Make Lemonade Out Of Lemons With A Common Retirement Planning Dilemma

Most baby boomers will need to make tough choices when planning their retirement: They’ll either need to work longer or reduce their living expenses, or do some combination of the two. So, how can we make this a win-win situation, instead of just being depressed about it?

It depends on your perspective. Let’s take a look. 

Playing with our grandchildren awhile back, it occurred to my wife and me that there’s a very good chance they’ll be alive for another 90 years. As a result, they’ll most likely experience the potential long-term consequences of the dire headlines we’re reading about now, such as global warming, significant pollution, overcrowding, and excessive government debt. And since my wife and I will be dead in 30 years or less, we’ll most likely escape the full brunt of these trends.

This realization doesn’t make us feel very good, and we’d really like to do something to leave a better world for our kids and grandkids —cleaner air and water and a sustainable environment. Our best guess is that there are a lot of people out there just like us who’d like to leave this world a better place than it is now.

But what does this have to do with retirement planning? Most boomers will to make every dollar count in retirement by balancing their income and spending. But instead of viewing this as an impoverished situation, we have opportunities to enrich our retirement years while also helping to improve our communities for future generations.

Most of us will have more time and less money in retirement compared to our working years. We can use that additional time to our advantage by understanding that many small, positive steps can lead to significant improvements over time, just as compound interest increases our savings accounts.

With this spirit in mind, here are 10 tips for saving money during our retirement years that will also help leave a better planet for our grandchildren:

10 tips for a green retirement

1. Downsize your house to save on maintenance and utility bills.
2. Move close to day-to-day retail and service outlets, restaurants, and social settings to reduce your energy consumption.
3. Use your car less by walking or biking. This will help reduce energy consumption and pollution. Note that you might be able to pull off a triple-header by combining tips 1, 2, and 3.
4. Take public transportation whenever possible.
5. If you need a new car, buy one that sips gas and has low emissions.
6. If you need or want to work, find work that’s close to home or is accessible by public transportation.
7. Eat less meat. Factory meat production uses a lot of water and creates substantial greenhouse gases and pollution.
8. Grow your own fruits and vegetables. Adopting tips 7 and 8 will also help improve your health, potentially reducing your medical bills.
9. Rip up your lawn, and replace it with landscaping that uses less water, gas (for mowing), and chemical fertilizers and pesticides.
10. Share housing to reduce your energy bills.

My wife and I have taken many of these steps already, and we find that it hasn’t been much of a sacrifice. In fact, our life has been enriched, not diminished. The fact is, making ends meet in retirement can be rewarding for your pocketbook as well as your sense of life satisfaction.