After all that hard work and sacrificing of leisurely activities in your younger days, it’s finally time to kick back and enjoy your retirement years.
The first thing most of us may think about is a big happy family vacation. A vacation filled with bonding time and enjoying the company of your family members you don’t usually get to spend time with.
You might have saved for your retirement years so if you will be paying for a sizable entourage for your family vacation, it’s essential to budget carefully in advance, and to determine financial responsibilities upfront.
You may have even started planning your vacations and leisure activities and may have considered volunteered vacations.
Combining travel and philanthropy can make your retirement even more fulfilling. It also requires extra financial planning. For this reason, saving and budgeting is essential to this process.
If you're traveling abroad and you plan to stay in one place for several weeks, you may want to ensure that you have full access to your bank account so that you can access the funds you'll need to cover your living expenses.
Ensure that you budget for your travel/vacationexpenses and speak with your advisor.
Recreation may take up a lot of our retirement funds as leisure does not only include travelling but also, investing or buying a vacation home.
Be sure not to underestimate leisure in your retirement budget as in your retirement years you should be able to make some “fun” decisions but unfortunately these decisions can cost you the rest of your ‘happy’ years.
No matter how old we get, leisure is something we still look forward to.
Recreation is even advised after retirement as this will help to avoid depression.
Our recreation may consist of family time, exploring with your significant other or just spending time enjoying the luxury of freedom.
For those already retired, the timing of when you take extended travel or how many recreation you invest in can be critical.
Make sure the cost of a volunteer vacation is in line with your long-term spending strategy and seek an advisor to help you create a thoughtful strategy for managing your income needs during your retirement, without jeopardizing your future security.