by Eileen Hughes

Created on: July 21, 2011   Last Updated: February 15, 2012

Retirement does not mean the end of your useful or productive life. Instead look at it from the prospective of starting a new exciting time in your life. One of the most important things you need to look at is learning how to adjust to a low income during your retirement.

Superannuation

If you are one of the lucky ones that have a good 'super' behind you, then the worst of your fears will not eventuate. The important thing about having a good superannuation is making sure it is earning as much as possible to increase your income.

Many people listen to their financial planner and decided to take risks on investing their super in high paying investments. It is a good idea to invest a portion of money in this manner. They still need to make sure they have a nest egg that is invested wisely as a back-up.  Do not invest all your money in a risky high paying investment or you could lose it all.

On the other hand many people on the pension did not have the benefits of superannuation during their earlier employment therefore they will not have as big a nest egg to live on. These need to be very careful how they invest their nest egg.

Downsizing

Whether you own your home or renting a property, you may find the cost is affecting the way you want to live and realize you cannot afford it now you have retired. Maybe it is time to look around for something cheaper. You could sell and buy something smaller and have money in the bank which will allow you to travel. That way you will not have to spend all your hard earned money renovating your home.

Or you could sell your home, invest the majority of the money and buy a caravan and do that travelling you have always dreamed about for so long. While traveling, you may find a little place that will not cost you an arm and a leg near the beach where you can spend time fishing and walking along the sand.

Spending the children’s inheritance

There are literally thousands of grey nomads traveling around our beautiful countryside spending the children’s inheritance. That’s right if your kids really care about you they may even suggest that you spend your money instead of leaving it for the kids to fight over.

Let’s face it, you had to work hard to earn the money to survive and buy your own home. So why not give your children the chance to learn from your experience. It is common knowledge if you have things given to you to easy most people will not appreciate it. Learning how to save money is something

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