SPEND SOME MONEY BEFORE YOU RETIRE
It might seem counterintuitive, but soon-to-be retirees should start spending their money now, in the "Go! Go! Go!" years, according to Joe Roseman -- managing partner at O'Dell, Winkfield, Roseman & Shipp -- a financial planning firm with headquarters in Denver.
"We believe that the last three to five years that our clients work, they are in great health, have built up vacation days and should take one of those once-in-a-lifetime dream trips," said Roseman. "You should spend some of your money in the 'Go! Go! Go! years' doing what you want to do. Know that if you don't spend it, your children will. I promise."
RETIRE ABROAD Living overseas during retirement can dramatically decrease the cost of living, as well as improve your quality of life. Nearly 550,000 American retirees live abroad, according to the Social Security Administration, some cashing in on more favorable exchange rates by moving to locations like Mexico. William L. Seavey, owner of Crisis Response Publishing, has advised retirees on how to relocate from urban areas to small towns. Seavey has a home in Baja, Mexico that he built for just $25,000. “You won’t spend much more than a few hundred dollars a month once your house is paid for,” he said. “I call it the poor man’s Hawaii — and it’s one of the safest parts of all Mexico.” You should research the communities you’re considering, including spending time in each city during the summer and winter months, said Seavey. In addition, check out the city’s Chamber of Commerce website and online newspapers, blogs and communities to learn more.