Cash Savings, Retirement Journey

Covid-19, cash savings and a retirement update.

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The Covid-19 virus appears to have given everyone pause, both in their physical lives as well as their financial lives, whether it was voluntary or forced.

It definitely has brought me back to reality, especially in the realm of retirement.  With 30% gains in my retirement accounts over the past 18 months, then 30% losses over the past 18 days, our account is back to where it was in 2018.   There were some sleepless nights and worries, but I know we are still in good shape.

My husband is 56.  We still have time to save, readjust and rejigger our plan.  And that is exactly what we are going to do.

We’ve decided to bulk up our third ‘bucket’ more than initially planned.  We lowered our percentage that is going into the stock market, and instead are adding that percentage to our cash savings.  We won’t stop saving until we have at least 5 years’ living expenses in the form of cash.  We know that our savings account will most likely not keep up with inflation.  It will, however, offer peace of mind which, to us, is priceless.

I thought I might go back to work, but I’ve realized now is not the time.  I will wait a bit and see if things get better.  In the meantime, I’m looking into online work, virtual assistant work, and such.   Anything to add to the cash savings.

Fortunately, the cruise line cancelled our trip which means we will be getting a full refund (and not just a credit).  However, our airline tickets will only be issued as a credit.  (Don’t get me started on how crooked they are).  That money will not be put in our savings fund, but moved to a  ‘future’ trip fund.  We still want to do something special to celebrate.

And lastly, our time line for when we retire may change.  We are still at least four years out to our planned retirement, but we are now considering five or six years.  It all depends on how much we can save.  We don’t want to retire hastily, without solid cash in hand.

That’s our new plan, and hopefully we’ll be able to meet our goal.  Covid-19 slapped us back into reality, and for that I am grateful.  It may just have saved our financial lives in our retirement.

How has Covid-19 changed your financial plan?  Please share.






6 thoughts on “Covid-19, cash savings and a retirement update.”

  1. We had three years of cash(CDs that actually made money) when we retired before Social Security. It worked well. You are on a good course.
    I am both sorry and relieved your plans have been canceled.
    Since we had gone to mostly cash in order to build a new house, we are sitting tight. We depend on government pensions for the majority of our income–so we are spending little. This, very necessary, give away may take it over in the end.
    I am going to sign up for basic CNA course when the tech school gears up. Medical is the only part of survival we don’t have down. OK- that was a bit gloomy.
    God Speed!

    1. Medical is that wildcard, isn’t it? Are you doing a CNA course for knowledge or a job? Not gloomy, realistic. Stay healthy! 🙂

  2. I made the mistake of logging into my retirement account yesterday…a 25% loss. I’m trying to remain hopeful that we will see gains once this is all behind us. Like you, we’re considering re-evaluating our slow-down/retirement dates. We’ve got time yet, but dang if it’s not frustrating seeing that 25% loss. Trying to hang in there like everyone else.

    1. You have time too. It is a bit scary though, seeing the lower numbers. Hope you are doing well! Text me with updates! 🙂

  3. My 63 year old physician husband is retiring in 6 months- all because he wanted to put in 20 years at a hospital that provides a nice pension . If he quits now he gets nothing- the hospital requires 90 days notice. So at age 63, after 32 years in the trenches he’s going back in on Monday after being on vacation for a few weeks. Oh the stress and irony of it all. I want him to quit and don’t care about the pension money-we don’t need it. We’ve been FI for several years. We don’t have a lot in the stock market at all. He said it would be a dereliction of duty, and maybe breach of contract.
    I guess I’ll be doing a lot of sterilizing and praying.

    1. Ah, Ellie, I can feel your pain. Sometimes it’s just not worth it. I’ll be praying he is safe, and you guys will have an awesome retirement! 🙂

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