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Old 12-21-2015, 02:56 AM
 
33,046 posts, read 22,062,610 times
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Quote:
Originally Posted by Listener2307 View Post
Has anyone else noticed this? Being retired with both of us at home is a lot cheaper than working.

It's not just the obvious things like the commute to work and maybe the working wardrobe, and lunches out. It's more than that.

We're still active and able. So no matter what has gone wrong around the house we can fix it ourselves. Painting, new commode, yard work, car maintenance within reason - all that stuff has become DIY for us.

We are trying one of those meal planning services. Ours sends us an email with the meals all planned, and a shopping list, too. Even though I don't cook, I (man) have assumed the grocery shopping responsibilities, and rarely buy anything that is not on the list. We are astounded how much the food cost has gone down. One reason it has gone down is that thee is very little waste/spoilage. If my shopping list calls for a head of cabbage, the meal planner has provisions for using the whole head during the week.

Being over 65 gave us a big deduction in taxes - both property taxes and income tax. And there are lots of other little ways it is cheaper to be retired and over 65.

Health care is still expensive when you take all the costs of Medicare and Supplemental Policy into account, but not as much as our still-working children pay. And our coverage is better, too. We pay about 500/month, and essentially have no deductible. That may not apply to everyone; some people have health problems that get expensive.

The whole thing has gotten us thinking about the value of a family having a stay-at-home person, especially when there are children involved. People we know where both adults work have to spend a lot more than we do, and cannot maintain their homes properly, either. I call it "taking care of business". Working people do not have enough time to "take care of business".

Is this a great country or what?
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Old 12-21-2015, 05:31 AM
 
Location: Los Angeles area
14,018 posts, read 17,740,386 times
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Default Summarizing......

It is pretty clear that whether retirement will be cheaper or more expensive than working (or perhaps a wash) depends on numerous individual factors, including but not limited to whether we cook a lot at home, whether we had a long commute plus parking fees at work, whether we relocated for a lower cost of living, whether the work "uniform" involved regular dry cleaning, the amount of travel before versus after, and the generosity of the employer-paid share for medical insurance. There is no generally valid rule about whether retirement results in less or more spending.

Even the lens we use to look at our expenses can make a perceptual difference. For example, I never particularly thought of union dues and my share of employer medical insurance as expenses, although I knew they were, because they were deductions from gross and I never "spent" them personally. Now, about the only similar deduction from gross is the Medicare Part B premium taken out of the Social Security retirement benefit. Income taxes are always deducted of course, but we remain more "aware" of them because of the required annual settling up of filing by April 15. By contrast, property taxes are a more visible (obvious) expense because we write the check for them personally, or otherwise see them come out of our bank's bill pay system.
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Old 12-21-2015, 08:08 AM
 
5,227 posts, read 2,315,919 times
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I think one has to be at the age and really "want" to retire. I was outsourced, after 28 yrs, with only 10 months short of having the age to get full benefits. I spent 4 yrs, not working and no income, living purely from savings. I spend two of those years designing a business and changing my living habits to be more cost effective. The cash flow challenges which impacted the business, and that did not get where it needed to be, so it was closed. (it is costly to shut it down, regardless if its small, new start or whatever). lost money on RE- deals, when people were selling short, and price rductions made properties available cheaper than I could rent my property for, add in the fact tenants got behind and failed to pay. Just a calamity of costly things came like a Tsunami. The spiral down was not pleasant, but maybe it all worked out in the long of it. I now have better managed monthly expense, not that I did not have good management before, I simply had better income before being outsourced.
After a period, I found some work, sadly the guy I replaced, figured out his best option was to come back to work, than to trying and sue the organization, so he came back to work, I had made good progress and contritutions, but ..... then I worked contract via an agency. (as it is a "FACT" many jobs if one is over 50, they've got more excuses than one can imagine for not hiring people who've reach 50 and certainly if one is 55 or older.) !!!!! I'm sure some can attest to that fact.

