Sunday, February 28

Opinion: What Should You with All That Money You Saved for Retirement? How About Spend It?

I woke up one early morning, searched in the mirror, and didn’t acknowledge the person looking back at me. Who is this person? It can’t be me. I’m not the same person I was five or six months earlier. I don’t understand if it’s the pandemic that caused me to act in a different way or if I’m going through some sort of midlife crisis.

No, it can’t be a midlife crisis. I’m practically 70 years of age, plus I do not feel my life is uninteresting, empty, or useless. In truth, I feel excellent about myself and my life.

Rather, what I do not understand is why I have a different mindset toward money. All my life, I have been a supersaver. It was the main factor I was able to retire early. It sure wasn’t because of my investing abilities. I was, at best, just an average financier. However, just recently, I have been spending gobs of cash in ways I never would have in the past.

I’m doing a complete remodel of my house. Of course, some of the work needed to be done, but not everything. If it didn’t include a mountain of structure licenses and other paperwork, I’d most likely have added on to your house, too. Oh, did I tell you I purchased all brand-new appliances and furnishings for your house? If I were my younger self, I would state it was inefficient costs. But I’m not my more youthful self any longer. I’m somebody else.

I’m not just spending money on the house. I purchased a car and a truck and I’m planning to buy another automobile later this year. If it weren’t for COVID-19, I would be on my way to Europe for a month or 2. In fact, I charged so much on my charge card that I received a notification my credit rating has dropped. I don’t care. That won’t stop me from costs.

I have got a list of things I want to see and do when this pandemic is over. It’s going to make more money, however, I’m not stressed about it. I’ve got all these retirement accounts to finance my new spending practice: a standard IRA, rollover IRA, Roth IRA, and an old 401( k). And don’t forget Social Security, which will kick in next year at age 70.

It’s baffling. I do not know what suddenly induced this impulse to spend without doubt, but I have no remorse about it. My better half is right there with me, spending left and right, so it can’t be just me going through some sort of crisis. She, like me, was always a mindful spender. In truth, that is among numerous reasons we get along so well.

I have a theory about why I’m acting the way I am. When you’re young, you play a long video game. You conserve and invest for your future, knowing you may live another 40 or 60 years. However, when you’re older, you play a brief game. Your timeline is condensed and you’re happier to invest down your savings to live a satisfying and comfortable retirement. I’m playing a brief video game. I remain in cost mode.

There’s no factor my better half and I ought to adhere to our previous behavior of conserving and pinching cents for the future. The future is now. Why not invest in a manner that’ll permit us to delight in life to the maximum? We have no household obligations, except for a son who does not require our monetary assistance. Still, we’re preparing to leave him some cash.

We saved our whole life to get where we are. We aren’t irresponsible spenders aiming to die broke, however, we’re going to make certain we enjoy the rest of our life as finest we can. If that means spending down our retirement cost savings, so be it.