Paul Merriman has done a good job capturing the common mistakes retirees make. I see a lot of them in my practice.
When I talk to retirees about their money, I am often startled by the mistakes they make, and by how happy they seem to keep making them.
How many mistakes in the following list might apply to you — or maybe to your parents?
One: Most retirees don’t monitor and control their spending by having even a simple budget. For any business, that’s a recipe for trouble and pain. I think the danger is similar for any household.
Without a budget, you are much more likely to overspend than to underspend. That’s not good.
Two: Most retirees who do operate on budgets conveniently neglect to plan for predictable expenses such as income taxes and replacement of or repairs to items such as vehicles and homes. These things are a part of normal life, and there is little excuse for them to be treated as emergencies.
read the complete article here: 8 common mistakes retirees make – MarketWatch.