Needless to say, most of us who have already retired or are approaching retirement are pretty concerned about the quality of life we’ll be able to afford as we grow older. Our priorities are changing and so is our situation. Still, there are some things we can do and avoid in order to improve our financial situation.
Seek assistance if unsure
Hiring a financial advisor with credentials for advising seniors could be a sound investment. If you haven’t made a spending plan already, now’s the time. An expert should be able to give you good advice about possible investments, withdrawals or re-allocation of your funds.
Don’t let your spouse make financial decisions alone
In case you’ve had complete trust in their ability to manage money so far, now is the right time to reconsider that practice. The reasons are very practical and don’t have to mean you no longer love or respect them. To begin with, what happens if the main money manager becomes incapacitated or dies? A similar and almost equally stressful situation is a divorce. Do you know that there were 25,000 people filing for divorce in Oregon last year alone? You can’t be left in the dark when it comes to financial obligations.
You might find it much more attractive to have someone else in charge of all problems with your home and installations. As we grow older, it becomes increasingly difficult to take care of so many things and there’s no shame in asking for. Naturally, this decision depends on your particular situation, but all options should be given due consideration.
Watch out for scams and cons
It’s a well-known fact that the elderly are a favorite prey of con artists. Promises of quick and big profits which sound too good to be true usually are. Consult a friend, family member or your financial advisor before making any decisions. Also, it’s not a bad idea to check out some estate planning documents and make your basic estate plan.
Limit the number of your subscriptions
Some of us tend to subscribe to all sorts of services or product deliveries, especially since the internet makes it so easy. Such subscriptions add up and your financial situation could very well deteriorate.
Don’t be without an emergency fund
This is a sensible idea regardless of our age, but becomes particularly important in our senior years. Medical emergencies, illnesses, need for special care and many other common situations among the elderly become a more realistic scenario.
Don’t be without goals
Again, no matter how old we are or how much we make, we should always have attainable goals before us when it comes to finances. If you have a spouse or share finances with someone else, make sure both (or all, for that matter) of them agree with the goals and are ready to work towards achieving them.
Travel, but don’t forget the bills
Sometimes, people go on a well-deserved holiday or long-awaited trip and forget about their bills. In order to prevent damage to your credit report and additional fees, you may arrange automatic payment with your bank or service provider.
Don’t waste energy
If you live in a very hot or cold climate, make sure you don’t overuse energy for heating or cooling your house when you’re away. A dripping tap is not only annoying, but can increase your utility bill significantly if not fixed. Adjust your water heater to suit your actual needs. It shouldn’t heat water when you’re not at home.
Of course, there are many more tips when it comes to financial well-being of senior citizens. Most of them are based on using common sense and adjusting to the changing needs and goals. Needless to say, like in many other aspects of life, the key is to strike a balance between what you need or wish and what you can have.