6 Retirement Expenses That Are Worth Every Penny
Written by
Vance Cariaga
Edited by
Nicholas Morine
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Many of the same expenses you faced when you were working will follow you into retirement, though there are some that aren’t worth paying anymore. For example, you might decide to stop paying for a second car, or get rid of the country club membership you only used as a way to network with clients.
Some expenses you can’t avoid paying, such as housing, utilities, taxes and healthcare (unless you plan never to get sick or injured). Others you could conceivably do without but should still pay for, anyway. Here are six retirement expenses that are worth every penny.
Home Maintenance
If you decide to own rather than rent a home in retirement, you’ll need to pay for maintenance and repairs. This is money well spent because it prevents the possibility that you’ll be injured trying to do the work yourself. Not only that, but a properly maintained home ensures it is safe and retains its market value.
Travel
You don’t necessarily have to travel when you are retired, but you will probably want to. For one thing, it’s a way to enjoy something you might not have had much time for when you were working, which is good for the mind and soul. For another, it’s a way to visit your adult children, grandkids and other loved ones who might live in other parts of the country or world.
Family Support
One of the main rules of retirement is that you should not spend money you don’t have to help out others. But if you have the budget, then helping out your family is a perfectly legitimate use of your funds. Just make sure you discuss the terms beforehand to avoid problems further down the road.
Transportation
This is one of the most important areas of retirement spending — but also one of the “least considered,” according to the AARP. If you still drive a car you will need to pay for maintenance, repairs, inspections, taxes and insurance. Even when you reach an age when you are no longer comfortable driving yourself, or just don’t want to, you should budget money for public transit, rideshare services, taxis, and other means of transportation.
Fitness and Wellness
Keeping your mind and body healthy is not a luxury in retirement — it’s a necessity. Put your money to good use by investing in things that can improve your health and lower your medical costs. These can range from gym memberships and yoga classes to bicycles, pickleball gear, running apparel and home exercise equipment.
Financial Advice
Just because you are retired doesn’t mean you should stop strategizing over finances. In fact, it might be more important now than when you were younger because you have fewer options for growing wealth. If you have the budget, consult with a financial advisor to ensure you are on the right track for a comfortable retirement.
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