There no doubt about it: there are a lot of great things about being retired. There’s nothing quite like having the freedom to do what you want when you want, but no longer having employment income can be challenging for many. A fixed income can be limiting which is why we’ve outlined a few tips for helping you make the most of every dollar.
Create or Update Your Budget
One of the most important things you can do to help make your retirement finances more secure is to form, and stick to, a budget. In some cases, you may have ways to generate additional income, but even then, if you don’t budget your money correctly, it can be easy to dig yourself into a hole. The cost of living and major expenses can change with time, so your budget should be updated accordingly.
Avoid Taking on New Debt
There are plenty of banks and credit unions promoting products that promise to help ease financial pressures for retirees. Although reverse mortgages might be the right choice in some cases, we recommend seeking the advice of a trusted financial advisor before tapping into the equity of your home. If you’re facing any debt going into retirement, the time to start getting it paid down is now. Eliminating as much debt as possible as soon as you can is crucial when it comes to enjoying the later years of your life.
Enjoy Senior Discounts Often
If there is one sweet perk to getting older, it is the ease with which you can find discounts. There are literally thousands of organizations that are offering ways for you to save a few bucks as you get older. These savings can add up to a great deal over the course of a year. This is especially true for costs relating to public transit and food purchases, which can easily get out of hand even with a well-planned budget. And don’t forget to take advantage of seniors’ discounts at the movies, the art gallery and the drug store!