| All too often, I hear about people who | | | | all their lives and that is not necessary. I |
| retired and then returned to work because | | | | am willing to tell you what I did and why, |
| they had to in order to meet their living | | | | but everyone has to make their own choices. |
| expenses or because they could not stand not | | | | I am saying that anyone can make choices that |
| having any purpose in their lives.To both | | | | will allow them to live comfortably in |
| those reasons, I say nonsense, you can | | | | retirement if that is what they want and they |
| retire, make ends meet and live with purpose | | | | are willing to make changes in their life and |
| If you really want too. I know, because I'm | | | | lifestyles.I do need to tell you that if you |
| doing it. To be certain, in order to retire | | | | want to retire on a budget, you must downsize |
| successfully, you must lay some ground work | | | | the house you live in. Do you really need a |
| prior to doing it. In the following steps, I | | | | 2,000 plus, square foot home with four |
| will tell you what I did and show you how I | | | | bedrooms? My house is a small two bedroom |
| did it and finally, make some suggestions to | | | | bungalow with one bathroom. This is the size |
| tell you how you can do it too.1. You must | | | | of the houses most of us grew up in during |
| decide if you really want to retire. Ever | | | | the 50's, 60's and even the early '70's. It |
| since we were young, just setting off in | | | | has a large eat-in kitchen with a walk-in |
| life, we've been thinking about a time when | | | | pantry, an enclosed porch, and a small living |
| we would have nothing to do but just live as | | | | room. I use one of the bedrooms as an office |
| we had done when we were children. That is, | | | | and work area for my various crafts. |
| we would not worry about where our next meal | | | | Obviously when I have company it serves as a |
| was coming from, we would not worry about | | | | guest bedroom too. It is easy to maintain |
| keeping a roof over our heads, we would not | | | | and it is easy to heat. The taxes are |
| worry about taking care of others, we would | | | | low.You should know that you can live without |
| not worry about bills, we would not worry | | | | a mortgage and whether you retire or not, you |
| about what others thought of what we said or | | | | should pay off your mortgage as soon as you |
| did (within reason, of course) and we would | | | | can and avoid those constant notices that |
| not worry about not having fun. Once we | | | | come in the mail advising you that you can |
| settled into the 9 to 5 routine, no holidays | | | | get a low cost equity loan on your house. |
| except those carefully prescribed by law, no | | | | You pay for what you borrow, and you could, |
| summer vacations, the facts of life set in | | | | if you come on hard times, lose your house |
| and most of us really did not like being put | | | | because you do not really own it until the |
| in harness. But, for the most part, we wore | | | | mortgage debt is retired. I remember a time |
| that harness and did what was expected of us | | | | when Americans expected to pay off their |
| and talked about retirement. That's what | | | | mortgages and that it was considered a good |
| most of us did, including me, we just talked | | | | thing to do so. It is still a good thing and |
| about it. We did not think the day would | | | | don't let lending institutions tell you |
| ever come and for the most part, we did | | | | differently. Likewise, I remember a time |
| nothing to plan for it. Consequently, for | | | | when it was a good thing for Americans not to |
| many of us, retirement seems impossible. | | | | be in debt to anyone. Once again, that is |
| Especially for woman of retirement age now, | | | | still a good thing and don't let anyone tell |
| we expected to be taken care of from cradle | | | | you differently.Although I live in Canada and |
| to grave. This is particularly true if we | | | | do not have health insurance worries, I |
| did not have husbands to make retirement | | | | believe that with planning, retirees can have |
| plans for us.Think about the question: do | | | | affordable health insurance in the United |
| you really want to retire? Think about what | | | | States. Combining Medicare and Medicaid with |
| you would REALLY do, it you did not have to | | | | a supplemental policy (see AARP), it is |
| go to work. Each of us has to answer these | | | | possible. If I were living in the States, I |
| questions for ourselves. I left a good | | | | would take a supplemental policy with the |
| paying consulting job in order to retire. I | | | | largest deductible I could get. In that way, |
| was not forced out of work by younger workers | | | | you will minimize your payments and you will |
| nipping at my heels or by downsizing. I left | | | | assure yourself of treatment. After you are |
| because of the things I still wanted to do | | | | on your feet you can negotiate an payment |
