While it’s good to plan ahead, being frugal too much may lead to regret. Schematic diagram of old couple. (AP)
[Financial Channel/Comprehensive Report] Even after accumulating huge amounts of assets, they still dare not spend money and feel uneasy even with small expenditures, which has become an invisible anxiety faced by many retirees. However, financial management after retirement is not only about "how much to save", but more importantly, "dare to use it". Otherwise, even if the finances are safe, the quality of life may still be greatly reduced. Japanese media shared a case. The 70-year-old Ms. Kazumi (pseudonym) lives with her 72-year-old husband. The couple’s financial assets are about 63 million yen (about NT$12.6 million). They live in an apartment with a paid-up mortgage. The couple currently has a combined annuity income of about 300,000 yen (about NT$60,000) per month. Just look at the numbers. This is a family with relatively sufficient financial preparations for retirement life, but Ms. Hemei has always maintained a frugal life even after retirement. However, this idea began to change after the age of 70. After hearing about friends traveling abroad, he reflected: "Although the money has been saved, it will not return to the self of the 50s."
"THE GOLD ONLINE" reported that after getting married, Ms. Hemei became a full-time housewife and raised two children with her husband. In the past, in order to pay the mortgage, prepare for her children's education expenses and pension, she lived a frugal life for many years. Her family income and expenses were accurately recorded to 1 yen. Outings were only arranged on special days, and clothes were not bought unless necessary.
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Even after her children became independent and her mortgage was paid off, she still did not change her saving habits.
When she was in her 50s, Kazumi was invited by a friend from her school days to travel abroad. Although she wanted to go, she finally chose to give up after learning that the travel expenses would be about 300,000 yen. The reason was that "if she had 300,000 yen, it would be better to leave it for retirement."
In their 60s and after their husbands retire, couples still often give up their enjoyment of life in order to save money. Her husband suggested traveling to Kyoto on weekdays, and she thought that "there was no need to stay one night." The sofa at home was old and she wanted to replace it, but she also thought that "it is still possible to sit on it."
These seemingly inconspicuous small savings accumulated over the years, making the couple’s financial assets, including pensions, exceed 60 million yen, and eventually reached approximately 63 million yen.
However, at the age of 70, Kazumi reunited with an old friend she had not seen for many years, and the other party suddenly mentioned that they had made an appointment to go abroad together when they were young. A friend said that "you can still go" now, but you can no longer walk around from morning to night like you did when you were in your 50s.
These words made Kazumi reflect on how she had delayed what she wanted to do time and time again on the grounds that "it doesn't matter if she doesn't go now."
After returning home, she said to her husband: "We have always said that we should save it for retirement." But then she asked, "But when does retirement start?" Kazumi also lamented: "Although the money has been kept, I can't get it back when I am in my 50s."
She believes that even if she spent 300,000 yen back then, her current life would not be in trouble. "Is it because I only focused on saving, but missed the period when I could spend money?"
Kazumi did not suddenly spend money. Instead, she and her husband re-examined their family finances. After setting aside necessary expenses such as future living expenses and residential equipment upgrades, they decided to set aside a fixed amount of money every year for travel and hobbies.
The couple first arranged a 3 days and 2 nights trip to a hot spring. When Hemei saw the amount on the reservation screen, he once thought it was "very expensive", but he did not cancel this time. She said: "I have been saving all my life, but I don't think saving money is wrong. It's just that you can actually distinguish clearly by yourself the period of saving money and the period of spending money."
The report pointed out that how much retirement pension is sufficient still depends on annuity income, living situation, family structure, and future medical and nursing needs. Therefore, it is still very important to retain certain assets. For retirees, money can be kept in the future, but time cannot be saved. Rather than just thinking about "how much to save for retirement," perhaps it is more important to think clearly about "why you save, when to spend it, and where to spend it." While preparing for your later life, don't leave everything you want to do for "later."
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