You’re finally retired and free of the commitment of a full-time job, but now what do you do?
Have you decided yet if you want to stay at the same residence? Or, have you considered downsizing to a lower maintenance home? Maybe you enjoy warm weather – have you thought about heading south for the winter? Or perhaps weather doesn’t matter, and you want to be as close as possible to grandchildren. Take some time to figure out what is most important to you during this phase of life and consider the impact on your finances.
You have a lot more time on your hands these days. This can be freeing for some people, and troublesome for others. If your identity has been strongly tied to your work life over the years, it may be a tougher transition. To ease the transition, consider your passions, hobbies, and personality. Do you like creating art, but never had the time to enjoy it before? Try a painting class. Or maybe you love to play cards – there are various card groups that meet on a regular basis. Exercising with a friend or through a class can be a great way to stay healthy and active, too. Volunteering can be a very rewarding experience as well. Volunteers are often needed at nonprofit organizations. You may even want to volunteer to watch your grandchildren a couple days a week. If you’d prefer to have extra funds for discretionary expenses, it wouldn’t hurt to try out a part-time job in an area you think you’d enjoy.
No matter how you choose to live in retirement, it’s important to budget for the plan you have in mind. You want to live comfortably, but you also want to ensure that your nest egg lasts. Make sure to consider Social Security, retirement accounts, insurance, and any other contributing financial factors. It may also be wise to meet with a financial advisor so they can give you a more accurate view on how to meet your needs while adhering to your budget.