Inflation forces everyone to tighten their purse strings and rethink their purchases. However, older adults can be affected more since they're often on a fixed income. Retirement income might be lower than your salary was when you worked. While your expenses might also be lower, you still might feel the pinch more than working adults. Here are some ways to address inflation as an older adult.

Evaluate Your Budget

You need a written budget that you use every month to stay within your spending limits. If you don't have one yet, create one now. If you already have a budget, look at the categories and determine if you need to make changes based on rising costs. For example, if you still own a vehicle, you might need to increase your gas budget to accommodate higher prices at the pump.

You might also need to cut or reduce some categories to move money to rising expenses. If you have an expensive gym membership, you might get rid of it in favor of a cheaper membership to a senior center with a gym. Bethesda Gardens Thornton offers several on-site amenities, including a library, computer center and fitness center to stay active, that can help you cut other memberships and save money.

Consider Additional Income Sources

Even if you're retired, you might need to consider going back to work, at least temporarily. Many businesses need part-time employees, which allows you to still have free time while making a little extra money. You might prefer to offer your skills as a freelancer to earn money on the side on your schedule. Before going back to work, ensure you understand how it might affect your Social Security and other retirement benefits.

Selling items you no longer use can also give you a little extra money you can put aside as an emergency fund. This can be profitable if you're moving to a senior living community and need to downsize large items such as furniture. You might also decide to sell your vehicle if you're no longer driving.

Assess Your Investments

If you have investments and retirement accounts, talk with your financial adviser to determine if your money is invested safely. It's usually best to have a balanced portfolio with your money in different places to protect your investments. Taking too many risks with your investments during periods of high inflation could put your savings at risk.

Adopt Smart Spending Habits

Little spending habits can add up to lots of extra money spent every time you go to the store. Get in the habit of writing shopping lists and sticking to them. If you see an extra item you want, wait at least a day to see if you still want it. Buying in bulk can save you money per unit. If you can't eat that much food before it goes bad, get a group of friends together to share purchases of bulk items and split them. Everyone saves money and gets a reasonable amount they can use before it expires.

Shopping with cash can also help you spend less. When you hand over actual cash, you sometimes think more about how you're spending it. You can also separate cash into different envelopes for different spending categories, such as groceries and clothes.

Always check for senior discounts when you visit stores, restaurants and attractions. Many offer at least a small discount, which offsets your costs if you're planning to make the purchase anyway.

Rethink Large Purchases

Making large purchases when inflation is high can be risky. If you don't need to make a big purchase, consider holding off or setting a little money aside each month until you save the total. This leaves you with more cash on hand, which can be important when prices are erratic and could increase suddenly. Another option is to choose an alternative that's more affordable. Instead of taking an expensive all-inclusive vacation at a resort, you might go for a long weekend closer to home. If you're looking for new furniture or a new vehicle, consider older used options instead of buying brand-new.

Reduce Your Debt

Debt takes up more of your limited income, so it's best to pay it off faster to eliminate the interest you're paying. Put a little extra money toward your debt each month to lower the balances. Consolidating your debts with a loan or a low-interest credit card can reduce your interest and help you pay off the account faster. Avoid charging more purchases to credit cards or taking out more loans.

Seek Out Support Programs

Seniors can get financial support from various programs if other strategies aren't enough. Many programs are based on income and help with specific expenses. For example, the Low Income Home Energy Assistance Program (LIHEAP) can help cover heating and cooling bills. If you need help with food expenses, you might qualify for the Supplemental Nutrition Assistance Program (SNAP) or get free or low-cost meals from Meals on Wheels. Other local, state and federal programs may also be available with various income requirements to qualify.

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