The truth, however, is that your retirement budget is not something that limits spending, but may stretch it further; it is a way to ensure your money lasts longer and keeps it safe until you need it.
The most controllable part of any budget is spending. Do you know where your money is going? There’s a simple way to find out: make a list!
Creating a list of monthly expenditures is a great way to get a bird’s-eye view of how much of your money is going to one place or another. More often than not, this allows people to trim spending and make adjustments. This simple, step-by-step guide will help you design a retirement budget.
Plan for the Worst
Some things are out of your control. Unforeseen circumstances can put a strain on the wallet, but they don’t always have to. Preparing for the unknown is a trick many successful retirement planners utilize. Healthcare costs, unexpected bills, and new opportunities may not have a dollar amount attached to them today, but by putting away a bit of money each month, you can be ready for whatever comes tomorrow. If you’d like some more examples of things to save for, U.S. News has a list of potential bills.
There are many resources that can keep you up to date with the latest deals, special offers, and sales you may wish to take advantage of. Whether you’re looking for a discount on pair of movie tickets for you and a friend or a deal on a romantic getaway with that special someone, taking advantage of these brief bargains can keep both your purse and your days a little more full. Need a place to start? AARP’s website is one of many Internet resources that offers numerous deals and even more information on budget planning and saving.
Budgeting can help you track your money, save it for when you need it, and spend it on the things you want. It’s not about spending less, it’s about spending wisely.