#2- Wrap your mind around going from saver to spender
The transition from being a saver to spender of the portfolio messed with me and most everyone else I know who have retired. After years of adding to our portfolio along with reinvested interest and dividends we see the opposite occur. Seeing a monthly subtraction on our statement for our retirement lifestyle funding can and will mess with a retiree’s mind.
Expect the saver to spender mental challenges
This had never crossed my mind before I retired the first time. I was surprised by these feelings. My initial reaction was that I needed to pull back on my budget even though it was all planned out. My lifestyle budget was fine-tuned over many years and the retirement calculator results were all good.
When logic and calculations fail to relieve our saver-to-spender financial funk then find peace of mind through affirmation. I just repeated to myself that this is what the portfolio is for. It is only a tool created to be used for just this purpose.
Give yourself time to adjust your mindset
Nothing happens overnight. The journey to retirement took many years to accomplish. We have to give ourselves some time to adjust our thinking. It took me about 4 or 5 months before I was able to start developing a long-term retirement spending mindset within my portfolio.
Mentally ditching the working life and saver mentality is a gradual progression. Just stick to your retirement lifestyle budget and long-term portfolio investment and income strategy. And of course, enjoy your retirement.