If you are a typical retiree, you probably have a savings account. Perhaps you even have an investment portfolio tucked away in your retirement plan. The problem is that you may have become so used to saving money that you are now fearful about spending every penny. Saving money for retirement is not for the sole purpose of hoarding up funds for a potential rainy day. Your money is a reward for all the hard work you endured for decades. Now that you are in a place where you no longer need to have a job, you can breathe easily when you want to use some of your savings to take an extravagant vacation or purchase an expensive pair of shoes.
Planning for retirement includes creating a reasonable budget that includes expenditures for groceries, rent or mortgage payments and luxuries such as eating out at favorite restaurants. A good budget should also include charitable donations to your religious institution, donating money to improve water shortages and the eradication of diseases in third world countries and medical research. In addition, you may want to buy long-term care insurance coverage. When organizing money around a budget, make sure the restrictions are easy to abide. Otherwise, you may discover that you are unable to stick to the budget.
Although the result is to retire with style, your plan needs to have a certain amount of discipline. With the right level of efficiency, your retirement years should enable you to enjoy life without feeling guilty about spending accumulated funds. Remember that spending money is part of your retirement plan. Do not become one of the numerous retirees who harbor strong fears about spending any of their savings.
If you have a strategy that prohibits you from enjoying life, you are going to retire as an unhappy camper. For instance, a man who recently retired with $1 million in his investment account turned down an offer to go on a vacation to Tuscany for two weeks. The reason that the retiree rejected the invitation was due to the fact that he was afraid to spend any money for a luxury. He reasoned to himself that a trip was an unnecessary activity.
The millionaire did not want to dip into his investments because he believed that he would need his money in the distant future. Do not fall into the trap of believing that your savings is meant for the time when you become 90 years old. Although it is wise to save money, it is also unreasonable to think that you do not deserve to have a good time. Live your life within the limits of your budget that permits occasional extravagances.
According to financial advisor David Giertz, you should use your savings to pay for practical things, including various types of insurance policies, while also concluding that you have a right to use your money for enjoyable pursuits. Mr, Giertz offers the following advice:
1. Make sure you have plenty of cash reserves to cover any unforeseen circumstances.
2. Feel free to amend your budget whenever circumstances demand a change.
3. Make the most of any opportunities enabling you to save more money.
4. Do not allow frugality to prevent you from enjoying your retirement years in style.
5. Talk to a financial planner about ways to minimize your tax burden.
6. Invest in conservative mutual funds consisting of both stocks and bonds.
7. Make sure your investments include monthly or quarterly dividends that continue to grow regardless of stock market volatility.
8. Make plans for your heirs without neglecting your own needs and wishes.
9. Meditate or pray on a daily basis to keep your mind in a harmonious state.
10. Attend church and participate in group activities that inspire you to achieve new goals.
A Few Words about Financial Advisor David Giertz
David Giertz was the former president of the sales and distribution center at Nationwide Financial. Under his leadership, the company amassed a considerable amount of financial growth. Additionally, Mr. Giertz was instrumental in the implementation of life insurance policies, mutual fund investing and private sector financial planning. In 2004, David Giertz was in charge of the Financial Institutions Bank channel. The channel expanded from 2004 to 2009 and eventually included the Wirehouse distribution channel. Under his guidance, the revenue expanded from approximately $1.5 billion to $8 billion. At the beginning of his illustrious career as a financial advisor, David Giertz worked at Citigroup for 10 years. He was eventually promoted from a financial services advisor position to the area director. His hard work and ingenious advice was responsible for his promotion to the executive vice president of sales. Once again, Mr. Giertz was able to reach unexpected financial goals for the corporation.