Got Enough to Retire?
Do you worry about having enough money for your retirement years? According to a recent survey, more than half of the people in the USA with significant savings fear going broke in retirement.
In a recent CNBC interview, Bruce McClary of the National Foundation for Credit Counseling provides some ideas for ways to live more frugally in retirement: “First, analyze your living situation. The cost of home and home-related expenses accounts for about 43% of spending for those who are 65 to 74, research shows. So to save money, it may be worth downsizing to a smaller home,” McClary says. “Less square footage and acreage eases pressure on the budget and can be less stressful to maintain. Downsizing also gives you the opportunity to earn money by selling household items you no longer need”, he says.
“Check out discounts and freebies. Some restaurants, drugstores, hotels and even house- or auto-repair services offer senior discounts. The starting age for these discounts varies between companies. Keep in mind that just because a business is offering a special deal doesn't mean it's a good company—you should still check the reviews.”
“Look for good deals on entertainment and education. Tickets to museums and live performances often come with deep discounts for seniors. Those who prefer a movie can save at the ticket counter and at the concession stand. Some entertainment discounts require an AARP membership, but others may only require valid identification. Also, review your cable bill. If you're not using all the cable channels, then consider scaling back to a more affordable cable package.”
“Evaluate automobile costs. Couples who have two cars may be able to get by with one to cut expenses. Retirement may be a good time to consider more compact, fuel-efficient vehicles,” McClary says.
Many seniors are now rethinking managing retirement expenses by continuing to work many years beyond age 65. Not only should we be prepared to trim our expenses but we should also have a steady source of income, if possible.