When people think about retirement, most of them fear that they might not have enough money to last them until they kick the bucket. But according to research, it is actually not the money that makes people happy after they retire.
Here are 7 important tips when you are planning for a happy retirement:
- Most retirees are happiest when they have $500,000 in savings. The happiness level increased drastically from retirees who managed to save $100,000 to retirees who saved $500,000. But after $500,000 the happiness level plateaued.
- The happiest among retirees are those that pursue three to four major hobbies or things that they are really passionate about like socially engaging activities, volunteering for social advocacies and sports.
- Happy retirees are almost finished paying their mortgage. These happy retirees only have five to eight more years left to pay their mortgage.
- Happy retirees are those that have more than two sources of income, which comes mainly from Social Security, Real Estate, part-time jobs, pension, and most especially, investments.
- These happy retirees live on $53,000 a year, which is just a little bit above the national household income, which is about $51,000. This means, they don’t spend too much, but they don’t go thrift shopping like Macklemore neither.
- They spend an ample amount of time each year to plan for their golden years. By ample amount of time, it means, just 5 hours a year. It may be a small amount of time, but if you use it wisely, your retirement will be great.
- Even though divorce is quite common in the US, surprisingly, research found that most of the happy retirees are married people. Yes, companionship can help make people happy, but looking at the financial aspect, dual income can help increase the potential retirement savings of the couple.