Almost everyone wants to retire one day (there are a few strange people out there). We work hard in order to save money so that one day we can delete all of the alarms on our phone and give up the daily grind. Hopefully you’re budgeting well in order to make retirement a reality. But how will your budget change after you’ve called it quits? Here are four ways your budget will change after you retire…
You’ll spend MORE on travel: Let’s be honest. Nobody wants to retire so they can sit around the house all day. There are so many awesome things to do and see and you’ll finally have the time to check them out. Weekend trips and summer vacations are great, but how rad will it be when you can go off on an adventure without worrying about when you need to be back?
You’ll spend LESS on housing: If you own your own home, you probably don’t love that mortgage payment every month. But the good news is, even if you don’t buy a house until you’re 40, with a 30-year mortgage, (and paying a little bit extra on your principal each month) you should pay off your house about the time you’re getting ready to retire. That’s a lot of dough you won’t be spending every month.
You’ll spend MORE on healthcare: Unfortunately, one of the bad things about getting older is that your body won’t last forever. You’ll definitely need healthcare more than ever during your retirement years. You won’t be on your company healthcare plan anymore, and you’ll probably need to see the doctor and need more prescriptions than you did in your younger years. But that’s ok. It’ll keep you going so you can really enjoy the golden years.
You’ll spend LESS on transportation: Even though a lot of workers have shifted into a remote work situation during the last two years, a lot of people still have to hit the road every morning and fight traffic on their way to their 9 to 5. So during retirement, not only will you save yourself the stress that only rush hour traffic can cause, but you’ll save a heck of a lot on gas and maintenance expenses. Trust me, as someone who works remotely, it’s fun to go to the gas station and not be able to remember the last time you had to fill up.