Jun 21 2008
Retired Life - Reducing Expenses
I think that Reducing Expenses has long been an early concern for new retirees.
Just a quick review of my checkbook and credit card statements show me where my dollars are going, and consequently, what my priorities are (currently at least).
I find old statements, (pre-retirement) that reflected hotels and lodging, many restaurants, theaters, clothing! (my God, you would think I was a female), and outerwear, shoes, nice things too. Add in parking fees and parking tickets, and cash for lunches. I also spent a lot on sporting goods and tools.
Today, most of my statements reflect gasoline (no surprise there), plus groceries at Safeway, Costco, veterinary expenses for the dogs, dog food and cat food and Wal-mart sundries galore. This stuff was on my old statement too, only I never paid much notice to how much I was spending on groceries and sundries. (I consider sundries to be all the stupid but necessary things around the kitchen and bathroom.) Of course they’re only stupid if they are not for my own use. I also still spend a lot on sporting goods and tools.
I really thought I would be saving a lot of money after retirement since I wouldn’t be buying lunches and paying for parking anymore. Plus, I would save some on gasoline for commuting. Of course, the increases in gasoline costs since I retired have erased that saving.
Now that I look at my statements regularly and with a great deal more attention I have found that I could spend a lot of money on groceries that we don’t need. I also tend to spend more on desserts than we ought to be eating. (A new subject for a blog entry: Gaining Weight!)
My wife and I decided to closely monitor what we spend on groceries and have reduced our grocery expenses by nearly HALF! And we did not do this by spending more at restaurants; we did it by cutting out all the prepared food dinner entrees, deli purchases, ice cream, chips, candy, and fancy chocolate and other desserts. It’s funny how we can eat more healthful meals while not spending as much money. We also have lost our taste for most restaurant food. We were pretty big salad bar fans for a while, but now we do our own and enjoy it more.
I look for savings on bulk items and even a coupon now and then, but I have never been much of a penny-pincher. I am learning to conserve though, little by little.
We try to cut back on electricity use and be “greener” too.
One thing didn’t seem to change in the bank accounts since my retirement; there are still a number of withdrawals for various reasons for the kids and grandkids. Christmas, birthdays, graduations, etc., have become more expensive too. Yes, kids remain a major expense. Some things never change, even in retirement.