I now work full time, full benefits and retirement program. Next yr I can draw Social Security, but I don't like the limits placed on earning for drawing early and still wanting to work. It's no way, I'm going to just give any of it back because I want to work. So, I plan to work 5-6 more yrs, and that gives me a second pension just at I reach the age to get full Social Security without penalty on earnings or loosing any of my benefits. {the key trick is to "Stay Healthy"}

I actually enjoy working, so as long as health holds out and I can functionally contribute, I will work. Was offered a position equal to Asst. Director, sadly, the guy making the offer left, but my name is still in the basket. The good thing is, it will pay a rate that by retirement, it will yeild a good pension.

Traveling is fine, I enjoyed it when I did it, but the passion for it is not so great, somethings I'd like to go see and some places I have no interest to go see.

I do plan to learn "app design" language.
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Old 12-21-2015, 09:53 AM
 
4,481 posts, read 4,743,979 times
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Quote:
Originally Posted by in_newengland View Post
Maybe we should have a retiree recipe thread. Even when I was working I made a list of meals that we liked--because I was brain dead when I got home from work and couldn't even think of what to eat. I stuck that list to the fridge and referred to it all the time. When you think about it, there are probably a set number of meals that you normally eat. The food that you really like.

These days I might have pot roast in the slow cooker one day, roast lamb with gravy, mashed potatoes and beets another day, roast chicken with baked potatoes, carrots and salad another day. That's three days covered. Probably in between days I would use the leftovers to make something, so that would cover a week. (We make roasts a lot in winter.) I keep winter squash, turnips, and a lot of frozen vegetables on hand to eat with the leftovers so that it's not a re-run of the original meal.

We fend for ourselves for breakfast and lunch so it's only the nightly meal that takes much thought.

Sometimes dh makes his great shepherd's pie or fresh baked haddock or I look through the ol' recipe box for something different. Our summer recipes are different but in winter, due to our climate, the meals are hearty. I don't have a list of our frequent meals on the fridge anymore but I do have the low tech method of recipes on index cards--rubber band around a group of Cold weather recipes and there is another group labelled Hot weather recipes.

Being home a lot gives both of us a lot of time to look through the store flyers for sale items and more time to figure out what to cook. More time to actually cook because we are home and not exhausted from working. I'm actually starting to enjoy cooking and this home cooking may be one of our major money savers.


There is this older, not so old, thread...
What are your favorite foods/recipes/etc.? We need something fun & positive here.
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Old 12-21-2015, 11:36 AM
 
Location: Florida
4,365 posts, read 3,702,696 times
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As a general rule of thumb for planning for retirement I would not assume you will spend less in retirement than your working years. Yes SS taxes will be zero and work related expenses will go away but other expense can come along.
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Old 12-21-2015, 12:52 PM
 
14,260 posts, read 23,995,588 times
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I think that my spending has been pretty close to pre-retirement.

The positives:

Property taxes are down 80% due to the change in venue.
The gym/pool/club membership is down about 60%.
Our association fees are down about 70-80%.

Things that are stable:

Food cost is the same. A lot of my restaurant meals were paid by my employer. Moving out of Chicago really cut the cost and the frequency of eating out.
Utilities are fairly flat. Lower heating costs are offset by higher cooling costs.


Things that are higher:

Travel - While I find some of the best deals available, I can travel at will and do fly cross-country for weddings and funerals.
Medical - There seems to be no end to the increases brought on by the ACA. Fortunately, only seven more years to Medicare.
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Old 12-21-2015, 01:46 PM
 
5,227 posts, read 2,315,919 times
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Then..... there are some bad thing about getting old, such as, there are more family members who get sick, more people one knows who dies and a lot of the things bought that one may like get old and often times need replacing. I guess life is really a series of ups and downs, turn around and sometimes fast spins that age's wisdom can helps us to sometimes slow it down and discern what is important and what is not.

