Seniors are the most common group that experiences life on a fixed income as soon as they retire. Fixed income has some perks – but it is not great in most situations. And if you have been worried about your fixed income senior living situation – you are in the right place.
You might have noticed already that Living on Lean Means is all about helping people who live on fixed income out.
I am also one of the seniors who live on a fixed income and in this post, you will find out more about this type of lifestyle, challenges it brings, but also some of my tips and solutions to improve the financial situation.
What is Fixed Income Senior Living?
Fixed income senior living is a term for a situation all seniors find themselves in – and it is a situation that almost every human will find themselves in.
It is a situation of being restricted to one income source only which is often the retirement money most of you have been saving for a fairly good amount of your life.
However, there are also many different types of fixed income. Disability or social security checks are great examples.
Fixed income is also known as a term that is being used in investing – but that is not very related to fixed income living situation so you should not let that confuse you.
It is a lifestyle that can be incredibly challenging at times and it definitely takes some time getting used to it. However, fixed income living brings up a couple of perks such as the certainty of a check at the end of the month + plenty of free time you can use to improve your financial situation.
Down below, we will touch on some of the challenges that seniors who live on a fixed income might face on a daily basis – before we get into the actionable part of the article.
Challenges Seniors Face When Living on Fixed Income
Everyone lives a different life, and everyone has a different amount of fixed income. However, the challenges can be categorized in a couple of categories only.
The most common problem is monetary inflation. What once was a great sum of money – it might not be sufficient enough. If it is the only source of income – the financial situation can become extremely tough.
However, the second most common problem is that the fixed income cannot cover living expenses. We are not talking about luxury here either, yet unfortunately, in some cases, it is not enough to live by.
These are the two most common categories, but there are many other similar obstacles that seniors face.
There are a couple of different ways to act in order to overcome the obstacles. If you have already found facing the obstacles yourself – here is what you can do:
- Write down a list of income and expenses
- Try and cut down expenses
- Use cash instead of a card
- Try repaying debt efficiently (and quicker)
- Budget properly (if you are not budgeting already)
- Gain more financial knowledge
Even though these things can help short-term, they might not be able to help you in the long term. But do not give up yet or do not get scared!
Down below, I will talk about my favorite way to improve the financial situation by investing and starting your own online business to create a secondary stream of income!
Investing, Learning & Creating
My favorite way to act is the following:
- Investing – mostly money for education
- Learn – about trending digital skills
- Create – a secondary stream of income (or an online business)
I have come across a platform called Wealthy Affiliate which is an educational platform for affiliate marketing.
Nowadays, some of the largest companies such as Amazon have an affiliate program that is free to join by anyone out there.
Once you join, you get the ability to promote and help make sales on the products they sell (and they sell a lot of different products!) in return for a commission.
Creating an Online Business with Wealthy Affiliate
Remember I have told you about Wealthy Affiliate?
It is a platform that provides step-by-step training with written parts, images, and even videos to teach you how to build your own online business by writing down a business plan, finding something you’re passionate about, and creating a website.
Alongside the training, Wealthy Affiliate also features all the tools you need such as:
- The website builder
- The ability to purchase domain names + hosting
- Keyword research tool
- Affiliate programs
What I really like about Wealthy Affiliate is that you can follow the training at your own pace – but every lesson makes you do tasks, so you immediately implement everything you have learned.
Another great thing about Wealthy Affiliate is that it is free to join. You actually become a starter member and you can stay a free member for as long as you wish (it is not a trial offer).
Yet with the free starter account – you can get access to:
- One training phase (perfect to get started)
- 2 free websites
- 2 free sub-domain names
- Affiliate programs
- Support within the first 7 days
- A community full of helpful affiliate marketers of all levels
Hopefully, you can understand why I am a big fan of this educational platform as a way to act (even starting today) to improve your financial situation.
Even if you are unable to work – you can always learn new skills and create something of your own that will help you generate a secondary income stream.
With so much time on your hands, all you need is will and dedication to act and actually be consistent.
The results will follow, but they will not appear overnight.
What is your biggest challenge as a senior who is living on a fixed income?
I would love to hear your thoughts and feedback. If there is one thing you could change regarding the fixed income senior living – what would it be?
Feel free to leave your comments down below, but do not hesitate to leave questions either! I will do my best to help you out!
All the best,
Founder/Creator: Living On Lean Means 💰