5 Tips for Older Adults to Reduce Their Financial Stress

Regardless of your age, financial trouble increases your stress and decreases your overall well-being. As you age, you might experience an added sense of urgency when facing money concerns. Perhaps you worry about losing assets or being unable to afford an assisted living facility on a fixed income. Fortunately, you can take steps to address your financial issues and help reduce your stress. DMV Real Estate Resources shares the following:

1. Create a Budget

By keeping track of what you buy, you can plan for necessary retirement expenses and avoid overspending. Depending on your situation, you might want to prepare for an emergency, manage your debt, or have an easier time during tax season.

When creating a budget, set a goal for what you want to achieve to have a point of reference as you work toward it. If you have a medical condition that may require additional care, start saving now for the costs. You can research online to find facilities in your area to compare pricing and reviews.

2. Reduce Your Spending

Once you know where your money goes each month, you can make adjustments to reduce unnecessary expenses. You might spend needlessly on recurring subscriptions you no longer use or high credit card interest payments.

If possible, you might also be able to cut back your cost of living by seeking cheaper alternatives for things you regularly buy. Review your monthly expenses to see where you can decrease spending.

One strategy for saving money in the long run is to ensure that your home systems, like HVAC, get regular preventative maintenance. If you have an air conditioner that is performing sub-optimally, reach out to a local contractor for air conditioner repair. Having a unit serviced and repaired is almost always more cost effective than replacing it. Search online for a well-reviewed local contractor that can service your HVAC systems and save you money.

3. Downsize Your Home

If you live in a large house with extra space you no longer need, it might be a good idea to consider downsizing. By purchasing a smaller home, you could save money on your utility costs, tax burden, and mortgage payments, making it easier to reach your financial goals.

While moving can be a stressful endeavor, many services can help. When relocating, you may not have room for all of your belongings in the new house. Consider donating or selling anything that you no longer use.

4. Raise Extra Funds

If you are having trouble making ends meet, there are several ways to make extra money. While working during retirement might not seem ideal, experts say a part-time job can provide many benefits. In addition to the added income, working can boost your mental and emotional health. Consider one of these popular low-intensity positions:

• Teaching
• Coaching
• Greeting
• Bookkeeping
• Consulting

Draw on your experience and interests to find a well-suited part-time job. Another way to generate funds is to sell your business. Make sure to get a business valuation to know what to expect to earn from the sale. Selling your company can help raise money for essential expenses, such as medical care or an alternative living solution.

5. Apply for Government Assistance

If you have exhausted all your options, there might be a government program that can offer financial assistance. Depending on your income, you may be able to receive food benefits, utility payment help, or wellness and stress-relief support. It is essential to maintain your mental and emotional well-being through self-care. Taking advantage of free or low-cost community events can offer much-needed stress relief.

As you age, it can be challenging to manage your financial burdens, especially when living on a fixed income. These tips can help you gain control of your finances, build savings, and find the assistance you need to feel secure in the future. For help locating the right housing solution for you, contact DMV Real Estate Resources today!

Written By: Andrea Needham