| while I still could do them. Looking back | | | | plan affordable for you, out of your |
| into the past, I remembered the things that I | | | | available funds, to pay whatever is owed on |
| did or wanted to do before the realities of | | | | the deductible. In addition, if I were |
| my life took over. I wanted to travel and I | | | | living in the States, I would stay on top of |
| wanted to write. You also have to consider | | | | health care issues and make certain that the |
| what you want to do now if you had the time | | | | Congress becomes responsible for enacting |
| to do it. For me, I want to be able to spend | | | | laws that make health insurance available and |
| time with my family and especially my young | | | | affordable for all Americans.Other than |
| grandchildren. I want to learn how to draw. | | | | health insurance, home owners insurance and |
| I still want to travel and I still want to | | | | car insurance no one should pay for more. |
| write. As long as I kept a full time job, I | | | | And I believe that it is in your best |
| saw no way to do these things as I wanted to | | | | interest to chose a high deductible on your |
| do them: with all my heart and full time.2. | | | | policies to lower your costs and to keep the |
| Once the decision is made, you must carefully | | | | money in your hands. If you want, put a few |
| figure out how you will do it. I believed | | | | thousand dollars into a bank account and keep |
| that it was essential that I keep myself | | | | it there as a buffer against any problem |
| under my own roof and that I, and I, alone | | | | where you may have to pay the full deductible |
| owned that roof; not the bank, not a mortgage | | | | on any of your policies (do this while you |
| company, not any one...just me. I knew that | | | | are still getting a pay check).At my death, I |
| I needed to make certain that I had health | | | | will not leave my family any large |
| insurance and that I could keep some type of | | | | inheritance, but I won't be leaving any debts |
| health insurance until I died. I also knew | | | | that they would feel honor bound to pay. |
| that I had to be certain that my family would | | | | They will have the proceeds from the sale of |
| not be saddled with any debt for my burial. | | | | my home and possessions to do as they please. |
| I knew that I needed enough to keep myself | | | | They know that I wish to be cremated in a |
| fed and clothed. I knew that I would have to | | | | cheap wooden box (the box is required by law) |
| make certain that I could pay my utilities. | | | | and I want my ashes scattered in the ocean |
| I also knew that I had no retirement except | | | | near where I live (remember, I wanted to live |
| for social security. Remember what I said | | | | near water when I retired, and I do).5. |
| above about women my age, and this is | | | | Finally, I want any one considering a |
| especially true of those us who were single | | | | successful retirement to make certain that |
| mothers and solely responsible for ourselves | | | | they have a good car that is fully paid. |
| and our children. And there are millions of | | | | Plan to take care of the car, and if you must |
| us who fit this description. I knew that I | | | | ever buy another vehicle, face the fact that |
| had credit card debt. I also knew that the | | | | you will be looking at older model cars that |
| bank, and I, owned a home that had accrued | | | | you can afford to pay for in cash. In that |
| some equity (I did do something right to | | | | same vein, since this is the 21st century, |
| prepare for retirement) and that the house | | | | there are occasions when you need a credit |
| was too big for my needs and was a huge drain | | | | card or a reasonable facsimile. A debit card |
| on my finances.3. Once I had made up my mind | | | | can be used to purchase travel tickets and to |
| that I did want to retire and I had looked at | | | | secure hotel, motel and car reservations for |
| what my needs in retirement would be, I set | | | | the times you may want to travel. Yes, they |
| out to make it possible. I gave myself a dead | | | | do take debit cards. In this way, you become |
| line that within two years of all this | | | | your own lending authority.Now all good plans |
| thinking, I would be retired. To start, I | | | | hit snags and you must be ready for them. In |
| looked at where I would retire. There are | | | | my case, the American dollar has lost value |
| some places where I believe retiring, on a | | | | and now it is almost at parity with the |
| modest retirement income, would be almost | | | | Canadian dollar. Therefore, I have lost some |
| impossible, but then, anything is possible if | | | | spending money. But these things go up and |
| you want it badly enough and if you are | | | | down and I can weather this storm since I own |
| willing to make trade-offs to made it so. I | | | | my home and I have no debts. I call my |
| do not believe, for example, that you could | | | | friends and relatives in the States |
| find affordable housing, on a very limited | | | | frequently but I always use a pre-paid card |
