Retirement can be a time of life to enjoy activities you put off while you were working full time, or it can be a time of constant worry and self-denial. With many of the numerically large and powerful baby boomers in their 60s, the amount of information on retirement available in print and online to help plan and organize retirement has mushroomed. A successful retirement requires planning, and effective planning requires information.
Fixed Expenses
Money becomes the driving factor for most people in their retirement. The decisions you make--such as where you live, how you spend your leisure time and whether you need to get a part-time job--revolve around finances. Therefore, it is essential that you know how much money you can spend each month to meet basic living expenses, and how much money is available for fun.
Fixed expenses for mortgage, taxes, health insurance, loan payments and other insurance are determined by commitments you made or by the government. Other categories of expenses over which you have some control, but need to plan for, include utilities, food, car expenses, clothing, home maintenance and clothing.
Important retirement information includes keeping a record of expenses over several months or years to understand how you spend your money. Create an expenses spreadsheet or use online expense tracking tools such as those from MSN Money. Categorize your expenses as fixed, fixed with some control or discretionary. Then create a budget to control your spending.
Lifestyle
Your lifestyle changes in retirement. You have time to devote to hobbies, travel and recreation that you have not had since you were a child. Making the most of this great freedom and opportunity requires reflection on activities you enjoy doing and finding ways to do them.
For example, if you enjoy travel and seeing new places, but do not want the hassle of making all the arrangements or selecting the right accommodations, you can work with organizations such as Exploritas (previously Elder Hostel) that are set up to plan and organize interesting travel and learning experiences for retirees.
Another potential lifestyle change is moving to a residence with less care and maintenance than the house you are currently supporting. Your options include apartments, condominiums, adult living communities and retirement communities. Alternatively, you have the freedom to move closer to family members or to a recreation-focused community. Collect information about retirement lifestyle options and make choices that meet your needs and preferences.
Health Care
Your health care needs continue and are likely to increase in retirement. You need to make sure your primary care doctor and nearby medical support services accept Medicare. You may also want supplemental insurance offered through private programs. Review the American Association of Retired Persons (AARP) retirement information on health care and talk with your primary care doctor.
Volunteering
Volunteering in your community or for local organizations is one of the great pleasures of retirement. Look for opportunities to offer your time and expertise to causes and groups. Staying busy and involved improves your health and outlook.
Working
Work is redefined in retirement. It no longer needs to be 9-to-5 with an extensive commute. To add income or to remain engaged, you may want to accept a part-time job near your house or work from home.
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