If you are over the age of 50 you begin to take inventory noting that there is less time left out the “windshield” than there now is in the “rearview mirror” of your full time work career. It is sometimes daunting to think about what retirement might be like and to further wonder if you are prepared. At Servant Solutions we ponder on these things continually in behalf of those we serve.

Some good news as you plan is that there are a number of things that actually become cheaper in retirement. These are often not taken into account when simply trying to determine if your savings is large enough. For example, seniors enjoy discounts galore today! From dining out to entertainment options, there is almost always a senior discount. Retirees no longer commute to their place of employment, savings hundreds, maybe thousands of dollars in auto expense.

And most retirees find their tax bill declines significantly. Usually a person’s marginal tax rate falls in retirement. A retiree typically is no longer paying into Social Security, but instead is collecting a benefit from Social Security. Also, in that a retiree is not usually going to work daily, the need for a special wardrobe diminishes and is less expensive.

What about traveling…every retiree’s dream. Well, the flexibility of picking travel times and dates can make travel much cheaper. If you want to take some college classes most universities offer special, affordable options for retirees.

These are just a few and there are more. The good thing to know is that some expenses moderate making retirement more affordable. Most financial planners suggest that retirees may need around 80% of the final income. That is still a lot and planning is crucial. We invite you to a conversation in this area if you’d like.