Community Chat

[DiAnne]

I worked a couple of years past full retirement age partly because I loved my job.  I took SS at full retirement and just banked it for a few years.  Purchased a new car with the SS when I actually retired.  I live in a paid for house and I have not cut any expenses except I used to buy books and now I use the public library.  I eat out often, go to movies/plays, etc.  I am lucky that I have a lot of interests so I am not just sitting around watching TV.  I take yoga classes, walk with friends, volunteer, love to garden/go to lectures, love to cook/take cooking classes, fashion shows, etc.  I have a very busy life and I love it.  

I agree with other people here.  Maybe you should invest some money talking to a financial expert because not buying stamps or cancelling magazine subscriptions is not going to cut it.  

[Mominohio]

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@FrostyBabe1 wrote:

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@SeaMaiden wrote:

@AngelPuppy1  My husband and I are both 63.  My husband retired from his job of 35 years June 2017.  I retired in 2013 do to health related issues. 

We we went to a financial planner when my husband decided to accept from his a voluntary layoff with the company company with a bunch of bonuses$$$  and perks thrown in . It basically comes down to  voluntary retirement.

we have medical and dental for life... we have our 401K AND a pension plan....with payouts.

We also had saved about liquid $100,000 cash  have a  good amount ofstock in the company....and we payed off our home in 2016.  No credit card debt. No debt at all.

Even with all of this, we just live comfortably.....nothing fancy...pay all the bills BUT WE HAVE NO WORRIES about running out of money over the next 25 years.   That is the way I want retirement to be.

Our financial planner gave us the green light to go ahead.  If you think just cutting out a $10 subscription will help you..... or stopping Sirius radio will help you then you need to rethink retiring....  that is not a good plan.  

Did you talk to someone to layout the road ahead?  

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I have to say that I agree with this 1000%. Retirement is something that needs to be planned for years in advance in order to enjoy it and be financially sound. If you don't want that $10 subscription or Sirrius radio, then fine, drop it. If you're so strapped for funds that you NEED to do it, then you're not financially ready to retire because it's really not going to make a difference. 

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I have to point out that not everyone gets the luxury of a lot of advanced planning and extreme saving for retirement due to life circumstances but still need to/want to retire at some point. 

Whether one is well set for the occasion or is going to have to watch their pennies, cutting these little things like this can add up to hundreds of dollars a month for some people, and be quite significant in the ability to not have to work when they don't want to. 

Yes, the big things need planned out years in advance, but so many of us who have two income households, or who have made good money, have no idea how, as the years pass, that retirement income won't buy what you think it will 

Many of the elders in my family actually were retired for as many or more years than they worked. Many were retired for well over 30 years before they passed. When they started retirement, both had pensions, both had SS, health insurance along with their medicare, savings, and homes paid for. 

Near the end of life, they were feeling the pinch a bit, as their retirement didn't grow the way their wages had during their working years. Ever increasing costs can become burdensome.

And I think when we are working for decades on end, especially after our kids are raised and gone, we tend to spoil ourselves a bit, with spending on treats and luxuries and things we don't really need (magazines, coffee house stops every day, more shoes, purses, dishes, jewelry or some other passion we have), spend more on them than we really need to, but feel we have earned through years of sacrifice. Much of that splurging probably should come to a stop, or those funds redirected after retirement to make better financial sense. 

I truly don't think most people realize how much money they spend 'unnecessarily' in a year's time. Defining unnecessary will be different for everyone, but most of us have plenty of spending in that category, and some people (maybe even many or most) will need to address that kind of spending upon retirement. None of the elders in my family were able to retire, then do major home renovations, take annual trips abroad or many of the things some people are able to do after retirement. 

Some folks do need to be very mindful of the little things to be comfortable financially.

