How to Downsize in Retirement and Enjoy Life More

The concept of “downsizing” or living a simpler life is becoming more popular across different segments of American society. More people are realizing that the satisfaction they get from always having the biggest and newest consumer items is often outweighed by the additional time they need to work in order to afford that lifestyle of conspicuous consumption.

The same downsizing concepts have also become popular with individuals who have already retired or are about to do so. Remember that by “downsizing” what we’re really referring to is financial downsizing; that is, lowering monthly expenses.

With that in mind, here is some retirement advice to reduce expenses in retirement and enjoying your life more.

But once you’re no longer working, your children are grown, and you and your spouse have accumulated a healthy retirement nest egg, none of the ordinary justifications for life insurance exist. Similarly, it often becomes more expensive for older individuals to continue to carry a life insurance policy. By giving up this type of coverage you can free up more cash to fund other aspects your retirement.

But when you enter retirement, you likely no longer have any of the same needs for immediate transportation. Consider downsizing to just a single automobile, or perhaps even none if you join one of the increasingly popular “car share” services. These services can give you access to an automobile whenever you want it, but without the same level of ongoing maintenance and ownership expenses.

Finally, keep in mind that it may be worth reevaluating your finances every year or two with an eye towards other areas that you can lower expenses. By looking to keep your lifestyle simple and easy to manage, you may find to be able to get the most out of your retirement years.