3. Recreational Vehicle
Who wouldn’t want to travel in retirement? And what better way to do that than with an RV? You don’t have to worry about lodging, and you get all the comforts of your home. You do need to fill up the RV, though, which may be quite expensive in the current environment.
If you really want to do that, try renting an RV rather than buying one. If you’re going to use it once a month or five times a year, do you really need to spend your retirement money on a new RV? Well, a lot of those items that make seniors feel good can quickly eat away at your finances.
4. Dream House
Retirement is usually about downsizing, but for some folks, it’s the perfect opportunity to build their dream house from scratch. That’s fine for those who can stick to a budget or have a lot of money in the bank. But by doing an upgrade here and a makeover there, home improvement enthusiasts soon discover that they have spent a big chunk of their retirement cash.
That dream house can really sabotage your nest egg at a time when income isn’t flowing in. As some financial advisors note, many people decide to build their dream dwelling during retirement, but that scenario usually turns into a disappointment, especially if they are really frustrated and stressed out. So, you may want to reconsider this before regretting this decision.
