Additional Personal Income for Seniors

If you are a senior citizen getting ready for retirement, you may feel that you aren’t comfortable with the amount of retirement savings you’ve accumulated. Thankfully, there are still some options for income beyond your own personal retirement savings and Social Security, including reverse mortgages, downsizing your home, working longer or part-time, and decreasing your expenses.

Reverse mortgage

reverse mortgage may be appropriate for you if you have significant equity in your home. With a reverse mortgage, you take a loan out against your home that you do not have to repay until you are no longer living in the home. You can receive a steady payment each month, which you can use to supplement your retirement savings.

Downsizing your home 

If you live in a large home, and no longer need all of the space within your home, you may decide to sell your home to purchase a smaller one. Downsizing is great for your budget, because not only will you likely pay less for your new home than the equity in your old, you’ll also decrease insurance, electricity, and heating bills. If you find it overwhelming to maintain your home, you may consider downsizing to an apartment condominium, where you’ll have limited responsibilities.

Working longer 

You could choose to work in your current job longer, or decide to take a part time job. Working longer is one way to supplement your retirement savings. If you have a hobby, consider finding a job that uses or teaches your hobby, which will bring in more income and hopefully provide you with some personal fulfillment.

Decreasing personal household expenses

If you’ve exhausted all options to increase your income, you’ll want to analyze and review your budget for opportunities to cut expenses. Look at all of your utility payments, and utilize all options for decreasing those bills. In addition, look at your lifestyle, and see what expense changes you can make. For instance, if you and your spouse are not working, perhaps you can consider downsizing to one vehicle. 

  • The Consumer Federation of America (CFA) is an association of nonprofit consumer organizations that was established in 1968 to advance the consumer interest through research, advocacy, and education. Today, nearly 300 of these groups participate in the federation and govern it through their representatives on the organization's Board of Directors.

  • Since 2007, the Homeownership Preservation Foundation (HPF) has served as a trusted, neutral source of information for more than eight million homeowners. They are partnered with, and endorsed by, numerous major government agencies, including the U.S. Department of Housing and Urban Development and the Department of the Treasury.

  • The mission of the U.S. Department of Housing and Urban Development (HUD) is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD works to strengthen the housing market in order to bolster the economy and protect consumers; meet the need for quality affordable rental homes; utilize housing as a platform for improving quality of life; and build inclusive and sustainable communities free from discrimination.

  • The Council on Accreditation (COA) is an international, independent, nonprofit, human service accrediting organization. Their mission is to partner with human service organizations worldwide to improve service delivery outcomes by developing, applying, and promoting accreditation standards.

  • The National Foundation for Credit Counseling® (NFCC®), founded in 1951, is the nation’s largest and longest-serving nonprofit financial counseling organization. The NFCC’s mission is to promote the national agenda for financially responsible behavior, and build capacity for its members to deliver the highest-quality financial education and counseling services.