More and more people are retiring with insufficient savings for them to lead a comfortable life. As per the Northwestern Mutual, almost 20% of Americans have 0 savings for their retirement. The Government Accountability Office (GAO) states that around 30% of households aged 55 and older have neither retirement savings nor a pension. These numbers may seem pretty shocking, but it’s also a reminder that it’s never too late to start saving, even if you are retired. Here are five money-saving tips to keep in mind to save some money even in your retirement.
Get out Of Retirement
Returning to your previous job may not be the most feasible option for you, but there are still a number of work options available. You can get a part-time job in a small retail or hospitality company. If you have a knack for arts and crafts, you can start selling your artwork (you can even sell it over the internet). You can also work with a temp agency which can get you short-term work every now and then or as per your requirement. You can then turn your earnings into savings.
If you own a house or a property or have investments, you can consider the option of reverse mortgage. This loan is borrowed against the value of your house. You will get the whole amount in bulk and then you can line up your fixed monthly expenses.
You can start sharing your living space with a roommate. Not only will you enjoy the companionship, but it also lowers your cost of living and an extra pair of hands will come in handy with the household chores. It will mean less space for you to take care of.
Move to A Cheaper Place
You could potentially save tens of thousands of dollars a year in the cost of living by moving to a new state, city or even country.
In old age, you might want to make less risky investments than when you were young and first started working. But you should still consider investing. You can get larger returns in investment if you invest in stocks, compared to waiting for your savings account to grow (mature). Once you reach the age of 50, you should take advantage of catch-up contributions to IRAs and 401(k)s.