Financial planning for old age - Savings and regular income in old age

My parents saved their money, invested it wisely and when Dad retired at age 65, they lived pretty well on his pension and social security. These frugal grandparents were our pattern for life, so my husband and I worked hard, raised four kids, bought our home and put away our savings in mutual funds for our retirement just like they did.

My husband retired with requisite pension and social security, but I chose to continue to work because we needed my income for a little longer. We thought I'd retire at 65 as well. Guess again. I was fired from my job in education after 38 years - wow! Then while we were reeling from that the economy melted and so did our retirement savings. We could barely stand to open our investment statement when it came in the mail last month. It was unbelievable! We called our financial advisor and she came right over and we put our heads together over our dinky portfolio.

I guess there are some other options you can move into and if you have the fortitude to wait it out, the financial times will definitely get better. Just look at the history of our economy and you will see an up and down ride ever since the Depression of the '30s. Prudency says to protect what you can and not panic. We did that and I think by age 75 we'll be back on top - please hope that it will be sooner.

The only problem with us elders is that time is not on our side. We are looking at dimishing ability to fit into the 40 hours work place - just see who an employer chooses, us or a 30 something with youth on their side. If that's the case, then you've got to start thinking about what you CAN do.

First of all, our parents came through that Depression and they learned to eat it up, use it up or find another use for it. They grew gardens, canned things and fed their families handsomely. Mom's knew how to make clothes. I just dusted off my sewing machine because I knew how to to do that at one time when I didn't have so much money to go to the mall.

The thing is, you've either got time or you've got money, but you've never got both at the same time. You have to face the fact that retirement as you once defined it just might not be the same thing. There are no more safety nets, so we need to go to plan B. That might be just hoping to get along, or you might see that nice round-the-world cruise you promised yourself sailing away without you.

Either way, you probably will want to suppliment your income for those small extras you'd like in your life. Consider going back to work, or if you're already working, declaring yourself semi-retired. Part time jobs don't pay the mortgage, but they do two things - they take up time and get you out of the house which puts your head into a place where new things are happening daily. There is also that small amount of money you make to cover your wants.

If you could work in any business, what would it be? Start pursueing a part time job in the arts, working at school, in the hospital, in a non-profit that intrigues you. Have you always wanted to write? There are a ton of blog sites, many of which will pay you to write small articles. Sometimes satisfaction is just doing what you love and not feeling bored. At the end of a busy, productive day you can come home to your easy chair and great home-made meal and it feels just as good as going out to a pricey restaurant.

Take your mind to a different place. You don't actually have to stop working at all. You can boost yourself up a little of that 1930s gumption. You can give of yourself to others in volunteer jobs that could lead to part time ones. A little secret here is that most elementary schools have after-school programs and they are wishing that someone could come along and teach them for about $5 per kid. Put 10 little artists in the same room and you've got $50 for an hour, and all the satisfaction you could ask for.

Sometimes when you do choose to make lemonade out of lemons instead of singing the sad song, you start your own creative juices flowing and in the end you have something so much better than you could have envisioned. Besides, retirement can get pretty boring after a few months money or no money. Then you wish you had something to do. Beat that scenario to the punch and reinvent your retirement years.