You’ve worked and saved, and now, it’s finally time to stop working and buy that beach house, right? If you’re like many Americans, you might be trying to figure out how to live in retirement with no money besides Social Security income, or maybe you’re too nervous to make big purchases for fear of running out of funds early. Never fear! There are plenty of ways to save money in retirement, from tiny lifestyle changes to smart investments. If you want to be retired and thrifty but also want to have fun, our retirement savings tips can help you spend wisely and have a blast during your “twilight years.”
Think of it this way: If you’ve already saved and retired, you’re already doing great! If you were one of the unlucky ones, you’d be saying, “I want to retire but have no money.” Trying to figure out how to retire with no money saved is a lot more difficult that having just a bit saved up. But even if the situation gets dire, saving after retirement isn’t impossible, even while on a fixed income. There are great ways for seniors to save money out there once you know where to look!
If you’re wondering how to save money after retirement, we’ve listed several strategies: budgeting wisely, getting a side gig or part-time job, saving with senior discounts and memberships, and avoiding spending the funds you have unnecessarily.
Creating A Post-Retirement Budget
At this point in your life, you’ve probably figured out how to create a budget. On the other hand, budgeting for retirement has a few tricky factors to consider, with a fixed income being the primary source of potential problems. You can’t rely on bonuses, raises, or changes in salary like you could while you were working. On the other hand, having consistent funds means you can plan consistently. Let’s talk about some of the most important financial lingo.
Taking Simple Side Gigs and Senior-Friendly Jobs
Let’s say you’re not lucky enough to have extra money hiding around. If you’re one of the many Americans who haven’t had the chance to save enough, you may ask yourself, “How can I make money in retirement?” When people find themselves cutting down on their budgets as much as possible, sometimes, the only option is to earn more.
Going back to work full-time isn’t really the best way to make money in retirement. Most people will start a part-time job or side gig instead to help them make connections with new people while earning a little bit. And there are plenty of productive things to do at home that can help you earn as well.
Important Senior Memberships and Clubs
You can create a budget, invest, and try to earn while you’re a retiree, but you can also cut back a lot on spending in really creative ways. Groups like the AARP provide many of the senior discounts and deals you’re looking for!
And for retirees, connecting with other seniors is critical. Social activity is scientifically related to potential longevity, so it’s important to explore groups in your area that can provide friendship as well as potential financial benefits.
Being Wary of Scams Targeting Retired and Elderly People
One of the most obvious ways to save money is to avoid having it stolen! Unfortunately, there are plenty of senior fraud cases and scams that target the elderly, and they’re updating their tactics every day. Here are a few tips.
- “This Is the IRS” – Scams targeting the elderly may pretend to be IRS officials and demand payment now. The IRS will never call you to demand immediate payment without having first contacted you via the U.S. Postal Service and given you several opportunities to appeal. They will never accept debit or credit card payment over the phone, either. Contact 800-366-4484 if you think someone is posing as the IRS. If you think you actually do owe taxes, call 800-829-1040.
- Counterfeit Prescription Drugs, Medicare Posers, and Health Insurance Scams – You don’t have to pay for your new Medicare card, and you should make sure that you have the correct information on real companies before signing up for special health-care programs. Avoid buying prescription drugs online.
- Impostor Charities – It’s shameful that there’s usually a rise in these types of senior scams after natural disasters, but it’s true. Make sure that the website is authentic, and avoid paying over the phone. Google the charity and make sure it’s been approved by the Better Business Bureau.
- False Relative Injuries and Crashes – This is one of the worst and most common financial scams targeting the elderly. Sometimes scammers will call and tell you about a son, daughter, or grandchild who’s in trouble and needs money right now, using this lie to con you.