-List all monthly outgoings
In order to save money you need to work out what you are spending each month. Can you spend less on non-essential items? Making a list of everything you spend will help you to work out where you can make savings.
-Holiday at home
If you normally go abroad for a holiday consider staying in the UK as this could potentially reduce the amount you have to spend. Exchange rates in European countries are not favourable to Sterling which means the amount of money you spend when abroad will also be higher compared with 5 or 10 years ago.
-Sell your unwanted items
If you have been living in the same property for a number of years chances are you will have accumulated a lot of stuff. Have a clear out of all the items you no longer use or want and them sell it at a carboot sale or online. Not only will this free up more space you can also make some money!
-Pay off your mortgage
A mortgage is usually the highest fixed monthly outgoing for any household so getting it paid off will normally leave you substantially better off. If you have the money at the start of your retirement then it is advisable to use this to pay off your mortgage, or as much as you can afford.
-Grocery shop monthly
Doing a monthly grocery shop is a great way to save money in retirement. It will allow you to take advantage of buying in bulk by buying the largest quantity of a particular product. This will also help prevent you from making small and frequent food purchases during the week that can end up being costly.
-Compare utility providers
This is one of the easiest yet most underused ways that over 50’s can save money once they are retired. Make a list of all your utilities and subscriptions such as Water, Gas, Electricity, Cable TV, Phone and Broadband. Next compare prices from different providers to see who has the best deals. You could save a substantial amount of money by switching these services.
Avoid paying too much on your mobile phone contract by comparing sim only contracts at uSwitch.
Simon is a freelance finance writer writing on behalf of Annuity City who can find you the best annuity rates.
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