One of the biggest concerns for those nearing retirement is whether their savings will last throughout their golden years. There are a number of factors that can contribute to this worry, including rising healthcare costs, unexpected expenses, and inflation. According to AARP, there are some common ways that retirees overspend in retirement, which can put a strain on their savings.
- Spending a lot early on in retirement — It can be tempting to want to travel and take advantage of your newfound freedom when you first retire. However, this can deplete your savings quickly if you’re not careful.
- Not tracking your spending — It’s important to keep tabs on where your money is going in retirement. This will help you to identify any areas where you may be overspending.
- Not having a budget — A budget can be a helpful tool in retirement, as it can help you to see where your money is going and make adjustments accordingly.
- Overspending on hobbies — Hobbies can be a great way to enjoy your retirement, but it’s important not to go overboard. If you find that your hobby is costing you more than you can afford, it may be time to scale back.
At The Seniors Center, we want to see seniors enjoy their retirement years to the fullest. Talking with a financial advisor can help you to create a retirement plan that will work for you and make sure your savings last. Learn more about the future of Social Security and how The Seniors Center is calling for change today—and be sure to follow us on Twitter and Facebook for more.