Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Expenditures Decrease With Age
Old 06-09-2005, 03:34 PM   #1
 
Posts: n/a
Expenditures Decrease With Age

[Edit: Sorry, just noticed that this is alreadying being discussed in another thread.]

Here's an article about spending in retirement.

"Traditional retirement planning assumes that a household's expenditures will increase a certain amount each year throughout retirement. Yet data from the U.S. Bureau of Labor's Consumer Expenditure Survey show that household expenditures actually decline as retirees age. Consequently, under traditional retirement planning, consumers tend to oversave for retirement, underspend in their early years of retirement, or postpone retirement."
__________________
  Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: Expenditures Decrease With Age
Old 06-09-2005, 03:42 PM   #2
Thinks s/he gets paid by the post
 
Join Date: Dec 2002
Posts: 3,875
Re: Expenditures Decrease With Age

Quote:
Originally Posted by TromboneAl
Here's an article about spending in retirement.

"Traditional retirement planning assumes that a household's expenditures will increase a certain amount each year throughout retirement. Yet data from the U.S. Bureau of Labor's Consumer Expenditure Survey show that household expenditures actually decline as retirees age. Consequently, under traditional retirement planning, consumers tend to oversave for retirement, underspend in their early years of retirement, or postpone retirement."
Other than ourselves, I don't have first hand knowledge of any retiree's
budget variation pre. vs. post retirement. The closest I could come is probably my parents. I know their spending has not increased much (yet),
but they both came through the Depression which may account for
a little extra frugality, along with both being in their late 80s. I think
our spending might actually increase a bit after we are both drawing SS,
but then I cut back very severely in order to ER.

JG
__________________

__________________
MRGALT2U is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 07:29 AM   #3
Thinks s/he gets paid by the post
Spanky's Avatar
 
Join Date: Dec 2004
Location: Minneapolis
Posts: 4,046
Re: Expenditures Decrease With Age

Thanks for the article. It seems that people are afraid of spending as they grow older.

Spanky
__________________
May we live in peace and harmony and be free from all human sufferings.
Spanky is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 09:52 AM   #4
Recycles dryer sheets
 
Join Date: Feb 2005
Posts: 188
Re: Expenditures Decrease With Age

I don't think "fear of spending" is as significant as declining health in explaining why older persons tend to spend less (in constant dollars) as they get older. My mother and stepfather travelled extensively until he became physically unable to do so. Now, they go nowhere, and I see parallel patterns of behavior among others of similar age (late 80s, early 90s).



__________________
playaman is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 10:25 AM   #5
 
Posts: n/a
Re: Expenditures Decrease With Age

Al - Thanks for the Article.

I have thought along these lines ever since I retired. I have planned an additional $20K per year for Travel until age 80. Then I pull back.

After all. Come up to any 85 year old ask them if they could have anything they wanted, and they probably pick something like "A nice sunny day on the porch with a cold glass of lemonade." - In other words things that don't cost much.

Once people reach 85, the thought of traveling to Europe is distasteful on all levels. Some people Like John Galt reach this conclusion before age 60 - (We call them Old Pharts! )
__________________
  Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 12:49 PM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

According to Jeff Foxworthy, all any man ever wants at any age over 11 is a nice cold beer and to see somethin' naked. Depending on your approach, that set of activities can be very inexpensive, or highly expensive.

He hasnt opined on what women of any particular age want.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 06:00 PM   #7
Moderator Emeritus
Nords's Avatar
 
Join Date: Dec 2002
Location: Oahu
Posts: 26,617
Re: Expenditures Decrease With Age

Quote:
Originally Posted by th
He hasnt opined on what women of any particular age want.
One of the sitcoms-- "Rodney" something?-- has a sign on a woman's refrigerator.

"My fantasy: two men-- one to clean, one to cook."
__________________
*
*

The book written on E-R.org, "The Military Guide to Financial Independence and Retirement", on sale now! For more info see "About Me" in my profile.
I don't spend much time here anymore, so please send me a PM. Thanks.
Nords is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 08:02 PM   #8
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

Hmm...my wife gets that from one man. Methinks I'm getting a raw deal. But I sure dont want another guy in here helping me.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 08:18 PM   #9
Moderator Emeritus
Nords's Avatar
 
Join Date: Dec 2002
Location: Oahu
Posts: 26,617
Re: Expenditures Decrease With Age

Quote:
Originally Posted by th
Hmm...my wife gets that from one man.* Methinks I'm getting a raw deal.* But I sure dont want another guy in here helping me.
You'll remember this conversation the day you teach Gabe to start cleaning up after himself and then take a break to make dinner.

Living with two women sure didn't turn out the way I thought it would, either!
__________________
*
*

The book written on E-R.org, "The Military Guide to Financial Independence and Retirement", on sale now! For more info see "About Me" in my profile.
I don't spend much time here anymore, so please send me a PM. Thanks.
Nords is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-10-2005, 09:41 PM   #10
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

I tried a little experiment a few minutes ago. I was lounging on the couch with a beer watching The Daily Show when my wife zoomed into the room with the baby in his carrier, pushing a vacuum cleaner. I made motion for her to turn it off a minute. "When you're done with that, can you get my dinner ready and finish washing my laundry?".

