Planning for retirement involves making various important decisions, many of which are financial. For instance, you need a savings plan, investment management strategy, healthcare expenditure plan, and budget for leisure activities. However, in today’s world, incorporating technology into your retirement planning budget is also essential.
Regardless of its scope, technology should be a fundamental component of your retirement budget. The tech products you use will depend on your individual circumstances, but overall, embracing technology can make retirement life easier and more enjoyable, whether it’s managing finances online or chatting with family through video calls.
After a lifetime of hard work, retirement puts you in a situation where you are not obligated to go out or socialize. Without a daily routine, you might naturally spend more time at home.
One of the things you probably fear most about retirement is becoming isolated. Unfortunately, many retirees inadvertently end up isolating themselves. If you don’t stay engaged in activities you enjoy, such as tennis, golf, or playing music with friends, you risk reducing your social time and potentially losing contact with others.
Technology can help you maintain a social life even if you prefer not to go out. For example, your smartphone or tablet can be used to communicate with friends and family via video calls. This will help you stay connected with loved ones no matter how far they live.
Social media is another good way to stay connected. If you prefer not to call, you can send emails or messages through Facebook to keep in touch with them.
If you intend to use technology, having internet connectivity is a necessity. When budgeting your monthly expenses, if you need to cut back on some items, do not compromise on internet access. If you use smart home technology, you need an internet connection to keep everything running smoothly. It’s also a great way to save on long-distance call charges and sometimes even faster than your mobile operator’s service.
Maintaining a home internet connection post-retirement is particularly important, especially if you do not have mobile network coverage or if your data plan is limited.
Most people have at least one favorite hobby, but in retirement, you may find yourself feeling bored and in need of new sources of stimulation. It’s easy to discover new hobbies through the internet, whether it’s browsing Reddit, Google, or watching instructional content on YouTube.
Once you find an activity you enjoy, you can easily learn more through these resources. YouTube, in particular, is very helpful for tutorial content and DIY guides. For instance, if you’ve always wanted to try leather crafting, a simple search on YouTube will lead you to plenty of beginner tutorials and instructional videos.
Another good reason to include technology in your retirement budget is to avoid unplanned expenses from impulse purchases. Regardless of what you buy, if it wasn’t budgeted for, it can impact your finances. If you have enough funds to absorb such expenses, there may not be an immediate issue, but multiple unplanned purchases can accumulate over time.
Suppose you decide to buy a new iPhone 16. Depending on the model, it could cost at least $1000 or even more. While the price of the phone case for an iPhone 16 may not be high, it’s a necessary additional expense.
While restraining yourself from impulse spending, incorporating technology into your retirement budget is essential. This can serve as a monthly expense, allowing balances to roll over for the next month to afford more expensive purchases or as a simple budget to cover basic subscriptions. Regardless, budgeting for technology can prevent excessive impulse spending.
Many retirees’ greatest fear is having to move into a nursing home, but it is a possibility. As of 2023, there were 1.3 million adults aged 65 and older residing in nursing homes in the United States, with an additional 818,800 residing in assisted living facilities. Even if you are currently in good health, an unforeseen accident resulting in an inability to care for yourself could necessitate long-term or continuous care.
If you require frequent or continuous care, there are often no other choices. If you have no one at home to provide care or cannot afford the services of independent caregivers, your family wouldn’t want you in an unsafe environment either. However, in some instances, technology can play a role.
Sometimes people enter nursing homes because their daily tasks cannot be safely completed while caregivers are at work, such as cooking or opening doors. However, many retirees are now using smart home technology to make life easier. For example, they can remotely open doors, automatically turn off the stove if forgotten, control lighting, adjust thermostat temperature before getting up, play music, and communicate with family and friends. There are also apps that allow family members or agents to remotely monitor financial activities, as the elderly are particularly vulnerable to scams.
Smart home technology benefits not only those with mobility issues but also entirely independent individuals. For instance, you can sit in your favorite chair and turn off all the lights. Imagine preparing for the night, with your favorite movie and snacks in hand, only to find lights on in another room. If you have a smart lighting system, there’s no need to get up.
Additionally, smart thermostats can help you save on heating and cooling costs, another excellent use of technology.
If you can afford to cover healthcare costs yourself, you will have more options than relying on government-provided services. This means you can pay for help from friends and family, supplemented by independent providers.
With a technology budget during retirement, you can ensure that caring for your loved ones includes all the necessary tech to stay connected or monitor their situation at all times. For instance, if you have a smart lock system installed at home and grant them access through an app, they can remotely unlock the door in case of emergencies.
Going to see a doctor can be a hassle, even if you are mobile. If you don’t drive, arranging transportation becomes necessary. Fortunately, many healthcare providers offer remote consultations that can be done from home. Virtual visits often cost slightly less than in-person consultations.
Since the pandemic, Medicare has started covering virtual doctor visits, with private insurance companies following suit. Although initially temporary measures, they have become long-term services for many providers.
To take advantage of virtual medical consultations, you will need a smartphone or tablet and an internet connection. These should be included in your basic technology budget.
No matter how careful you are, falling is always a possibility if your gait is unsteady. Sometimes it happens suddenly, and when you unexpectedly lose balance and are seriously injured to the point of being unable to get up, you will be grateful to have a medical alert device.
The simplest device is worn around the neck, and when you press the button, it notifies the company to dispatch emergency responders to your home. While this service inquires a monthly fee, your safety and peace of mind are worth the expense. If you need to carefully budget monthly expenses, a medical alert system should be a priority.
Retirement is not just about watching grass grow all day. You probably want to engage in some fun and exciting activities, and technology can cater to that need. For instance, you can purchase Apple’s VR goggles to explore the world of virtual reality (VR) and try out various games and experiences. VR can be very addictive, but it’s also innovative and engaging.
If you have young family members, they may be familiar with many video games that you can play on a gaming console or computer. Alternatively, if you prefer not to buy new equipment, you can also play certain games on your phone and connect it to a TV for a better viewing experience.
If you’re not interested in playing video games or immersing yourself in a virtual world, technology also offers many simple and enjoyable entertainment options. Perhaps you enjoy singing and can buy a karaoke machine, or you’ve always wanted a surround sound system at home. Sometimes the simplest things make the biggest difference.
Technology has made significant advancements, allowing you to monitor health with wearable devices. For example, wearable devices can monitor your pulse, blood pressure, heart rate, blood sugar levels, and other vital health indicators. When you monitor health at home, doctors can access the data and determine if an in-person visit is necessary. This can minimize many routine check-ups at clinics for these life indicators.
Monitoring health through technology does not replace seeing a doctor in person, but it can reduce unnecessary visits. Sometimes these health monitoring devices are covered by insurance companies, but even if they aren’t, the prices are relatively affordable. So, if you find them helpful, don’t forget to include them in your budget.
Embracing technology is not merely about keeping up with trends, but about benefiting from useful tools that empower you to live a fulfilling life. While some technologies can make life more fun and convenient, others can help you manage daily life and health while aging at home. If you haven’t incorporated these plans yet, consider adding elements of technology to your retirement budget today.