Although you might be retired and enjoying the fruits of your life of labour, you could still get yourself into financial trouble if you’re not careful.
With a less hectic schedule on their hands, older people do have a tendency to spend more money on ways to fill up their time.
It wouldn’t be too much of a stretch to say that seniors should actually make more of an effort to keep a handle on their spending than the younger folks.
Here’s five things you could do that would be helpful in this regard:
- Find Senior Discounts
You would be shocked at how many things you can get at a discounted price once you reach a certain age.
Transportation is cheaper, and in some places you can get free travel on public transportation. And almost any form of entertainment is going to come discounted too.
Going to the movies, visiting a museum or a national park, there will be a senior rate for all of these things.
And that’s barely scratching the surface. For every purchase that you make, contact the business behind it and see if there’s a discount.
Not everywhere will offer one but it never hurts to check, and you’ll find yourself spending less overall.
- Consider Altering Your Living Arrangements
For a lot of older people, maintaining at least some of their independence is a priority. They don’t want to feel like they’re relying on others to live their lives.
This is entirely understandable, but you should definitely think about the cost of your living arrangements and consider the idea of altering them to cut down your spending.
Living in your own home is probably going to be more expensive than a retirement community, especially if you live alone.
And while you might be wary of the idea of a retirement community, it’s not the same as assisted living or some kind of nursing home.
You will just be living on a premises with many other retirees and several medical professionals, but your independence will be in tact and you’ll be free to come and go as you please.
You just need to make sure that you find the right place and make sure that it’s one that actually is a less expensive way of life for you.
- Set Up Fraud Safeguards
Older people are generally more susceptible to financial fraud. They’re considered easy targets by a lot of scammers.
When you’re older your brain becomes less capable of detecting fraud. It starts to shrink and this makes you less likely to pick up on questionable business.
The best way to get around this is to build up some safeguards here. Set up a system with any account you have to ensure that you will be contacted if out of the ordinary spending occurs.
And give access to these accounts to loved ones that you trust too so that they can keep an eye on where your money is going.
- Enlist a Financial Advisor
In a similar vein to the last point, you should prepare yourself for the possibility of cognitive decline and seek help with your finances.
Unfortunately, it’s just a fact of life that all of us will experience cognitive decline to some degree as we age.
Taking care of your finances can become frustrating and difficult when your brain isn’t up to the task anymore.
It will take a weight off your mind and reduce stress if you just delegate a lot of that responsibility to someone else.
Find a professional financial advisor who will keep your accounts in order for you. You can still do as much as you can but you’ll have the security of the advisor to fix any mistakes you make.
While I’ve talked a lot about how you can keep your spending under control and avoid potential scams, there’s no reason why you can’t continue to earn after you’ve retired.
You could always find a part-time job of course, but if you’re not capable of that you could look into investing.
This is a good way to let a stash of money build-up with very little action taken on your part. You could also invest in stocks that offer dividends.
The companies behind these stocks give their investors a share of the profits so you can ensure an income. Check out this list from Sure Dividend to find the best stocks with this service.
Again, it might be wise to let a financial advisor cover most of the intricacies of this, but regardless it is definitely worth it to look into investing.
This guest post was graciously provided by Valery Dem, from Almighty Post.