Certain conscience urges we get better control over, either by choice of conditions. (laugh)

It certainly is more routine "pills" to take. One crazy thing, I tore the rotatory cuff on my left shoulder, but now the right shoulder hurts more than the left one, and when its cold at night, both of them hurt. It's so funny, because some nights I have to get the arm positioned right to keep it from hurting. The doctor said, it did not make much sense to have the surgery and the pain only to gain a minimal amount of rotation. )
What I've noticed, many friends who did not want to accept they were getting older, finally come around to understand they can't do things the way they could when they were 20 and 30.
I kinda figure it out some years back, when I could no longer jump with the young kids while playing basketball, and I was in Thailand one year, and went to jump up on this ledge, fell, broke a new watch and realized, that kind of stuff was not in the cards now, so I will walk to the steps and take my time to get where I want to go.

Stuff one would never think about when young, Aging can bring it, I guess life is designed to be a trip- so its always a fight to keep what of health we have and try and maintain it as best we can. Then the hope is to have enough money to keep flack off our backs.
The trip thing with money, is the older we get, there's a lot less things we are impatiently eager to spend it on. but the other issue is trying to keep medical cost and expense from eating up what ever monies one does have.

The other thing about life is, I think the "Spirit" is ageless - we just have to sometimes remind the mind of that fact.

Last edited by Chance and Change; 12-21-2015 at 02:04 PM..
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Old 12-21-2015, 03:13 PM
 
Location: Mount Airy, Maryland
10,463 posts, read 5,930,681 times
Reputation: 16159
The one thing I have seen that is kind annoying is articles and posters do calculations and come up with a figure, say $50,000/year, and want to compare this with the working salary of $50,000. This is nonsense of course. Everyone knows that a $50,000 salary is more like $30,000 take home once deductions you won't see in retirement such as FICA, 401k etc. are considered. When you clear money from SS and retirement accounts that is much different than earning in the work force.

As for the thread title I'm interested to see more responses. I know I spend as much or more from Friday night to Sunday than I do the rest of the week.
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Old 12-21-2015, 03:32 PM
 
71,612 posts, read 71,751,865 times
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By the same token many of the deductions you had while working are gone. The biggest is no more pretax medical insurance , no more 401k deductions . Perhaps no more mortgage and the worst is the loss of a spouse And now you file single
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Old 12-21-2015, 04:14 PM
 
Location: San Antonio
7,629 posts, read 14,381,420 times
Reputation: 18706
Quote:
Originally Posted by Listener2307 View Post
Has anyone else noticed this? Being retired with both of us at home is a lot cheaper than working.

It's not just the obvious things like the commute to work and maybe the working wardrobe, and lunches out. It's more than that.

We're still active and able. So no matter what has gone wrong around the house we can fix it ourselves. Painting, new commode, yard work, car maintenance within reason - all that stuff has become DIY for us.

We are trying one of those meal planning services. Ours sends us an email with the meals all planned, and a shopping list, too. Even though I don't cook, I (man) have assumed the grocery shopping responsibilities, and rarely buy anything that is not on the list. We are astounded how much the food cost has gone down. One reason it has gone down is that thee is very little waste/spoilage. If my shopping list calls for a head of cabbage, the meal planner has provisions for using the whole head during the week.

Being over 65 gave us a big deduction in taxes - both property taxes and income tax. And there are lots of other little ways it is cheaper to be retired and over 65.

Health care is still expensive when you take all the costs of Medicare and Supplemental Policy into account, but not as much as our still-working children pay. And our coverage is better, too. We pay about 500/month, and essentially have no deductible. That may not apply to everyone; some people have health problems that get expensive.

The whole thing has gotten us thinking about the value of a family having a stay-at-home person, especially when there are children involved. People we know where both adults work have to spend a lot more than we do, and cannot maintain their homes properly, either. I call it "taking care of business". Working people do not have enough time to "take care of business".
ABSOLUTELY!!!! Since I put so much of my income into the Thrift Savings Program (the gov equivalent of the IRA or 401K) I actually bring home MORE money being retired (but there is no more going into that retirement account.....)
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