5 ways to retire on a small income

I retired a few years back at 55. I didn't have any money in the bank, and only a very small pension

  to support myself. (But I did have a couple of things going for me.) One was health insurance, I'm a veteran and the VA takes very good care of all my medical needs for very little cost. Secondly I was lucky enough to own my own home with no mortgage on it. (I just pay the monthly utility bills, and yearly property taxes.) I also don't owe anything. I learned to live without credit, credit cards, etc., so if I don't have the money to pay cash for what I want? I don't get it! I travel any place I want, and have all the material things I need. But here’s the funny thing about not having any credit history is that you can't get a loan for home repairs. (I can get a car loan though.) I tried a few months ago to get a home loan for some house repairs, and when I sat down with the local loan officer at the bank and he pulled up my credit score, he was astounded to see it read 0,0,0. He smiled and told me he had never seen this before, and he was sorry he couldn't help me. I smiled and told him that was okay. So here you have someone who owns their home, has a steady income. But because they have no credit history they can’t get a home improvement loan. Maybe I’ll start doing seminars and showing people how to live on a small income.

With very few exceptions, how you will live in retirement is based on how you live when working.  If you are a spender and have to always have the latest this and that, you will never be able to retire the way you want to or maybe not at all.  If on the other hand, you save from the start of your working career, live under your means, and continue to hone your knowledge of financial matters, you will probably be able to retire early if you wish to.

IT IS ABOUT CHOICES - WHETHER THEY ARE WISE OR FOOLISH!!!  Many people are apart of the DUMB MASSES - always having to try and keep up with other people or surpass them.

I will be 62 next April (will start my SS), and have been unemployed for over 2 years (36 years in the now corrupt banking industry).  Although we have a 92 Honda with 281K miles and a 1998 Toyota with 190K miles, they run great and look fine.  We have no credit card debt and only a small mortgage.  I have investments outside retirement made in the mid 80's thru mid 90,s as well as IRA's (traditional and Roth) and 3 former 401K accounts from previous employers.  I also have a small pension from my last employer.  My wife also has IRA and 401K from former employers.  

Health insurance is an issue.  We are trying to live healthy and exercise.  Spending time with my 93 year old Dad and doing work in my church is much more satisfying then trying to make some corporate goon wealthy! 

Start to prepare for retirement early.  I am 41 years old and would consider myself very lucky.  I recently had open heart surgery to fix an anuerysm/valve problem.  After this experience you quickly realize that working is not everything only a part of a fulfilled life and that family and friends are the only items with true value.  I am about 6 months away from paying off my mortgage.  Our mortgage payment will then go into a retirement/college account.  I have 3 kids ages 11, 9 & 3.  My wife and I have both committed ourselves to retiring in our mid fifties (55-58).  The trick is to live within your means and always save first.  Do not buy on credit.  A happy and fulfilled life for most is not the possessions owned but the family and friends that you surround yourself with.  Be kind to everyone.  I would also say many people who don't retire have not developed interests or hobbies away from work.  Work to live a simple life and keep your home, work and relationships uncluttered.