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Reasons Retirees Don't Spend

Friday, July 5, 2013 - 5:52 PM
From MarketWatch.com:

3 reasons retirees don’t spend - MarketWatch

"Once you have accounted for these situations, you may find that you are more comfortable spending. If you still want the added feeling of security that saving can provide, your financial professional can help you choose a strategy that allows you enough room to continue to put aside a little periodically."

Life is full of uncertainty; nobody actually know what is enough for retirement savings.  Thus it is prudent to continue the frugal and savings habits (that one cultivated before retiring) during retirement as well.  I do not think that retirement marks the era for spending.     
6
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,427
1. Friday, July 5, 2013 - 6:13 PM
Some retirees don't spend because either they don't have to or can't. A paid-off home, car and no debt enables one to sit back and live 'The Life of Riley' in a hammock in the back-yard sipping cold drinks all day long. Or, one has a nice fat bank account, pension and Social Security but is not healthy enough to travel and spend their money on activities away from home.  It could be one-half of a dozen reasons I'm sure.
7
ShorebreakShorebreak2,692 posts since
Apr 6, 2010
Rep Points: 14,598
2. Saturday, July 6, 2013 - 9:16 PM
Well when you spend most of your life saving expecting to bring in a certain amount from interest to use in retirement and it just isn't coming in any more, one might be concerned as to how much they should spend.  If we all were psychic and knew when this insanity would end and we just might see even 3% interest rates again, I think more people would start spending more.  No one knows what emergencies tomorrow might bring so it can be scary to blow thousands of dollars if you or a family member needs that money for something more important. 

I am just grateful we did all the traveling we wanted to do years ago when we did have those great interest rates rolling in.  I think people may fear for their futures the way things are going.  BTW, where is the joy in living to 100 unless one can be assured their mines and bodies would be up to still enjoying life.  My motto is "life is for living" not sitting in a chair wishing you had the energy to get up and walk across the room.   Try visiting a nursing home and then saying you still want to live to be 100.  The teller at my bank today asked me how I could be such a "nut" at my age and keep them all laughing. I told her when I didn't have the energy to still get some fun out of life, I was no longer alive as far as I was concerned.  I won't tell you what I told her I was doing that day to make her laugh.  Ken would "bleep" me. :)   "Always leave them laughing" and "you'll" live a lot longer and enjoy it more.  Have you noticed what long joyful lives comedians have?  I realized that when I was reading the Obituaries over the shoulder of DP.   Think of the celebrities who recently died but were in their 90's.  They were comedians!
2
paoli2paoli21,405 posts since
Aug 10, 2011
Rep Points: 6,149
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