They say that retirement marks the beginning of your golden years. After slaving away at that nine-to-five and parenting you, it’s finally time for your retiree parents to relax and have fun. Perhaps they can get into that sport they’ve always wanted to, start a new hobby, or even travel the world.
However, with the current state of the economy and the lingering effects of the COVID-19 pandemic, these golden years have become a privilege. Priorities have shifted and Americans have forgotten about their retirement savings.
Retirement requires proper planning and investment. After all, you reap what you sow. To get you started on helping your folks, we’ve compiled some retirement tips so your parents can enjoy their golden years in Houston, TX.
Why is retirement no longer a priority for my parents in Houston?
In order to come up with solutions, we first have to look at the problem. The lack of retirement plans from our parents’ generation is rooted in the rising cost of living. Here are some of the cost drivers behind this growing retirement crisis:
- Parenting their children
- Medical expenses
- Credit card debts and mortgage
- Leisure
Furthermore, your parents’ generation has developed a mindset that they would not outlive their savings and that saving is more of a restriction rather than an investment. So, how can we help them reprioritize and address these cost drivers?
Start the conversation with your parents
Opening the dialogue on retirement needs to be approached with sensitivity and empathy. Your parents spent most of their lives providing for you in your Houston home, and this role reversal can be disorienting for them. Moreover, pointing fingers can make them defensive and unreceptive to your help. Here are some tips on how you can create a safe space to communicate:
Ask about their goals and plans
One way to provide your parents with agency is to consult them about their goals and plans. With this approach, they get to keep their voice in the conversation and provide their insight. Here are some questions that you can ask to start the conversation:
- When do you want to retire? Do you want to retire in Houston?
- How do you envision your retirement?
- What do you want to do with the Houston house?
Discuss the numbers
The previous step can be the perfect segue for the next one. In order for you to move forward with an informed action plan, you need to gather data and analyze their financial situation. Ask them about their current income, assets, monthly expenses, debt, investments, and insurance.
Enlist the help of family and experts
In case this conversation is met with resistance, don’t be afraid to ask for some help. You can get other family members on board to provide comfort and assurance. For a more logical approach, you can also seek the help of a financial advisor.
Start an action plan
Now that you have the numbers, you can now craft a monthly budget with your parents. Work with them in identifying which expenses are essential and non-essential. You can also troubleshoot on ways to address their loans and debt. Here are a few other steps you can take to jumpstart their retirement plans:
Look for new revenue streams
With the current state of the economy, living on savings alone may no longer suffice. Luckily, today’s gig economy is thriving. From ride sharing to pet sitting and even hobby-related businesses, your parents can easily find a new source of income without succumbing to a nine-to-five.
Use available resources
Old age also comes with benefits. Research about the local, state, or federal assistance programs that your parents can qualify for. Some financial planners also provide low or no-cost services for seniors.
Sell to a professional home buyer
The golden years of your parents can start sooner once they sell their house fast in Houston, TX. Downsizing can help your parents hit two birds with one stone: save up on maintenance and utilities while turning in a profit.
Ohana Legacy Properties, LLC is the no-nonsense cash homebuyer in Houston, TX for you. With our help, you can avoid the fees, commissions, repairs, and agents. We’ll also use our own cash money to buy your property so your parents can finally enjoy their well-deserved golden years.