I dont think her reply is printable in a public forum.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 12:23 AM   #11
Recycles dryer sheets
VoyT's Avatar
 
Join Date: Feb 2005
Posts: 445
Re: Expenditures Decrease With Age

* And you posted this after you unwrapped the vaccum cleaner cord from around your neck, right?
__________________
"Coffee: the finest organic suspension ever devised." -- Kathryn Janeway
VoyT is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 09:50 AM   #12
Thinks s/he gets paid by the post
 
Join Date: Mar 2004
Posts: 2,083
Re: Expenditures Decrease With Age

Quote:
Originally Posted by th
"When you're done with that, can you get my dinner ready and finish washing my laundry?".
I dont think her reply is printable in a public forum.
What do you expect when the wife wears the pants in the family. Mr. Mom.

MJ
__________________
I look to the present moment because that's where I live my life.
MJ is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 12:07 PM   #13
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

Eh, she mostly just giggled and shook her head as though I had just mouthed the most foolish statement ever uttered.

And man, does she look good in pants! Made all the girls jealous when she went back to work because she not only lost all the baby weight she lost a few extra lbs. I wont mention the bigger boobs. Whoops.

Every time I take gabe out shopping, the cashier always calls me mr. mom. Still not sure I like that, but what the hey...
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 12:40 PM   #14
Moderator Emeritus
laurence's Avatar
 
Join Date: Feb 2005
Location: San Diego
Posts: 5,234
Re: Expenditures Decrease With Age

I'm sure I don't like it! Why can't they recognize you for being what you are: HEY a good DAD! Gender roles, allive and well.

My step-mom and Dad switched who stayed at home half way through their 4 kids, and it was a great experience. DW and I have often discussed me staying home with the kids at some point.

O.K. end of rant, I know most don't mean anything by it. I just think stay at home Dads (or Moms for that matter) don't get enough credit/respect.
__________________
laurence is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 12:48 PM   #15
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

I dont take it too badly. She always tells me about being 3rd child in a family of 9 and how her dad stinks at 'being a dad' and how nice it is that I take such good care of him.

Its sometimes a long wait in line and he gets fidgety so I play with him a little bit to keep him entertained. Last week we found out he somehow has 'monkey feet' which makes him laugh right out loud. And this week I think I discovered that he also might have 'monkey butt'. This makes my wife : but she says "oh well, he seems to enjoy it and so do you. But he does NOT have monkey feet OR a monkey butt (glare)". I told her I have sent a photo of the alleged monkey butt to a world reknowned monkey butt specialist for analysis, and we should soon have his verdict.

I found a little outfit for him a few days ago that has a bunch of monkeys on it, which makes me deliriously happy.

Small things for small minds...
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 01:46 PM   #16
Thinks s/he gets paid by the post
 
Join Date: Mar 2004
Posts: 2,083
Re: Expenditures Decrease With Age

Quote:
Originally Posted by Laurence
I'm sure I don't like it! Why can't they recognize you for being what you are: HEY a good DAD! Gender roles, allive and well.
You're right, whether you're a mom or dad, a great parent is just that.

But Mr. Mom is just a playful label IMO.

I will make an assumption th does the shopping during hours when the average dad's typically at work, so the market may have a lot more Ms. Mom than Mr. Mom.
__________________
I look to the present moment because that's where I live my life.
MJ is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 01:48 PM   #17
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

Ding ding ding...we have a winner! 3 in the afternoon is optimal shopping time around here. The stores are mostly empty except for me, a few moms, and some old retired couples.

Just dont try it on a weekend...
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 05:30 PM   #18
Moderator Emeritus
laurence's Avatar
 
Join Date: Feb 2005
Location: San Diego
Posts: 5,234
Re: Expenditures Decrease With Age

Yeah, that post of mine was too harsh. It's a shame, though, that TH is the exception to the rule (re: weekday afternoon shopping = no dads).

Monkey Feet! Tori's favorite game! Pat them together, pull them to her mouth! Lots of laughs!
__________________
laurence is offline   Reply With Quote
Re: Expenditures Decrease With Age
Old 06-11-2005, 06:57 PM   #19
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Re: Expenditures Decrease With Age

Clearly you know this game.

Indeed, a big razzberry on the toes brings a giggle every time. ESPECIALLY if they're MONKEY FEET!!!

I have confirmation from the monkey butt expert that it is, in fact, monkey butt as well. My wife is in denial.
__________________

__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Does retirement spending decrease with advanced age? JustCurious FIRE and Money 24 01-23-2007 12:29 PM
Stone Age Newborns~27,000 years old mickeyd Other topics 0 11-21-2006 12:44 PM
Real retiring age of Spaniards highest ForeignExchange Life after FIRE 0 01-20-2006 08:58 AM
Who picked age 65? mickeyd Other topics 28 05-25-2004 05:20 AM
SS options in firecalc wzd FIRE and Money 4 02-16-2003 10:46 AM

 

 
All times are GMT -6. The time now is 11:18 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.