How to Live on the Fixed Income of Retirement

Home » Blog » How to Live on the Fixed Income of Retirement

Countryside-1807527_1920Now, more than any time in the past, living on disability or retirement income has become more difficult. Pensions are not keeping up with inflation. Let’s look at some ways that you can help make your income reach a little further. 

  1. Create your budget and then stick to it – This is actually easier to do then it is to follow. Start by including those recurring bills such as rent/mortgage, insurance, etc. Then make sure to include those other monthly costs such as your coffee time, entertainment costs, etc. These costs can vary but you should have a monthly amount that you can spend.
  2. Eat at home whenever you can – Clip coupons, watch for specials at the grocery store, and price compare. You can save a bundle on your groceries by just being a little savvy. Eat out only when you find a good saving. For example, sometimes a restaurant will have a 2 for one sale.
  3. Don’t let your debt get out of control – If you use a credit card, make sure you can pay off the entire balance at the end of the month to avoid having to pay interest charges. It’s not a good idea to carry a balance so be careful if you are going to use your credit card.
  4. Think about relocating – You might want to move to a different place, something that’s cheaper, smaller, maybe even located better so you have to drive less.
  5. Be creative when it comes time to give a gift – Gifts can be an expense that can add up quickly, especially if you have a number of people you need to buy for. Get creative – knit, bake, run errands, sew, offer to clean, etc. There are plenty of things that others will appreciate and at the same time it won’t be a financial burden for you.
  6. Keep your utilities to a minimum – If you live where it’s hot instead of air conditioning use fans. If you live where it’s cold, instead of gas use pellet or wood stoves. Close of the rooms you do not need to heat. Turn the thermostat to the setting that’s most cost effective. 

Your retirement years are supposed to be some of your best and you shouldn’t be struggling with money. These tips can help make your pension reach further.