Retirement, (or getting ready for retirement).

[glocke12]

I am 43, and lately (especially since the first of the year) have been thinking more and more about being better prepared for retirement, and as a result have been making lifestyle changes so that I can save up more money..

I have a 401k plan that has almost six figures in it (yes I know I should probably have close to twice that amount in there at my age), and each year max out my contributions, but my personal savings outside of that is pretty sparse. At any given time I have at most a few thousand dollars in the bank, as a result I've taken some what some may feel are pretty drastic measures to try and bolster the amount of money I have in the bank..this includes:

Cutting back on entertainment, eating out, etc...In some ways this means living a more hermit like existence as most of my friends enjoy going out to concerts, bars, etc..all things that cost money, but with it costing a small fortune to just fill up my car to go to work, it is really hard to justify spending gobs of money on entertainment. As a result I've resorted to finding more creative ways to entertain myself..Going on more hikes at local parks, going to the library, etc...

Selling expensive items that see little to no use. In years past I've "collected" a number of expensive items that these days see little to no use...It makes less and less sense to me to hold onto these items if I am not using them, so I've started clearing house and selling stuff, and using the money to pay down debt and to save.

Vacations. Another expensive item. I've always taken one big vacation a year, spending anywhere from several hundred dollars to several thousands of dollars, but last year, and this year I've opted to go the "staycation" route, basically just using my vacation days to take extended weekends and using that time to get caught up on projects around the house or to just unwind and relax.

Alot of my friends are really not very understanding about this, but I look at how they go about spending money willy-nilly, sometimes dropping hundreds of dollars on entertainment on consecutive weekends, and I cant help but think they will have a pretty hard time of things in another 20 years because I know they don't have the benefit of a 401k plan, and they also do not think about saving for the future...

Anyway, just wondering if anyone here is my age and thinking along the same lines...

 

[kolax]

You're right, you've got to plan and save for the future. But you also have to live and enjoy life right now. I guess what you are needing help with is balancing those two.

I'm no where near the retirement age, though I do plan to do something like what you are talking about. But, I'd rather have slightly less retirement funds because I've lived and enjoyed life (but not exactly throwing away money) than starting to lose friends and banter because I'm too focused on money saving.

 

[Hellhammer]

While I'm not your age, my advice would be not to quit all fun. You never know what will happen. In the worst case, you will never see your retirement days (a disease, accident or something else nasty). You won't be able to enjoy the fun from six feet under. You have a life to live now.

Of course, if you get the same satisfaction from somewhere else, then there is no need to opt for the more expensive alternative, at least not always. Basically, I'm telling you to think it from another angle as well. When you retire, you may not be able to do the same stuff anymore due to your physical condition. Life is too short to keep waiting and saving.

Wise spending is of course a good thing but don't quit all the pricey fun in order to save for retirement.

 

[glocke12]

You're right, you've got to plan and save for the future. But you also have to live and enjoy life right now. I guess what you are needing help with is balancing those two.

I'm no where near the retirement age, though I do plan to do something like what you are talking about. But, I'd rather have slightly less retirement funds because I've lived and enjoyed life (but not exactly throwing away money) than starting to lose friends and banter because I'm too focused on money saving.

Oh, I've lived pretty large in the past, so cutting back drastically does not really bother me that much. Plus, like I said, to me having fun does not require spending crazy amounts of cash.

Also, part of this thinking is due to the fact that where I work there are a few folks in the 60-70 years of age range that are still working, and I am reasonably convinced that I will not want to be working 40+ hours a week at that age.