Living on a pension very often means that budgeting is necessary, particularly as the budget cuts of the government seem to affect those on a pension the worst. And unless you have put a lot of money aside for your retirement, then you will need to work out the best ways to save money and live within your means.
The first and most important thing to do when budgeting as a pensioner is to see what financial help you may be entitled to. Many countries have grants that assist those living on pensions with things such as heating, medical care and any modifications that need to be made to the home due to deterioration in physical health. Ask your local council or citizen’s advice centre as they will be able to help you find the right grant from the right people.
A bus pass might seem like a slap in the face to some people, but it can save you an absolute fortune on petrol. If you do not have far to go or much to carry, then catching the bus for free is definitely the most sensible option if it is available.
Always ask if places offer a discount to senior citizens, you would be surprised how many places do, and if you don’t ask, then you don’t get. Apply for senior citizens discount cards in all of the stores that offer the, there are some great potential savings to be made.
Shopping can be incredibly expensive, so buying in bulk is a great way to save money. Buy the things that you would normally use or eat in larger quantities and you can save a fortune. Products such as toilet paper, pasta and coffee are all great things to buy in bulk because you can make huge savings and they last a long time.
Be realistic, you may have been able to afford certain things in the past but your circumstances have changed now. But budgeting does not mean that you are not allowed any luxuries, it just means that you have to be a bit more careful with your money. If there is something that you really want then save up for it, if you still want it when you have saved up then buy it, if not then you can put the money away for another time.
Anyone on a budget of any kind needs to learn the value of the phrase “make do and mend”. For example, when something breaks, do not automatically go out and buy another one, try and fix it. Sew up holes in clothes or turn them into something new rather than throwing them away.
Budgeting on a pension is essential, but if you look at it in the right way then it can be fun. Set yourself savings challenges and you will soon get into the spirit.