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Why It’s So Hard to Spend Money in Retirement

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  • Why It’s So Hard to Spend Money in Retirement

    https://awealthofcommonsense.com/202...in-retirement/

    Once you become a prudent spender, how much is enough to leave your heirs? That seems to be a common theme. Is it rationalization when talking about first class tickets occasionally or simply loosening the spending simply masking a problem?

    It’s a good problem, investments grow more than you spend.

  • #2
    It's tough for people to change. You spend your entire life up to that point being an accumulator.

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    • #3
      I find myself in this position. Mostly driven by a desire for independence, which is a close cousin to financial security. But regardless we never left our modest financial needs behind, and have benefited from an unexpectedly lucrative second career, a great market, and (sadly) a couple inheritances. I’m not specifically trying to leave money to my kids, but my wife and I do plan for them to have what is left since we do our charitable giving in real time. So the kids are likely to get a lot. Meanwhile, we are trying to spend more on travel, etc. Maybe we’ll buy that beach place. We’ll see…

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      • #4
        Originally posted by CordMcNally View Post
        It's tough for people to change. You spend your entire life up to that point being an accumulator.
        And the real question would it actually bring them any more happiness? I can see regrets, not from spending the money (for a Lamborghini), by why did I do that? Not me. Maybe rent for the experience? Many here will end up with more than when they retired.

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        • #5
          I think I'm definitely going to have this problem. If you're a natural saver and when you work that leads you to naturally save 20%+ during your working years, that's a heck of a habit to kick after 30-40 years

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          • #6
            Psychology

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            • #7
              Spend it all and then live on social security :/

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              • #8
                If you are happy with your life why spend more?

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                • #9
                  Originally posted by Hatton View Post
                  Psychology
                  Definitely behavioral finance. Shoot, tricking yourself is difficult. I am sure you know how that goes. Have u played around with any distractions?
                  Average 5 year annual gain= must be spent or given away? You are more preoccupied about roth conversions than spending. Good problem to have. Glad to see you decided to try first class. Diminishing returns on spending, that seems to be my anchoring point. Something might happen.

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