40% of Gen Xers Are Considering Starting a Business for One Big Reason

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If you’re a Gen Xer (or any age) and you’re burned out on your job, consider starting a business. Here’s how entrepreneurship can help you save for retirement. [[{“value”:”

When you think about investing for retirement, you probably think of 401(k) plans, IRAs, and buying stocks. But what if you could invest for retirement in a unique way — by starting a business?

A surprisingly high percentage of Gen Xers are looking to the future and seeing entrepreneurship as the key to a comfortable retirement, according to a new survey from ZenBusiness.

Let’s look at why starting a business can be the best way to save for retirement — and have more fun along the way.

40% of Gen X have started a business (or are thinking about it)

A recent survey from ZenBusiness found that Gen X is redefining retirement planning. Instead of just buying stocks or maxing out their 401(k)s at work, 40% of Gen Xers say they’ve already started a business or are considering doing so. The biggest reason? Retirement.

Here are a few examples of how small business ownership can be a bigger part of your retirement plans.

45% of Gen Xers surveyed said small business ownership is “a path to retirement stability.”43% said entrepreneurship is “a way to maintain financial independence.”Nearly 50% of Gen Xers aren’t sure if they can retire by age 65.

Whether it’s a side hustle or a new full-time gig, starting a business can be a great way to increase your income and save more money for retirement. But putting an extra few thousand dollars into your Roth IRA isn’t the only reason to start a business. Becoming an entrepreneur can help you redefine your path to retirement in powerful ways.

Starting a business can improve your retirement plan

As people get older and advance in their careers, they tend to make more money and figure out what they’re best at — what core skills they do best, how they like to collaborate with others, what industry or type of company they like to be part of, and more. But traditional corporate employers don’t always turn out to be the best fit for experienced workers.

If you’re a Gen Xer who’s feeling frustrated by your job, if you need to be around to take care of your family in ways that don’t fit a nine-to-five corporate schedule, if you don’t see good opportunities for advancement at your day job, or if you fear becoming a target for age discrimination, here are a few good reasons for Gen Xers to start a business.

1. A flexible schedule

When you’re running your own business, you control when, how, and where you work. You can burn the midnight oil when you have to or duck out early for doctor appointments and kids’ soccer games. You can work from home, a hotel, a coffee shop, or an office space.

2. Control over your career

If you’re feeling stifled in your job or worry that your career has plateaued, starting a business can help you learn new skills and take your career in new directions. You can bring your experience, expertise, and insights to a new playing field and open up new opportunities.

Easy-to-use business marketing software and online tools can help you build a website, create a brand, find customers, and more.

3. You can make more money

Being in business for yourself might sound risky if you’re used to the safety net of a steady paycheck. But when you own a business, there’s also no ceiling on how much you can make. What if you could double your income? Or what if you could make just enough to be happy and prosperous while enjoying a flexible schedule and more relaxed, creative way of life?

4. You can save more for retirement

Don’t assume that your day job’s 401(k) plan is the only way to save for retirement. If you’re a small business owner, you could qualify for other ways to save for retirement, like a SEP IRA.

Some small business owners can save more for retirement than employees can save in a 401(k). Get the same great tax benefits for saving for retirement, but without the stress and hassle of having a regular job!

Bottom line

ZenBusiness’s recent survey on Gen Xers and entrepreneurship shows why starting a business can be a powerful tool for retirement planning. When you own a business, you can make more money, invest more money, and control your career destiny in ways that many late-career working professionals would love.

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