Why More Retirees in Portland and Vancouver Are Working Part-Time (And Not Just for the Money)

Why More Retirees in Portland and Vancouver Are Working Part-Time (And Not Just for the Money)

Retirement today looks very different than it did a generation ago. For many retirees across Oregon and Washington, part-time work isn’t about financial hardship. It’s about creating purpose, staying connected, and enjoying greater flexibility.

For decades, retirement was viewed as the finish line of a career. After years of hard work, the expectation was simple: stop working and enjoy life.

Today, retirement is becoming much more flexible.

Nearly one in five Americans age 65 and older remain in the workforce, and among those who continue working, 38.3% work part-time, allowing them to balance additional income with the freedom retirement provides.¹²

For many retirees in Portland, Oregon and Vancouver, Washington, working part-time isn’t a sign that retirement planning failed. Instead, it’s becoming an intentional lifestyle choicRetirement Looks Different Than It Used To

Today’s retirees are redefining what retirement means.

In fact, research from the Pew Research Center found that 45% of older adults who continue working still consider themselves retired.³

That may sound surprising, but it reflects a changing mindset.

Retirement no longer means permanently leaving the workforce. Instead, many retirees are choosing work on their own terms through consulting, seasonal employment, teaching, small businesses, or a few shifts each week doing something they genuinely enjoy.

 

Financial Flexibility Matters More Than Ever

Although purpose is often the biggest motivator, finances still play an important role.

Across the Portland-Vancouver metropolitan area, retirees continue to face increasing costs for groceries, homeowners insurance, healthcare, utilities, travel, and home maintenance.

Taxes can also affect retirement cash flow.

For retirees living in Portland, withdrawals from traditional IRAs, 401(k)s, and many pension plans are generally subject to Oregon state income tax. Oregon does not tax Social Security benefits, but retirement account withdrawals can increase taxable income depending on an individual’s financial situation.⁴⁵

Retirees living just across the Columbia River in Vancouver generally benefit from Washington’s lack of a traditional state personal income tax, meaning retirement account withdrawals are typically not subject to state income tax.⁶

Higher-income retirees living in Multnomah County may also be subject to the Preschool for All Personal Income Tax, making thoughtful retirement income planning even more important.⁷

These differences don’t necessarily mean one side of the river is better than the other. They simply highlight why retirement income planning should be personalized.

 

Retirement Isn’t Just About Money

Perhaps the biggest surprise many retirees experience has nothing to do with finances.

It’s the loss of purpose.

After decades spent solving problems, mentoring coworkers, leading teams, and serving clients, retirement can leave an unexpected void.

Many retirees discover they miss:

• Having a routine
• Feeling productive
• Being challenged intellectually
• Interacting with people
• Contributing to something meaningful

For many, part-time work restores these experiences while still allowing them to enjoy the freedom retirement offers.

 

Staying Social Can Improve Overall Well-Being

Part-time work also creates opportunities to stay socially engaged.

Whether it’s helping at a local golf course, working at a winery in the Willamette Valley, consulting within a former profession, or supporting a favorite nonprofit, many retirees value the relationships they build just as much as the paycheck.

Research increasingly shows that maintaining social connections and staying mentally engaged are important contributors to healthy aging and overall quality of life.⁸

 

Extra Income Can Create More Freedom

Many retirees aren’t working because they have to.

They’re working because they enjoy the flexibility additional income provides.

Part-time earnings may help fund:

• Travel throughout the Pacific Northwest
• Golf memberships
• Home improvement projects
• Family vacations
• Visits with grandchildren
• Charitable giving
• New hobbies

Additional income may also reduce the need to withdraw larger amounts from retirement accounts during years when investment markets are volatile.

For Oregon retirees, strategically limiting withdrawals may also help manage state income taxes in certain years. Washington retirees often have additional flexibility because the state does not levy a traditional personal income tax, although federal income taxes still apply.⁴⁵⁶

 

Working Can Help Preserve Retirement Savings

Many retirees earn between $15,000 and $30,000 annually through consulting, seasonal employment, or part-time work.

That additional income may allow them to:

• Delay withdrawals from investment accounts
• Allow investments additional time to grow
• Reduce portfolio withdrawals during market downturns
• Better manage taxable retirement income
• Increase flexibility throughout retirement

Every retirement plan is different, but thoughtful planning can create more options over time.

 

Retirement Doesn’t Have to Be All or Nothing

Interestingly, retirement surveys show that approximately three out of four current workers expect to perform some type of paid work during retirement, even though not everyone ultimately does.⁹

This reflects a significant shift in how Americans view retirement.

Rather than an abrupt ending, many now see retirement as a gradual transition.

References

1. 1. 1. U.S. Bureau of Labor Statistics. (2025). Employment and labor force participation among older Americans.
      2. U.S. Bureau of Labor Statistics. (2025). 38.3 percent of employed older Americans worked part time in 2024.
      3. Pew Research Center. (2023). The growth of the older workforce.
      4. Oregon Department of Revenue. (n.d.). Personal income tax.
      5. Oregon Department of Revenue. (n.d.). Publication OR-17: Oregon individual income tax guide.
      6. Washington State Department of Revenue. (n.d.). Individuals and families.
      7. Multnomah County. (n.d.). Preschool for All Personal Income Tax.
      8. National Institute on Aging. (n.d.). Social isolation, loneliness, and healthy aging.
      9. Employee Benefit Research Institute. (2025). 2025 Retirement Confidence Survey.

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