At the age of retirement, most Americans have saved over $100,000. That was the finding from a 2015 survey by the Transamerica Center for Retirement Studies. It found that Americans in their fifties have a median savings of $117,000, while those in their sixties have saved an average of $172,000.
However, this year’s survey showed that prospective retirees have an average household savings of $45,000, not including equity. With the economic downturn and cash being scarce, most people wonder how they can save for retirement.
Thankfully, you can live frugally to be able to save for retirement and still enjoy life. Here are some tips that’ll help you save more.
Take Advantage of Senior Discounts
Many stores offer amazing discounts to adults aged 50 or 55 and above. Make a habit to always ask for discounts when you go shopping, and ensure to note what they are and when they are offered.
Upgrade Your Driving Skills
Consider registering for a defensive driving course. AAA’s Roadwise and AARP offer great discounts for older adults. These courses will provide you with adequate tips to adjust to age-related physical changes.
Let go of Your Insurance
You need some insurance like car insurance, health insurance, homeownership/renters insurance, and more. But some may not be worth paying for.
If you don’t have any debts and don’t have dependents, consider letting go of your life insurance policy. If you’ve stopped working for income, also consider nixing disability insurance. These decisions may sound controversial and are based on your situation, so you should speak to a financial advisor before making a decision.
Freeze Property Taxes
States like Georgia offer several options that allow individuals aged 62 or 64 and older to leverage homestead options.
If your income and your spouses together are not up to $100,000 for the previous year, and you’re age 65 or older, you can claim a $4,000 exemption from county ad taxes. People aged 62 and older also have the option to claim exemptions for educational purposes.