What older workers should seek in a last job

College graduates get a lot of advice this time of year about what to look for in a first job, but what should older workers seek in a last job?

Retiree health benefits, long-term care insurance, retirement-income planning advice or a robust alumni networking program might top the list, depending on your own situation, of course.

"I do hear late-career candidates talk in terms of having that last, big job in them," said John Challenger, chief executive of Challenger, Gray & Christmas Inc., an outplacement firm. "What's important to them in terms of benefits depends on how prepared they are for retirement already."

Someone looking to make up for skimpy savings might value salary over retiree medical benefits because that person will likely be working until at least Medicare eligibility anyway, for example.

How to think about your own priorities?

When negotiating the particulars of the job, think shorter term, Challenger says.

"With that last job, you want that to be more front-loaded with salary, with less pay at risk down the road," he said, unlike taking a job at midcareer or earlier, when it might make more sense to take a chance on incentive pay, such as stock options, or on big pay raises as the company grows.

On the other hand, deferring some compensation can help lower an employee's taxable income as pay gets stretched into the first year or two of retirement. If your company offers that, keep the amount of pay that is subject to performance measures to a minimum, Challenger said.

Fortune recently published a list of 30 employers with the best retirement benefits, highlighting standout firms that offer retiree health benefits, long-term care insurance and 401(k) matching funds. The magazine also highlighted employers who offer phased retirement programs, allowing older workers to downshift into part-time positions before full retirement.

As with many of these lists, the top workplaces offer an embarrassment of rich benefits compared with the grim reality that many millions of workers don't have access to even a company match on contributed 401(k) funds.

But if it's your last rodeo, at least be sure to explore how your new company stacks up in the areas that mean the most to you:

Retiree health

Don't hold your breath for company-subsidized health insurance if you plan to retire before Medicare eligibility. Even on the Fortune list, seven of the 30 companies don't offer it, and very few other employers do. So if you're thinking this last job will end in early retirement, be aware and realize it may be easier to negotiate higher pay than these disappearing benefits.

Among the exceptions is Milwaukee-based financial services firm Robert W. Baird, which still offers pre-Medicare retiree health, as well as subsidized long-term care insurance, profit-sharing and phased retirement programs, among other benefits.

Phased retirement

Jan Whittaker, an operations administrative specialist at Baird who is retiring this summer after a 47-year career, will take advantage of another retiree program, coming back as a fill-in worker occasionally. Recently, she took in a company webinar on how to make the best Medicare choices.

"I knew I needed to feel confident in my decision to retire, and the company has a wealth of information available," she said.

More employers are offering web-based retirement planning education, said Derek Cushman, U.S. financial wellness solutions leader for Mercer. And the benefits consulting firm is expected to launch more personalized financial guidance shortly, he said.

Second-career building

Retirees hoping to downshift into a second career after their last big job should look for opportunities to mentor — and be mentored by their younger colleagues, who can teach them new skills, experts said.

At Intuitive Research and Technology Corp. in Huntsville, Ala., No. 1 on the Fortune list, soon-to-be retirees are matched with teams of younger workers to share specific skills. That kind of leadership and teaching can translate nicely to second careers in retirement.

Along the same lines, look for a job with a clear mission.

When she was interviewing at Intuitive Research a decade ago, Juanita Phillips, director of human resources, was drawn to what she called the integrity of top management at the engineering contractor, which has since led to a long track record of careful hiring and no layoffs.

"I don't know of another government contractor that has grown like we have without layoffs," she said. For a human resources executive, that's a pretty good talking point.

Janet Kidd Stewart writes for Tribune Content Agency.