• About
  • Mortgage Basics
  • $40K Challenge
  • Aunt Doris
  • Grandfather Says
  • Privacy
  • Archives

Len Penzo dot Com

The offbeat personal finance blog for responsible people.

Great Tips for Seniors Who Want to Live Frugally

By Sabado Domingo

relaxFrugal living means different things to us at various stages in our lives. When we’re young or have kids, we may think living frugally is more about scoring discounts and clipping coupons so we can save money. As we get older, living frugally as a senior tends to mean something completely different.

Frugal Living Benefits & Aging

A frugal mindset tends to develop as we age. On that note, there are various programs out there that the senior population can take advantage of. All you have to do is seek them out, research them and then choose the program right for you.

Take Advantage Of Discount Programs

A few examples of frugal living discount programs for seniors include:

  • Discounts. AARP and AAA cards are accepted and provide savings at many places
  • Senior Discounts. Restaurants, grocery stores and retail outlets often have discounts for seniors to take advantage of
  • Travel. Car rentals, hotel stays and airlines are commonly discounted for seniors
  • Free Activities. Many cities have activities that seniors can do for free such as museums, parks, and concerts

Be Frugal, Not Cheap

There’s a difference between being frugal and cheap. Think of it this way: Should you buy something two or three times because it’s cheaper or should you buy something more expensive, but something that will last for many years to come? Of course, you want to go for the item that is of high quality and will last for a lifetime.

Sure, at first you might be in for sticker shock. However, it almost always makes more sense to buy the item that is higher quality; you get more for your money and you’ll save in the long run.

Ensuring you have what you need in terms of your health care is important and though it may cost a reasonable amount, you need to be looked after. Your health is your wealth hence wed advise you to look into Medicare Advantage plans for 2021 now.

Pay Debt Off

You should pay off debt in order to increase your cash flow. This is especially true with your mortgage; try to pay it off before you’re ready to retire because debts and mortgages tend to be the biggest expenses people have. When you have no mortgage to pay, you can easily downsize. Not only that, but you can use your savings to add to your retirement fund. That being said, there are other expenses, such as insurance and property taxes that will always have to be paid.

Budgeting When You’re On A Fixed Income

Determine how much you can realistically afford to spend by creating a budget, which is important when you’re on a fixed income. Use the 4% Rule. For example, if you saved a million dollars, then you should withdraw no more than $40,000 per year to avoid running out of cash in retirement.

Be very mindful of how often you take out money from your savings. Track every single dollar you take out and spend. This may seem excessive, but in the long run it will be beneficial to you.

You don’t need to do anything special; if you’re not computer savvy, then even a pen and paper can be used to track everything. On the other hand, there are a number of online tools you can use, such as Personal Capital or Mint. As time goes on, you’ll have a better idea of what you spend your money on and you’ll be able to make adjustments when necessary.

Develop a DIY Mentality

If you can do something yourself, then do it yourself. Simply head over to YouTube to find out what you need to do to fix your issue. Sure, it might take a bit longer, but you can save money by doing it yourself instead of hiring a professional. There’s plenty of small jobs you can probably learn how to do yourself.

If you don’t like to use YouTube, then head over to your local hardware store and ask someone who can offer advice on your DIY project. You might even find it fun to work on these small projects.

Photo Credit: Christopher Michel

1 Comment May 8, 2020

Trackbacks

  1. Black Coffee: A Thief In the Night – Len Penzo dot Com says:
    May 23, 2020 at 6:30 am

    […] Great Tips for Seniors Who Want to Live Frugally […]

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Question of the Week:

What did you do with your latest COVID stimulus check?

View Results

Loading ... Loading ...

Recent Posts

  • 7 Signs That Tell Smart Stock Market Investors It’s Time to Sell
  • I’m Stumped: 7 Perplexing Money Questions Without a Good Answer
  • Black Coffee: A Land of Confusion
  • Which Sectors Got a Real Boost in 2020?
  • The Top 10 Ways to Quickly Make $500 in 2021
  • How Home Crowdfunding May Let Millennials Live the American Dream
  • 3 Important Tax Deduction Rules You Should Always Remember
  • 5 Ways You Can Save Money on Groceries This Week
  • Economic Collapse 101: How to Prepare for Water Supply Disruptions
  • Black Coffee: Painting the Town Red

Disclaimer

This site is for informational and entertainment purposes only, and the content herein should not be mistaken for professional financial advice. In fact, making investment decisions based on information published here, or any other website for that matter, is more than unwise; it is folly. This website accepts advertising in the form of monetary and other compensation; as such, topics of discussion are occasionally influenced by these advertisers. Sometimes, an article may also include affiliate links, meaning, at no additional cost to you, this blog earns a commission if you click through and make a purchase (for example, as an Amazon Associate I earn from qualifying purchases). Remember, you and you alone are responsible for the decisions you make in life, so please contact an independent financial professional for advice regarding your unique personal situation.

Sign up for the weekly Len Penzo dot Com newsletter
Len Penzo dot Com Delivered Weekly
Join more than 30,000 readers and fans who enjoy personal finance and macroeconomics with an offbeat twist!
Invalid email address
Thanks for subscribing!

Popular Now:

  1. 1. A Simple Test to Know If It’s Better to Rent or Buy a Home
  2. 2. My Cola Taste Test: Is Coke Really Better Than Pepsi?
  3. 3. My 10 Commandments of Personal Finance
  4. 4. The Best Personal Finance Book I’ve Ever Read
  5. 5. Planning a Wedding? Here Are 9 Ways to Ensure You’ll Pay Too Much
  6. 6. 5 Things Nobody Tells You About Being Poor — for Good Reason
  7. 7. 4 Good Reasons Why Some Quarters Are Painted Red
  8. 8. 3 Great Hobbies That Are Investments Too
  9. 9. 10 Red Flags That May Signal You’re In Serious Financial Trouble
  10. 10. Are Gas Clothes Dryers Worth the Extra Money?

All-Time Most Popular:

  1. 1. 19 Things Your Suburban Millionaire Neighbor Won’t Tell You
  2. 2. Dear Friend: Here Are 41 Reasons Why I’m NOT Lending You the Money
  3. 3. Why Your Expensive Luxury Car Doesn’t Impress Smart People
  4. 4. If You Can’t Live on $40,000 Annually It’s Your Own Fault
  5. 5. 21 Reasons Why Corner Lots Are for Suckers
  6. 6. 4 Smart Reasons Why College Isn’t for Everyone
  7. 7. 18 Fast Facts About Social Security Numbers
  8. 8. My Ketchup Taste Test: Upset! Guess Which Brand Topped Heinz
  9. 9. Why I Prefer a Spreadsheet to Track Expenses and Manage My Finances
  10. 10. Here’s a Simple Trick for Getting Credit Card Interest Charges Waived

Copyright © 2021 Len Penzo dot Com · All Rights Reserved · Designed by Nuts and Bolts Media

Copyright © 2021 · Penzo on Genesis Framework · WordPress · Log in