Stay Married
It’s common to hear from both parties to a divorce that he /she “lost everything” in the process. That isn’t mathematically possible, but it’s safe to say that it’s rare that either partner benefits financially when there is a split. If you fall into the divorce pit (and some 50 percent of American couples do) remember to calculate the future needs of retirement as you divvy up the goods. Applying some sound common sense in the relocation process will help. Wiping out the entire proceeds from a divorce while setting up independently may leave little for the retirement years. A smaller living space, fewer immediate “wants,” a more economical car may be good alternatives.
Spend Less Than You Make
This bit of wisdom has been bandied about forever, but not enough Americans pay attention. Debt is simply impatience expressed through money. If you save the amount of a monthly payment for as many months as the purchase takes, you can pay cash and avoid interest.
Live Frugally
Used vehicles serve well for every day getting where you’re going. Mow your own lawn, make your own repairs when possible, make eating out a rare option. Just keep thinking about how good life will be when you are retired if you don’t spend it all when you aren’t.
Invest
Take what is left when you have lived frugally and put it into a savings plan that will offer some tax advantages. An investment counselor is a good idea if you aren’t really savvy about the market. Making changes in your savings program just for the sake of change may be counter-productive. It can be tricky. Before you sign up for something new, think first if it will fit into the long-standing plans you have been pursuing.