Senior Citizens - Tips for a Cheaper Retirement

Senior Citizens - Tips for a Cheaper Retirement

Everyone is looking for ways to save …here are a few ways to save when it comes to retirement.

Review your life insurance needs. The main reason to buy life insurance is to provide income for anyone who is dependent on you such as children or a spouse. If your kids are grown or you are divorced, you may want to reconsider making payments. You can also think about how much coverage you need.

Drive your car longer. Hold onto your car even after you have paid it off. There seems to be a desire to buy a new car for three or four years after you pay the loan off. Don’t give in! Drive the car for at least three or four years after the loan is paid off, but continue to make the monthly payments (which you have in your budget), to yourself. For instance, if your loan payment is $350 monthly, place that money into a savings account. That money will add up, especially if you keep it invested.

The average interest rate for a credit card today is 8 percent. If you are running a credit card balance and paying a high interest rate, cutting your rate, or getting the balance down will really save you some money. That money you can use to pay off your mortgage or invest for retirement.

Try to raise your Home and Car Insurance deductibles. You can reduce your annual premiums by 20 percent or so if you boost the deductibles. If you happen to have a low deductible and make a lot of claims, chances are pretty good your insurer will either boost your premium cost at your next renewal, to "get back" the money they paid out to you, or, even worse, they can choose to cancel your coverage. The bottom line is that you only want to make insurance claims for big-ticket problems. So boost those $250 and $500 deductibles to at least $1,000. If you have an old car, you should also look into whether you still need collision coverage. There's no need to pay for it if your car's market value - what your insurer would pay you should your car gets totaled - doesn't amount to much minus the deductible.

Any more tips for the Senior Citizens? Drop us a line or add a comment here

Philip Jubb


http://www.oldagepensioners.com/

http://www.getofftosleep.com/