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How to make your retirement money last

How to make your retirement money last

January 10, 2017
retirement money
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We tend to believe that, once we reach retirement, we can just relax and live a completely worry-free life. But that is rarely the case. Retirement can last 20 or 30 years, or even longer than that. With no more pay checks coming in, you can be sure that the family income will drop. But your expenses won’t stop growing. You’ll still have to take care of your home, of your car, of your health. You’ll still have to spend money on food and clothes. And there could also be debt to think of. So, what do you do? How do you make your retirement money last? Here are five easy ways that you might want to take into consideration.

Try downsizing

“Downsizing” is not a word many people like to think of, since we tend to associate it with trouble. You usually downsize when you’re in financial difficulty. But that doesn’t have to always be the case.

When you reach retirement, you may find out that your house is too big. The kids are out now, and you’re alone, with your spouse. So why not downsize? It’s not like you need to live in a large home. Sell it and buy a smaller one, maybe in a warmer climate. You’ll have a new home, which better suits your needs and you’ll also be left with some extra cash. Not to mention that you’ll save a lot of money on home maintenance. And all of this thanks to your decision to downsize.

Stay healthy

Healthcare costs have skyrocketed in recent years. If you’re not careful and if you don’t have the necessary insurance, one accident is enough not only to hurt you physically, but financially as well. That’s why it’s so important to stay healthy. Eat healthy food, exercise, see your doctor on a regular basis and don’t forget to take your medication. Also, don’t be cheap on insurance. It can save both your life and your finances.

Additionally, don’t forget that getting prescriptions for generic drugs instead of brand name ones, joining drug discount clubs and shopping around for your healthcare, are all great ways to reduce your medical expenses.

Senior discounts are there for you

Seniors get a huge range of discounts for everything from vacations, to food, clothes, insurance premiums and more. All you need to do is to find these deals. So don’t be afraid to ask next time you’re out shopping for insurance or clothes. Most shops offer these discounts, although they may not advertise it.

Don’t forget that the internet is also your friend. There are a lot of websites out there that can help you find the best deals for you.

Don’t rush to collect social security

Seniors have one “superpower” that other citizens don’t. They have a lot of time on their hands. They don’t need to rush.

So you don’t need to rush to collect your Social Security either. The more you wait to collect it, beyond your retirement age, the more you’ll get in the long run.

 

Gary Morgan

Gary Morgan is a Britain transplant. Finance background, enjoys tea, politics and soccer (or football for everyone across the pond). Get in touch with him via email

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