Making sure your retirement financials are in order well ahead of time is a critical, yet admittedly stressful, task. However, there is also a fun side to retirement planning, and that is deciding how and where you are going to spend all of your newfound free time. From traveling the world to never venturing beyond your front porch, there are a variety of retirement living situations to consider—many of which are becoming more and more feasible thanks to technology. Here are a few ways to think about spending your life in retirement.
- Keeping a primary residence while on the move. If packing up the RV and hitting the road has always been your retirement dream, then go for it! Some people may want to live this traveler life for a little while, but plan to return to their primary residences eventually. If this is you, and you are nervous about leaving your primary residence unattended, technology is here to help. It is now relatively inexpensive to install cameras around your residence and have them connect directly to your smart phone. That way, you can keep an eye on your house while you are away no matter where you are. You can also use Bluetooth sensors to detect issues like a puddle on the ground due to a leaky pipe, for example, which will automatically alert someone you have designated to watch the home.
- Renting out your primary residence. In this scenario, you keep your primary residence, but you use it as a means to make money while you are not living there. Websites like Airbnb have streamlined the process for renting out a space short-term in a safe and secure way. Short-term renting is beneficial for you to be able to capitalize on the real estate you own when you don’t need it, but to be able to use it yourself when the need arises.
- Downsizing to a smaller space. Other retirees may be ready to part with the homes where they raised their families and start fresh in a space better suited for their retirement lifestyles (and budgets). Moving to a physically smaller space in retirement is a viable option for many people who no longer want or are able to maintain a larger home, both tangibly and in terms of cost. Considering your mortgage is paid off, selling your home could allow you to cover the expense of a new space while padding your nest egg.
- Moving where the cost of living is lower. This is another form of downsizing your lifestyle in retirement, and one that you can pair with downsizing to a smaller space. However, depending on whether you are moving somewhere with a high cost of living to a significantly lower cost of living, you may be able to make a lateral move in terms of home size, or even upgrade the size of your space if that is what you want. Now with 90 percent of home shoppers using the internet to find their next homes, it’s easier than ever to see what’s available within your budget at your desired destination.
- Residing in a retirement community. Among these types of retirement living situations, opting in to a retirement community may be one you feel hesitant about, but you may find that it is exactly what you were looking for. Many communities designed specifically for retirees include homes designed with seniors in mind, community clubhouses and common areas, planned social events and even on-site medical care. Once thought to be only available for the rich, retirement communities now exist for a range of budget capabilities.
- Going abroad. Looking to live abroad in retirement? Check to see whether you can get a visa for your intended destination. Do extensive amounts of research regarding climate, health care, real estate, taxes, safety and the general cost of living before diving into a decision. Check a website like com, which researches the best places to live abroad based on all of the above mentioned categories.
When considering these retirement living situations, you need to ask yourself what you want your retirement to look like and what you want to glean from it. Doing so will help you plan for a healthy financial future as well.
For more retirement-related advice and insight, continue to follow Ty J. Young Inc.’s Retirement You Earned blog! To learn how you can maximize the amount of income you receive in retirement, call our knowledgeable Ty J. Young Inc. advisors today at 877-912-1919.