How to Sabotage Your Retirement
You've been listening for years that you have to plan for your retirement. Your parents, your children, your financial planner, and even your boss have been telling you to make sure you take the time to plan for all temporaryities so you can thoroughly enjoy your golden years. But if you are one of those people who thinks planning is a waste of time and would much rather enjoy a retirement that is full of unpleasant surprises, then here are 9 ways in which you can sabotage your retirement.
Do not Save Enough Money – This, by far, is the easiest way to make sure your retirement is nice and rough. Just do not save enough money. Ignore the statistics that say it is highly likely that you may live to be a hundred and there before should plan accordingly. Spend all of your money now so that you will only have one good year to rest after retirement before you will have to get a part time job at the local thrift store.
Neglect Your Health – Good mental and physical health is essential if you want to reap the most enjoyment out of your retirement. Therefore, eating unhealthy foods and maintaining a sedentary lifestyle is the perfect recipe for a retirement filled with aches, pains, loss of mobility, and degenerative brain diseases.
Do not Buy Enough Health Insurance – When you retire, you'll probably become eligible for Medicare. But Medicare does not pay for everything. You will need to purchase supplement insurance that will help you pay for deductibles, coinsurance, copayments, eye glasses, dental care, hearing aids, and medication. But if you would rather all that come out of your non-existing savings then do not bother shopping around for supplementary insurance designed for Medicare recipients.
Forget About Your Social Life – If you happen to save enough money where you will not have to worry about working during your retirement years, you can still sabotage your retirement by forgetting to develop friendships and other interests outside of your work life. That will ensure that you have absolutely nothing to look forward to except reruns of The Price is Right.
Retire Early – An unexpected way you can ruin your retirement is buy retiring early. Everyone dreams of doing it and now you can while putting a dent in your social security payments at the same time. If you retire four years early at age 62 instead of age 66, you will ensure that you get 25% less than what you would have been eligible for if you had just waited four years.
Do not Buy Life Insurance – If you are married, or have a significant other, you can ruin your spouse's retirement by failing to buy life insurance. Medical bills, burial expenses, unpaid debts, and other financial obligations can wipe out any savings your spouse has if you die without adequate life insurance. You can prevent this by working with a life insurance agent who will make sure there is enough money to take care of the expenses after you are gone.
Ignore Long Term Health Care Needs – There may come a point during your retirement when you will need long term care especially if you are dealing with health challenges. Medicare, however, only pays for about three months of care in a nursing home and then you are on your own financially. Investing in long term care insurance will protect your assets and savings should your need it. But if you would rather see how much your home could get on the auction block then plan as though needing long term care will never happen to you.
Fail to Pay off Debts – This one almost guarantees that your retirement is unsuccessful. Entering retirement with unnecessary debt means you will be struggling to pay old bills as well as your current living expenses on a limited income. But do not worry, you will not be alone. There will be plenty of other retirees who also have to return to work because their retirement income does not cover the bills.
Depend Completely on One Source of Income – One way to ensure that you will spend a lot of your retirement years worrying about money is to only have one source of income funding your golden years. When you only have source of income, you put yourself at risk of complete financial ruin should anything happen that causes that source of income to dry up.
If a ruined retirement does not sound like much fun after all, then now is the time to start working on your Plan B. It's easy to get up in concern about the future but all that worrying will be for nothing if you don ' t take action. I have a family friend who worries about money all of the time. She cuts expenses but the problem with that is you can only trim so much out of your budget. Occasionally, she is going to need to take action and find a way to generate additional income so she can afford her dreams.
Starting a home based business that can be run in your spare time is an awesome way to generate a passive stream of reliable income that can help eliminate debt, generate another source of retirement income, and give you something to do with your time when you finally leave your job. That's what Steve and I are working towards. To learn about how our home business is helping us fund the retirement of our dreams, contact me or view our online business tour.
Source by Debbie L Russell