[Mominohio]

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@RedTop wrote:

Job closure forced my husband into retirement in 2010, and from there into full disability.   Due to his progressive health issues, I trusted my prayers, and my heart, and walked away from my job at the end of 2012.   There were no discussions with a financial planner; we did what we had to do.   The last year I worked, I saw 8 members of my hospital family lose spouses, 6-18 months before their projected retirement.   I was determined to have time with my husband and enjoy the life we built.   I have no regrets.

My husband and I started out with nothing but love, and determination.   I’m not just frugal, I’m cheap, and proud of it.  We paid our mortgage off 27 years ago, and spent our 40’s updating the house to make sure it was accessible for us as we age.   We still need 2 vehicles and bought new ones after retirement; paid cash for one, and paid the other off in a year.   I just hit 24,000 miles on my 5 year old Highlander, so I don’t go that much.   TV and internet are our entertainment.   Our daughters carry us on their cell plans for a total cost of $125 a month.  

I cook 95% of our food from scratch, as we prefer home cooked meals over any type of restaurant food.   We don’t eat fancy.   I stock a deep pantry and have 3 refrigerators and a freezer.   I make my trips to the grocery store count.   Right now I am stocking for winter, and will avoid shopping from right before Christmas into March when flu season is at its worst.   It’s just what works for me. 

I was sooo ready to stay home, and still love every minute of retirement.  I am never bored.   My husband however had a difficult time adjusting to no daily schedule, and being home all the time.   Twice a week he meets several friends for coffee, and he visits often with his best friend from work, which has helped him adjust to, and appreciate retirement.   

If retirement is what you really want, you will make it work.   

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@RedTop

I so agree with your last statement. 

So many people have very little to 'plan' with or life throws them curves and takes what planning and throws it to the wind. 

But if one really wants to be retired, or really needs to be, there are so many ways to make it work. 

First, one might have to be adaptable. Things might have to go that you always thought you would have (like two cars). Other things you always thought were important or 'necessary' may not seem to be so anymore, when faced with what it would take to pay for them. 

I have always thought humans are quite adaptable. But it seems these days, fewer people are, because the don't want to be. 

Some people can 'have it all' through luck or hard work or both. Most can't. It seems people's expectations just keep increasing, even about retirement. 

[Bird mama]

Hello @AngelPuppy1  I retired in March of this year. 

When my husband died in 2007 I started making additional principal payments on the house.  We were only 6 years into the 30 year mortgage at that time and I was having recurring nightmares about losing the house.  If only my dreams had been that up front and direct - I had to deduce what my dreams were telling me   I was primary on the house when we bought it, he was secondary (retired already).  I had a great paying job however once I started making additional payments on the mortgage the dreams went away.  I also got rid of all credit card debt.

Around 2012 (the year I turned 50) I started flirting with the idea of retirement.  I live a simple and quiet life so controlling my 'wants' comes easy to me.  I knew there was no way I would be able to retire with the mortgage.  So I refied for 15 years (versus 30) at a reduced interest rate and declared war on that mortgage   

My house was paid off in June 2017.  I had also set a dollar amount in my mind that I wanted to have in savings when I retired.  So, I declared war on my savings and threw all of the money I used to pay for the house with extra principal into my savings.  I actually ended up with more than I planned.

Regarding clothing - JCP is like family to me.  That store has clothed me since 1981.  It wasn't too hard to cut back on clothing purchases after I retired because I can't stand dressing for spring/summer.  Autumn/winter clothing is my weakness.  Lucky for me, I was already getting out of the habit of regular shopping (since April) so I haven't been spazzing too badly.  Shoes have always been my weakness however when I see something that interests me, I look at all of the shoes I have and ask myself how much more I will wear the new pair compared to the others I have (and don't wear as often).  That usually ends that.

I did buy a new car last October.  I put alot down and took advantage of 4 years financing at 0%.  Gets me a cheap car payment and helps the FICO which was impacted by not having a mortgage.  They lie and say paying off your house won't drop the FICO - it does.

I would like to add at this point that it was not just one thing that hit my last nerve one day when I said THAT'S IT, I CAN TAKE IT ANYMORE.

