Consulting can serve as bridge to retirement

Rapidly evolving accounting requirements and the growing complexity of the field have fueled the demand for executive-level financial consultants. As a result, consulting has become an appealing option for an increasing number of finance and accounting professionals nearing retirement. If you are approaching the traditional retirement age but are not ready to completely stop working, becoming a consultant can be an attractive career alternative.
Consulting Benefits
Working in an interim advisory role has a number of advantages. Experienced professionals can maintain many of the benefits of full-time work, including challenging assignments, competitive compensation and intellectual stimulation, while gaining time to pursue personal interests. Other benefits include:
Flexibility. Greater latitude in working hours is one of the main reasons executives pursue project careers. Many recognize that they can enjoy more personal and professional satisfaction by controlling when and how much they work. In fact, nearly one-third (32 percent) of chief financial officers (CFOs) interviewed recently in a survey developed by Robert Half said a flexible schedule is the most attractive aspect of a career in consulting. Consultants are able to accept or decline assignments depending on their interests and current priorities.
For those nearing retirement age, project work allows the flexibility to pursue a more gradual transition. In another Robert Half survey, three-quarters of CFOs polled said they view consulting as an attractive segue into retirement.
Variety. Successful people thrive on new challenges. Consulting exposes you to a variety of work environments, positions and technologies. Working in an industry different from the one in which you spent most of your career can have a rejuvenating effect on your outlook and energy level.
Personally rewarding. The best project professionals are highly valued by client companies because, for many firms, the level of experience they possess is simply unavailable internally. Organizations appreciate the approaches to problem-solving interim professionals have acquired during their careers, which can give these individuals a sense of satisfaction at being able to add value to a business.
Key Considerations
Although consulting has many benefits, there are some clear considerations to weigh before pursuing this career path. Here are key questions to ask yourself before deciding to go out on your own:
Do you prefer stability or constant change? Life as a consultant may not be like your work life before you reached retirement age. To be successful, you must be energized working with a diverse range of clients, products and personalities. For those who prefer the predictability of working for a single employer, making the switch to project work could be difficult.
As a project professional, you’ll need to be able to adjust your work style to suit each client’s unique preferences. You’ll also have to be able to adapt well to a variety of corporate cultures, so you need to know how to navigate office politics adroitly. The best consultants are open-minded when beginning new engagements and welcome a frequent change of scenery. These shifts may be just what you’re looking for in a second career, but if you’re not sure, it’s critical to approach your next move with your eyes open.
Do you want to manage a business? This is a key consideration and one that some professionals nearing retirement age fail to think through thoroughly before engaging in the excitement of beginning a new career. If you decide to start your own consulting business, recognize that you will be assuming full management responsibility. In addition to helping companies with their financial needs, you must also take care of your own administrative issues as well as invest time in developing new business for yourself.
If you are not inclined to be a business owner, one solution could be working through a staffing firm that will perform the administrative and marketing aspects for you. These firms manage these tasks while giving you the opportunity to select engagements you most prefer.
Do you manage your time well? Another consideration when weighing the consultant option is your time-management ability. You may begin an engagement, for example, in which you assume you will take the lead in implementing a financial-systems conversion, only to discover that other staff members also have key decision-making roles, creating unanticipated delays. You’ll need to be good at understanding at the beginning what you’ll be getting into and estimating the time it will take to complete projects. If you aren’t, you’ll frustrate – and maybe even lose – clients.
Here again, working with a staffing firm can help you better judge time commitments since its representatives will have already discussed the assignment with the client with which you are placed. And the firm often has a track record of other engagements with the same company, which gives it a thorough understanding of what the client typically expects.
Consulting can be a very fulfilling professional path, but it is not for everyone. It’s essential to assess your strengths, financial situation and work-style preferences before making a change. •
Luke Howarth is vice president of the New England District for Robert Half International and oversees the Providence office. For more information and an online job search, visit www.rhi.com.