Retirement Spending Challenge: Financial planning allows us to systematically manage our finance and financial assets. This proper management later fulfills the objectives of our life there is no doubt that it takes a single drop of water to fill up pot and the same drops one by one can also empty. So it is essential that one carry out the proper accounting of the income and expenditure so that one can see how much one has earned and how much one had spent. Always make a budget depending on the expected income, avoid wasting money and try to always carry out its proper utilization.
Keep savings smartly, generally, we make a budget for expenses, but do not think enough about savings, but a change is required in this type of thinking. It should be realized that planning for Savings is also necessary you can’t be prosperous by neglecting savings, if you spend first and save the rest then you will be able to save only very little, if you first save and then spend the rest then you won’t face major problems in attaining your financial goals, if you adopt this as your habit you will save a good amount in a long period.
One should start saving at a very early age such that one can use money at the time of retirement. Other than PPF many other saving plans can also be opted for at least 10% of our income should be invested in the retirement fund for a comfortable retirement, our biggest mistake is withdrawing and using this fund before retirement, by not using this fund we can enjoy rest of our life with income from this fund after retirement.
Remember, those people who started their career at an age of 25 and continue till the age of 65 the division of people are; 1% people are Rich, 4% people are self dependent, 5% people are still working, 36% people are dead and 54% people are dependent. To live dependent is like leaving your life in hell.
Retirement spending challenge will obviously change the lifestyle of an individual. But knowing and doing are two different things. Though, at times one is not very successful at saving, then there is no need to worry about it, but can definitely start a spending challenge.
Saving money doesn’t need to be a burden. There are plenty of fun ways to save money by creating games and challenges around saving goals.
One can have a challenge by self-determining for not spending money for an entire week – no cash, no credit cards, and no cheques and would live with whatever existing sources are available at that time.
Retirement Spending Challenge 1 Temptation
One can enjoy shopping by sitting at home through online shopping facilities which could save money in two ways, one by not wasting in transport and secondly, it gives one the second thought if truly required and sometimes one postpone it intentionally for the next week thinking that in a day or two we will get it on booking, so things are in reach but one puts it in the cart of online market. This gives lots of fun in exploring a wide variety of things and also doesn’t feel awkward in comparison to trawling around department stores and malls.
Amazing, sometimes, these few extra seconds gives time to rethink the purchase. Even though there is Free Shipping, but still you get time to coolly think for.
Retirement Spending Challenge 2 Breaking with Routine
Usually working 9-5 keeps one occupied most of the day, on the way to home, one would usually pick up a snack or something to munch on while reading or watching TV. But after retirement, the routine gets changed and then one starts searching in the kitchen.
In the kitchen, one could find several organic frozen meals, pasta and sauce and chopped salad. One fills their cravings with the available ingredients. Whereas before retirement people often fetch lots of snacks may be useful, healthy, unhealthy or useless, in spite of knowing the savings would be substantial but it becomes hard to control. Anyhow this challenge, of course, helps in saving the money.
Retirement Spending Challenge 3 Resisting the Favorites
Another challenge one could face is resisting self from their favorite things. While moving out of the house if come across the grocery store and could see the fresh-baked muffins in the glass case and cold Diet Coke which could be making very difficult to resist but still kept going.
Retirement Spending Challenge 4 Count the Success
When the week’s challenge gets over, one feels that yes, I had done it and accepted the challenge. One’s spending could be controlled the way it is wanted. Then one experience that many things one bought at that time was not at all required and was just wastage of money. Thus, now one feels relief to see that he could save so much which was not happening earlier.
The main success one felt when found that for all small things did not rush to the market and also if went the habits were changed as did not purchase the unnecessary things like; diet coke, no club soda, no bottled water, in fact, no beverages at all felt that tap water would do just fine.
With all these changed habits the grocery bill would be notably less. One does not buy any clothes nor purchase on Amazon very often. This effect exists only because of a change in priorities, breaking of habits and some will power.
Retirement Spending Challenge 5 Create a Savings Competition
Call someone else who’s traveling in the same boat of a financial pinch: Maybe sibling, best friend, or gym buddy. Challenge them to saving money. The person, who is able to save more money over the next month, or the next six months, wins the game and will get the award.
But, how to define “saving more” money, it could be measured by each of our relative spending declines of the previous year.
Even this challenge can be played with the spouse.
Bring in the entire family for this challenge and create a game to see who can find the most creative ways to save money and who saves more. Keep a record of each person of the innovative ways they had used to save some cash or re-used an item.
The effect could be son might start washing and re-using Ziploc bags, a spouse might replace all the incandescent light bulbs with CFLs, a daughter may begin mending her clothes or planting an herb garden.
Encourage creativity. Host a family meeting once a week where each one could give out little prizes.
Retirement Spending Challenge 6 A Saving Thermometer
Make a picture of a giant thermometer. Write the savings goal at the top. Hang it up somewhere that the whole house could see it – perhaps on the refrigerator or in the living room.
Each week, color the thermometer according to how much one has saved. The top of the thermometer should represent some prize that everyone in the family wants. This could be as cheap as a popcorn party or a trip to the zoo (especially if one has young children) or one can go for a massage chair, which would probably appeal to an adult household.
“Enjoy Money in the Present and Save Money for the Future Smartly”
“Retirement Spending Challenge”