Say goodbye to second cars, warehouse stores and other no-longer-necessary expenses
Retirement is a time to rethink some things: how we fill our hours and days, what we do for fun and fulfillment. And, maybe, all that stuff we’ve been spending money on for years.
You may have needed that stuff back then, for family or work. But you’re not going to the office anymore, and the kids have moved out (probably). Now is the time to take a hard look at some of the goods and services you buy and decide which ones you really need (or which ones have cheaper alternatives). Here are 10 things to consider culling from your retirement budget.
1. New clothes and accessories
If you were a white-collar worker, it’s a good bet your closets and dressers are packed with office attire collected over decades. You hardly need this stuff anymore, let alone more of it.
If you do want to supplement your wardrobe, smart-shopping expert Trae Bodge recommends skipping boutiques and department stores in favor of second-hand shops. To save even more, she says, “shop your closet” — it’s probably full of clothes you rarely or never wear that can feel new when you dig them out.
Bodge does something like this twice a year, seasonally switching out clothes from her closet. “Inevitably, I find things I forgot about,” she says. “I can hide some from myself one winter and feel like I have a new wardrobe the next winter.”
2. Pricey gifts
Buying birthday and holiday gifts for your grandchildren may give you as much pleasure as it gives them, and we’re not suggesting you stop. But retirement might be a “time to dial that way back,” says Bodge.
Consider being a little less lavish in your giving, especially as the grandkids get older and it gets harder to know what to get them. Rather than buying something expensive that might fall flat, Bodge recommends giving gift cards or a modest amount of cash so they can get what they want.
Such giving doesn’t have to be generic. Shopping sites such as Gift Card Granny, PerfectGift.com and Giftcards.com let you create personalized gift cards adorned with a memorable photo—perhaps one from a vacation you took with your grandchild—and a brief message.
3. Collectibles
Many retirees have amassed collections from once-keen hobbies that now sit around taking up space. How much time do you spend cataloging those rare coins, rearranging the Hummel figurines or playing with your toy trains? Do you really need any more of them?
Let retirement be a time to stop expanding your collection and start looking for its future home. For example, Bodge’s father, an avid collector of jazz books and records, plans to donate his collection to a local library after he dies.