| budget, in New York or Beverly Hills. You | | | | for this. In this way, I keep control of my |
| could decide to live near these cities, but | | | | telephone bill and pay the phone company only |
| not in these cities. I needed to make | | | | for their basic service and for the Internet |
| certain that all my credit card debt has been | | | | connection. Needless to say, much of my |
| retired and I needed to learn to live without | | | | correspondence with those back home is by |
| those cards. In other words, and to the | | | | email. I buy fewer clothes, and frequently |
| horror of the banks and credit lending | | | | buy from local consignment shops since I no |
| institutions, I had to learn to live on a | | | | longer need to "invest" in high price |
| "cash only" basis. And to the horror of | | | | business suits, shoes or hosiery. I shop |
| those same institutions, I decided that when | | | | sales in the markets and buy fruits and |
| I retired, I would live in my own home, | | | | vegetables in season. I do more home baking |
| mortgage free. And finally, and this was a | | | | which I have always loved to do and now have |
| shock, I looked at all those notices that I | | | | the time to do it. I go to lower priced |
| had been getting in the mail from social | | | | movie matinees and I eat out during the |
| security and found out what I would be living | | | | afternoon for the lower priced lunch |
| on from my social security account.4. My | | | | specials. Actually, I don't eat out as much |
| plan called for selling my home, selling | | | | as I did since I have the time to cook at |
| whatever over-sized furniture I owed and for | | | | home for my family and friends. I pay only |
| which I did not have some overly sentimental | | | | for basic cable and no movie channels; after |
| attachment. My plan called for finding a | | | | all how many times in a month can you see the |
| place to live where I could be happy. I | | | | same movie?Am I happy? You bet I'm happy. |
| needed to live close to a city, but not | | | | Am I busy? You bet I'm busy. I'm happy |
| necessarily in one. I needed to live near | | | | because I am living well, but not high, and I |
| water. I needed to live in a temperate | | | | am doing what I want. I am playing with my |
| climate with all four seasons. I needed to | | | | grand kids when I want. I am beginning to |
| be able to buy my house outright and to put | | | | make some small profit on my writing which I |
| whatever I made from the sale of my older | | | | do when I want. This extra income will be |
| home, over and above the price of the new | | | | put aside this year to cover the increased |
| house, into savings. I wanted to be close | | | | costs of gasoline and heating fuel. Do I |
| to, if not my entire family, at least some | | | | need this extra money? Not really because I |
| part of my family.Now here is what I did that | | | | could, with little changes, tighten my belt |
| many would consider shocking. At the age of | | | | and still live comfortably. I am learning |
| 63, I bought a home in Canada close to my | | | | to speak French, which was something I always |
| youngest son and his family. I reasoned that | | | | wanted to do and I am drawing and my house is |
| the American dollar would always be stronger | | | | full of my own art work. My art, which is |
| than the Canadian so my retirement dollars | | | | reminiscent of Grandma Moses, may not be |
| would farther. Land and housing prices in | | | | saleable, but I like it and hopefully my |
| Canada are much more reasonable than they are | | | | family and friends do too since they get it |
| in the United States. This is particularly | | | | at Christmas. I travel taking advantage of |
| true of the Province that I chose to live. | | | | the price savings from making my reservations |
| The house took only a little of the proceeds | | | | on off seasons and far in advance of my |
| I recognized from the sale of my old home and | | | | planned trips.Am I glad I've retired? |
| that money is now in the bank and is only | | | | Absolutely and if you really want to retire, |
| used for special needs and occasions. I know | | | | you can do it too and be glad of it.Maureen |
| that some of you are thinking "why doesn't | | | | R. Sinclair is an American (via N.Y.C. and |
| she invest that". Well, I would if I knew | | | | Lexington, KY). currently residing in Nova |
| anything about investments, which I don't. I | | | | Scotia, Canada. Educated as a Registered |
| do know that it is safe in the bank and will | | | | Nurse, she holds an M.S. in Psychology. Ms. |
| be there when I need it.Now, not everyone, or | | | | Sinclair has traveled widely and has many |
| possibly anyone reading this, would do what I | | | | interests. She is an accomplished artist and |
| have done with respect to leaving the United | | | | writer currently writing for |
| States. They also would not consider leaving | | | | onlinecooking.net. Ms. Sinclair can be |
| the part of the country where they have lived | | | | reached at: or . |