In order to make your money last in retirement, it’s important to balance money going out with income coming in. Many retirees need to go back to budgeting basics to avoid running out of cash every month. These money-saving tips will help you save money and develop better money habits in retirement.
- Take advantage of senior discounts – Restaurants, retailers, car washes, gym memberships–you name it. It’s helpful to know how many places offer discounts for seniors. Be sure to ask about available discounts next time you’re checking out.
- Price shop – Adjusting your shopping habits is a smart strategy for sticking to your budget. Price shopping is easier when you have the time to do so. Try shopping online for the necessities and enter promo codes to save even more. Many retirees look forward to traveling. Travel deal websites offer savings on travel packages to popular destinations.
- Cook at home – As restaurant prices rise, going out to eat is becoming more and more expensive. Cooking at home will help decrease your monthly food costs. Did you know cooking has therapeutic benefits as well?
- Don’t forget about taxes – You’ve stayed on budget and continued to save all year. Nothing bursts a bubble quite like paying taxes, especially if you haven’t planned for it. If you’re receiving Social Security as well as IRA or 401K distributions, you could have a higher taxable income than you thought.
- Turn a hobby into a part-time job – Many hobbies can be more than a way to spend your time. If you’re already going to Home Depot every weekend to fix up your house, you might have the skills to take on a real estate investment. Equally as lucrative, an interior design hobby can turn into a part-time job at your favorite design shop.
Even though you should embrace the retirement lifestyle you want, make sure you continue to save and build wealth. Get on the right track by setting up a meeting with a financial partner at Sterling Advisor Group. For more information on managing your money in retirement, contact us today at (480) 729-8000.