15 Surprising Ways Retirees Waste Money That You Should Avoid

Retirement is a time to enjoy the rewards of decades of hard work, but it also requires careful financial management to ensure that your savings last throughout your golden years. Many retirees unknowingly waste money on unnecessary expenses, which can strain their fixed income and jeopardize their financial security. Common pitfalls include paying excessive investment fees, neglecting to take advantage of senior discounts, and failing to prioritize health maintenance. By being aware of these potential money-wasters, retirees can make smarter financial decisions and preserve their resources.

One significant area where retirees can save money is by minimizing investment fees. Even small fees can add up over time, reducing the overall growth of retirement savings. It's crucial to regularly review the fees associated with your investments and consider lower-cost alternatives, such as index funds or robo-advisors. Additionally, retirees should be proactive in asking for senior discounts, which are often available but not always advertised. These discounts can substantially reduce living expenses and help stretch retirement savings further.

Another way retirees can avoid wasting money is by carefully considering their spending habits and lifestyle choices. This includes avoiding unnecessary home improvements, setting boundaries on financial support for adult children, and downsizing to a more manageable home. By focusing on essential expenses and avoiding costly mistakes, retirees can enjoy a more comfortable and secure retirement. Planning for longevity and creating a budget are also critical steps in ensuring that your savings last as long as you do, providing peace of mind throughout your retirement years. (Full story)

As the cost of living rises, more people are turning to side hustles to supplement their income, with Gen Z leading the trend. According to a 2023 Deloitte poll, side hustles offer opportunities to grow savings, diversify income, and pay off debt, with 45% of working Americans currently engaged in one. Online employment has made it easier to manage a second job, with popular options including launching an online store, starting a blog, testing websites, becoming a virtual assistant, managing social media, advertising on your car, or offering proofreading services. These side gigs provide flexibility and potential income streams to help individuals achieve their financial goals. (Full story)

U.S. housing rents have surged 19% since 2019, with an average rent now at $1,712, driven by renewed demand and tight real estate markets. While rent increases slowed to just 1% last year, first-time homebuyers priced out of the market are adding pressure on rental prices. Amid rising rents, real estate tech company RealPage is under scrutiny for allegedly enabling landlords to inflate rents through its YieldStar software. The DOJ has filed a lawsuit against RealPage, accusing it of collusion with landlords to fix higher rents, affecting millions of renters. RealPage denies any wrongdoing, attributing rent hikes to broader economic factors, and pledges to defend its practices. The case is part of a larger regulatory effort to prevent the misuse of price-setting technology across various sectors. (Full story)

In 2004, Brian, an IT professional, recognized the risk of relying on a single income and began taking on part-time remote jobs to secure his family's financial stability. Over the years, this strategy evolved into managing multiple full-time roles simultaneously, a practice that became crucial during the economic uncertainty of 2020. By juggling two full-time and four part-time jobs, Brian earned over $150,000 last year, paying off debts and enjoying extensive travel while maintaining job security. Despite the demanding schedule, Brian values the financial benefits and plans to continue this "overemployment" approach, offering tips like prioritizing family time, staggering work hours and improving time management to avoid burnout. (Full story)

The financial burden of being a bridesmaid has significantly increased, with participants facing expenses that can exceed $3,430, leading many to incur debt. A recent example of this pressure went viral when a bride demanded her bridesmaids take out $20,000 loans to fund her extravagant pre-wedding events. The bride's shocking demands, which included a $700 dress fitting and various other high-cost activities, were shared on TikTok, sparking widespread disbelief and criticism. Despite one bridesmaid's plea to reconsider, the bride insisted on her lavish expectations, leading many online to condemn her behavior as unreasonable and selfish. (Full story)