For me, it was more of a knowing.  Actually at the divisional/company team building event last year I wasn't going to go to the afternoon event on Belle Isle (cookout and DJ).  The night before a feeling washed over me that it would be my last one - so I went.  It was just a knowing that it was a change of season for me if that makes any sense.

[SouthernBee]

 @Mominohio: We  are in our mid 60’s and have a few friends that say they have out lived their retirement income or inheritance. We have redirected our spending. We have cut our Christmas gift spending by 3/4. Instead of exchanging gifts we have friends over during the holidays for brunch or lunch and include activities like board games, singing, crafts because we wanted everyone included but notice some could no loner afford to bring food or gifts. I always have baskets by the door filled with treats for our friends, like cookies, candy, necessities from the dollar store like batteries, candles, small tool kits. The New Years Eve treats include baskets for each family that include bag of 15 Bean Soup Mix, small bag or box of corn bread mix and muffin mix , hot chocolate, tea and coffee- they really look forward to the treats and bring the baskets or boxes for refills each year. Our house was paid for but two years ago we decided to remodel our small kitchen, enclose and enlarge our patio area to have a larger family room for entertaining and it has not been difficult to make that payment. We are having fun and enjoying life. Southern Bee 

[151949]

We just in the past few months had to get a new hot water heater and a new AC.We are talking $7000 here.Lucky we had money in our savings and we had money from selling our camper. Lately our fridsge is making weird noises so it's probably going home as well. You can't retire without a resource for where you'll get money for important stuff like this when it happens.You can't keep hitting on your IRA or pretty soon your IRA will no longer exist.

[Bird mama]

@SouthernBee  That's beautiful 

[homedecor1]

@AngelPuppy1

my only advice is to look at your financial picture in whole.  Quite frankly, saving on a magazine subscription, sirius radio, etc. would made me think you haven't look at the full financial situation.

I will admit I did not want to move (or downsize) but spouse had other plans for us to live "comfortably" and paying $11,000/year in property taxes, etc. was ridiculous.  The greatest advantage we have both of us have fully paid medical, dental, eyecare through our retirement.  He has Medicare which he receives reimbursement from his employer (as will I when I become eligible).  (This is a tremendous savings not paying for medical coverage.  We are extremely fortunate)

We sold our home -- rented for 2 years & bought a home.  I did not want to change my lifestyle & I have to say -- I haven't had too!  

I retired early to make the move 🙄☹️and he retired 6 years before me.  it's a hard adjustment as I did like my job but I certainly enjoy spending m

y days how I'd like too.

And, we are complete opposites -- he does his thing and I'm happy for his golf as being together 24/7 we both realized we don't have much in common...guess all those years of shift work we never had many hours together.

Good luck 

Edited:  One big thing to consider is those "emergency" things or those that aren't planned.  This past few years we've had big $$$ expenditures, ie, roof, a/c unit, windows, new flooring, kitchen, etc. -- we knew when we bought this house these were big $$ things.  We have a fund we don't touch except for these things.

Last month, water heater & softener system decided to "die". Thankful we had the $$ in our fund. 

We are presently updating all the old plumbing while remodeling bathrooms.  

[meem120]

I retired first, then my husband 3 years later. I was use to being alone in the house when he retired it was an adjustment. We were fine in the summer but the winter was long. He likes all those mountain men shoes etc me not so much. I love movies especially old ones. So........ I turned our 3 rd bedroom  into my room.  I have a tv and loveseat and have all my knitting and crafts right there. It’s  a great idea and we both get to enjoy what we want 

[puttypiesmom]

@AngelPuppy1 

We talk retirement all the time even though it's a good 5 years away and one of the most frightening things is knowing that we will both have to stop buying stuff.  We both love to shop but will curtail it eventually to have a great retirement.  Who knows what pitfalls may come our way and we want to be prepared for anything whether it's a new costly appliance that is needed or unforeseen repairs to the home.  We're looking pretty good financial-wise but there's aways room for improvement - always something that needs to be optimized.