Retirement Spending Habits

How to Wind Down Your Spending Habits After You Retire

In retirement, you will live on a fixed income, meaning you’ll need to ensure that your expenses do not exceed your income. While the idea of living more frugally may not appeal to you, it may even easier than you expected, since a fixed, predictable income can help you determine how to appropriately budget both time and resources. To help you through this transition, WAEPA has compiled our favorite tips and tricks for helping adjust your spending habits during your “golden years:”


Know Where Your Money’s Going


It’s much easier to minimize your expenses when you know what you’re spending your money on. Keep a spreadsheet or journal of every dollar you spend. You would be surprised to learn how much the little things you never focus on can add up. Consider what will be covered by Social Security, what comes out of your nest egg, and remember to factor in the cost of inflation over time as you budget moving forward.



Prioritize Your Health


Don’t go into debt trying to pay for out-of-pocket medical expenses. Staying healthy and eliminating expensive vices, such as smoking, drinking, and even junk food, can significantly impact the quality of your health.



Adopt the Do It Yourself Policy


In your golden years, you will be rich with free time. This means that you can tackle most household maintenance on your own, rather than hire someone to do it. Not only does this help cut expenses, but keeping busy with physical tasks are also a great source of exercise.



Cut Down On Debt


Interest rates on credit card purchases can become unmanageable quickly for those living on a fixed income. While it’s recommended to retain a few credit cards in case of emergency expenses, try not to use them unless absolutely necessary. WAEPA Members have access to a FREE Financial Wellness Program powered by Ernst & Young, LLP. Learn more today.



Travel in the Off Season

While travel may be a top priority in these years of your life, consider going during the offseason when prices are low. Also, grouping multiple small trips into a bigger one could help you save big.



WAEPA Members are proud to keep their coverage, even if they leave their federal position or retire. Become a member of WAEPA and take advantage of Group Term Life Insurance* tailored specifically to the needs of Federal Civilian Employees and their families. Our rates are highly competitive, and membership comes with an abundance of free resources.


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This article is intended to provide general information and shouldn't be considered legal, tax or financial advice. It's always a good idea to consult a tax or financial advisor for specific information on how certain laws apply to your situation and about your individual financial situation.