond retirement age will depend on your job, industry and personal circumstances.
Spoilt for choice
If you don’t want to stay in your current role, there are other ways to transition towards retirement. You could apply for a part-time job, turn a hobby into a business or volunteer your time to support others. The choices are endless – and the choice is all yours!
Regardless of what retirement means for you, it’s a good idea to seek financial advice before making any big decisions. Pensions, investments and tax payments could all be impacted; there might also be a need to bridge income gaps as your earnings reduce.
We can help you make an informed choice, with the aim to achieve your retirement dreams.
1ONS, 2025, 2WTW, 2024, 3Standard Life, 2024
The value of investments can go down as well as up and you may not get back the full amount you invested. The past is not a guide to future performance and past performance may not necessarily be repeated.
