There has been much to learn from our experiences with the COVID-19 pandemic over the past few months including the importance of slowing down and appreciating the important things in life—spending time with family, enjoying what nature has to offer, and prioritizing our health, to name a few. What this time in isolation has also taught us is what retirement might feel like day in and day out.
Whether we like it or not, COVID-19 has given many of us a practice run. Schedule free days, changes in the daily routine, and perhaps a truncated income all simulate the retirement lifestyle of many Americans. On both a financial and personal level, there are two very important pieces of information we can glean from this experience as it relates to our retirement readiness.
1. Do you think you could live on less than you previously imagined?
Prior to the spread of the coronavirus, we experienced a decade long bull run. We grew accustomed to the life of luxury and convenience. We may have opted to eat out over cooking after a long day’s work or paying for a convenience, such as a dog walker, rather than doing the work ourselves. But combine a weakened economy with social isolation guidelines and suddenly we have found ourselves being tighter with our budgets and how we spend or save.