The Cheapskates Guide to Retirement

[griffithee]

I meant to quote HNL Bill on this one ^

 

[brett]

Shopping based on value, living below our means, avoiding consumer debt, and investing wisely is the reason we were able to retire early with the resources we need to do whatever we choose.

We have a number of in-laws who think we are lucky. Their choice was the opposite. Hence in their early sixties they have mortgages, reverse mortgages, consumer debt, and JOBS.

 

[athena53]

We have a number of in-laws who think we are lucky. Their choice was the opposite. Hence in their early sixties they have mortgages, reverse mortgages, consumer debt, and JOBS.

A former boss used to say, "luck is the distillation of effort". There is some genuine luck involved: having marketable skills, staying healthy, etc.- but it's not all luck.

 

[jj]

I've got a book with a similar theme, How to Retire the Cheapskate Way, by Jeff Yeager. It's pretty good, especially for a frugal, simple-living guy like me. It gets a little extreme sometimes, but that's okay; I like hearing about options, even if I don't implement them myself.

I seem to remember that the author of that book was a poster here many moons ago...

 

[joeea]

I am a book lover, but do not want to build more shelves for them. So, library books it is.

I am a book lover, too. I just no longer prefer the dead tree version.

 

[joeea]

If one is not careful one can lead a very boring life by cutting back too far. Just Sayin'

Cutting back has nothing to do with it. One can also lead a very boring life while spending all one's assets.

 

[joeea]

For any other book I use Overdrive from our public library. I didn't want to at first because I prefer turning paper pages but my wife finally convinced me of the convenience of having it on my phone. Now I have a book to read anywhere I go.

I can't imagine reading on a device as tiny as a phone.

But since I spend a lot of time at the beach, I love having my Kindle loaded up with great reading.

 

[Music Lover]

I can't imagine reading on a device as tiny as a phone.

But since I spend a lot of time at the beach, I love having my Kindle loaded up with great reading.

A phone is too small for me too but I have started reading some on my PC which is displayed on a 65" TV. When we're away from home I'll read books on my laptop (15"), but will still take a real book as I like to read in bed before sleeping.

 

[RetMD21]

From this old post...#124... in 2013
http://www.early-retirement.org/forums/f27/sharing-23-years-of-frugal-retirement-62251-2.html#post1372574

Posting this here, as it's personal, and not either a recommendation or a request for validation... Just a bit more of "FRUGAL".

STUFF WE DON'T SPEND MONEY ON

Life Insurance
New Clothing
Haircuts

I have been cutting my own with a inexpensive kit for years. It is a big time saver too. Not for everyone but works for me.

 

[daylatedollarshort]

If one is not careful one can lead a very boring life by cutting back too far. Just Sayin'

I suppose that depends on your interests and where you live. There's probably thousands of free and cheap things to do where we live this weekend I'd consider fun - watch a surf contest in Santa Cruz, attend a sunrise tour in the Redwoods at Muir Woods, attend one of the many free outdoor concerts, take a picnic lunch on a ferry to Angel Island, or go to a flea market on Treasure Island.

 

[Bir48die]

There’s frugal and there’s cheap. Most of us are here because we were frugal in some manner. Call it denying ourselves at times. Can take any form. Continuing to drive cars when you would normally trade them in for a new one. Looking at something and thinking it would be good to have but then you go through your “wants vs needs” mental discussion.

We do what others do. Gym membership is $99/yr each. Shop the sales. Happy hours, senior discount day at the movie theatre, etc. Own lawn care, wash our cars and perform most of the maintenance duties around the house.

However we are now drinking food booze and taking nice trips. We have agreed that we need to travel while we’re healthy. Our portfolio has grown while we have done these things.

At some point we’ll then do the Flexible Spending program as the market turns. We can camp in the camper. Buy jugs of wine. Easily cut our budget 20% especially when I hit 65 in 15 months. In the meantime we will both enjoy life and be aware of the financial pitfalls that can arise. Since we’re around the mid 60’s age we know as we hit the 70’s that our needs for frivolous things will die down. Spend more time at home and enjoy the family.

 

[SpinDoctorTX]

“Cutting back” is denying yourself, LBYM/frugal is reducing spending without reducing quality of life. Two different things. I know some very wealthy folks with everything who are incredibly boring (self absorbed), one does not necessarily follow the other.

Agreed! We saw La Boheme last week (Houston Grand Opera) for free in The Woodlands. We skip the gym and hike the paths on Cypress Creek near our home. A bunch Houston's museums are free after 4 on Thursdays. Having traveled internationally quite a lot (biz and vaca) prior to retirement, we are now hitting the US and Canada places that we want to see and are a cheap plane ticket or drive away. Even our expensive trips are not that costly as we do not travel to shop, we travel to hike, see things, and meet people.

We have a great life, and it doesn't take a fortune to support it!

 

[Kroeran]

I get a big financial thrill from fixing appliances, researching on YouTube and installing the parts.

I buy top brand used casual shirts from Goodwill and eBay. DW has ordered me into paying retail for Levi’s 502s. Very high tech pants.

I look for J&M Shoes in outlet liquidation racks. My used shoe experiment didn’t work out well

I bought an adapter that enabled using cheap paintball canisters in a Soda Stream, but it occurred to me paintball canisters could have a deadly chemical added one day for some purpose, not considering some idiot using them for sodastream

When in road trips I like to use Hilton app to find cheapest Hampton Inn or Hilton Garden in a 20 mile radius, AARP rate of course.

I try to do all house maintenance since FiREd but DW just declared that 10 feet is my maximum ladder risk going forward.

Looking forward to my first tree stump grinding adventure next week. Renting a machine is 1/5th the cost of hiring a guy.

Our kitchen is getting shopworn. Getting quotes for refacing instead of complete redo.

Special occasion gift giving from family is redirected to something needed, for example, a significant bottle of real vanilla, or the spring annuals for the garden urns.

My haircut is almost a shave done by myself with a groomer tool designed for that. Wife’s hair is long and always braided and up, never requiring a hairdresser.

I think about unloading our expensive house in the city, but the tax free capital gains far exceed the expenses. Socialism will keep that going in this government town.

 

[griffithee]

DW is on the HOA board for our subdivision. The common area trees had metal fence posts placed around each to get the stable until their root system was in place. Needless to say, after 3-4 years of rooting it was time to have the posts removed. The builder would not remove them as the subdivision had been closed out by them awhile ago so the HOA board got a quote to have fence posts removed from the 400 (or so) trees. The quote came back at $1500!!!! DW told me her dilemma. Being the solutions guy, I am (humble brag inserted) I told her of the fence post remover at Tractor Supply for $50. We came out of pocket for puller and then yours truly proceeded to remove the fence posts. It took a good three to four hours but the trees are now post free and look great. BIL just bought a ranch and was more than willing to take the slightly used fence posts off of my hands. At $3.50 per fence post new, I can't say I blame him. He got a good 1000-1200 fence posts for free along with a slightly used fence post puller. Saved him a few grand, I think. And I got a good feeling of appreciation for a hard days work. Haven't done that in a bit.

 

[RetMD21]

Our kitchen is getting shopworn. Getting quotes for refacing instead of complete redo.

I'd be interested to know how that turns out. Thinking of the same thing.

 

[kgtest]

I get a big financial thrill from fixing appliances, researching on YouTube and installing the parts.

+1 just fixed the furnace (inducer motor bearing and flame detector), dryer wheels (squeaky bearing), washer bearing (totally shot and leaking grease) and the treadmill (busted a bolt on hydraulic lift running at inclines).

Not sure how much $$ I saved, but I bet it was a lot. I also do most of my own car maintenance and repairs (except oil changes and tire rotations during snowy winters).

I am prepared to swap at least 1 or 2 more car engines in my life to save some $$ on a replacement or mechanic.

Do all our own painting, landscaping etc. Wash my cars myself with a bucket in the summer.

Never pay retail. Shop in bulk. Always negotiate down. Minimize subscription/fees. Avoid interest like the plague. Get multiple estimates/opinions. Trust, but verify. Some of the words I live by.

 

[Surewhitey]

I'd be interested to know how that turns out. Thinking of the same thing.

We considered it, but decided on a total renovation. I always wanted to build a full set of cabinets and move things around. Almost done...

You can find doors online for $10/sq ft (appx) & paint everything yourself...

 

[RetMD21]

We considered it, but decided on a total renovation. I always wanted to build a full set of cabinets and move things around. Almost done...

You can find doors online for $10/sq ft (appx) & paint everything yourself...

Looks nice!

 

[Scuba]

I doubt very much whether a light goes on and people start doing these things after retirement.



I suspect many of the people who follow all or part of this advice have done so most of their lives. They buy on value and they shop. For all goods and services.



We have no financial challenges. But we have always shopped on value and on utility. We did not change overnight when we retired early. Doing this was one of the reasons that we were able to retire early and travel.

Ditto. Doesn’t mean we don’t splurge on things we don’t need that have value to us, such as good food, Apple technology, and travel. But in our view, we don’t waste much money and there are many things we economize on such as our 2007 cars, clothing, and not having any kids to raise and support.

 

[HI Bill]

I was really looking forward to the monorail which wasn't to be completed until 2018. I have since heard it wont be ready until 2022 and pushing $9B. My money is on more cost overruns and nothing rolling until 2030.

I WISH it was monorail, and not regular rail. I'm not holding my breath, but maybe we should invest in stock in the companies building the rail, rather that trying to ride it? I'll have to come back to visit Oahu, just to ride it, if/when it comes online!

 

[HI Bill]

If I was a billionaire I'd have someone to drive me. And a maid and a cook.

Yes, if I was a billionaire, I'd have a boat captain, an oboard chef, a divemaster/masseuse, and a dive yacht!

 

[teejayevans]

Splurging on little things is fine, but making a habit of splurging adds up (e.g. I buy a latte at Starbucks a couple times a year, but I wouldn't make a habit of it).

If a $5 drink, even daily, is enough to bust your plans, then I would argue you’re living on the edge. If I had to watch my spending to that degree, retirement would suck.

 

[trumpeting_angel]

As I approached retirement, I began some frugal adventures - many familiar to some of you. A decidedly non-mechanically-inclined female, I pulled out YouTube and fixed my old dryer when it went on the fritz. Luckily, the video was using my exact model, so it was nearly idiot-proof. I also began cutting my own (long) hair. I’ve started using the no-dig gardening method (no need to hire someone to till), and built a compost pile. I’m planting more from seed and dividing perennials rather than buying plants.

Buying secondhand clothes (as well as appliances, cars, and tools) has been second nature for my whole adult life.

I swear we have more fun than the champagne and caviar set!

 

[Helena]

.

I am frugal by nature. Which is why I was able to early retire comfortably at 55 without much effort.

Since being frugal is my preferred lifestyle... I don't think of it as sacrificing anything.

 

[griffithee]

I WISH it was monorail, and not regular rail. I'm not holding my breath, but maybe we should invest in stock in the companies building the rail, rather that trying to ride it? I'll have to come back to visit Oahu, just to ride it, if/when it comes online!

Not sure why I thought it was monorail. Regardless, spending ten days in Kapolei starting next week so looking forward to seeing the progress. Mostly just looking forward to eating a Loco Moco at Anna Millers.