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This is a lot like a conversation I had with my 90 year old Mother today. She is comfortable and able to stay in her own home, but she and my father worked hard, saved, invested, and lived on cash. They were wise and it has given her independence. Her vehicles are all in excellent shape and are over 20 years old; she wears clothes that still fit from 30 years ago and, because she only bought classic pieces, they are still in style. She grows a good garden every year, doing all the work herself, and eats well and is healthy from gardening and doing her own work. Her down time is filled with puzzles, reading, friends, church, and family. I think this is the secret to a good and healthy retirement: making good choices all along. 

Mister and I are retired; he retired at 58 and I retired at 62. We have supplemental insurance, Medicare, and plan b because, if you don't take it when you retire, there is a penalty to add it to your policy. It isn't cheap, but it would be foolish for us to be without it given Mister's health issues. I am healthy as a horse. I raise a garden, can, milk a cow, raise our own meat, have chickens for eggs, and raise a pork every other year. I make our soap (bath and laundry), bake bread, and make cheese. One of the things we learned with retirement is that our expenses dropped because we were no longer having to manage transportation and clothing for work. Additionally, our car insurance dropped because our vehicle mileages dropped. There was less maintenance for our vehicles and we had less temptation to eat out when we were tired or what was packed didn't suit. And we could invest the time spent going to and from work as well as our jobs into our home and garden. We do not have paid TV or a home phone; our cell phone is our computer and telephone. And you are indeed correct about the foolishness of home insurance and property taxes. Both are ridiculously high and pretty much non-negotiable. I keep the deductible high on the house and cars in an effort to lower our payments. 

On paper, when we talked about my retirement, it appeared it wouldn't work and we couldn't maintain our lifestyle (even though it is pretty basic). But I have found that God takes care of it for us. We seem to always have what we need when we need it and still have money to save. Even just a little put by is money saved... Trust me, you and Charles will be fine should he retire! Just keep making those wise choices and trust God. All will be well! 

We live in Sydney, Australia. Just a year ago, I used to spend $150 a week on groceries, this has increased to $350-$400 a week, even though I have stopped buying some items. My kids are in their 20s, and they are losing hope they will ever be able to save enough to buy a home. Petrol, road tolls, home, vehicle and health insurance, electricity, gas, water and council rates have all increased dramatically. It is becoming quite scary, people are buying groceries on credit cards and after-pay. It is spiraling out of control!

Thank you for discussing such an important topic.  You have asked about other countries….my daughter lives in a large city in Australia.  The cost of housing and lack of available housing there, much like in the US, has resulted in families with both parents working good jobs living in tents and travel trailers in tourist parks because they cannot afford housing.  I have a 19 year old grandson living with me now because my home is close to the community college he is attending.  He works part time during the school year and full time during the summer and there is no way he could afford to pay even half of the rent to share an apartment.  I have four more grandchildren ages 11-18 and there is no way they will be able to afford housing unless they share with multiple roommates.  I have adequate retirement income but am starting to struggle a bit with food costs.  I don’t eat out at all now and cook modest meals from scratch.  My 2015 car is paid for but insurance has tripled in the last four years and my homeowners insurance has doubled, both with no claims.  I have had an energy audit of my home and there is pretty much nothing else I can do about insulation, etc.  to lower energy consumption.  I’m not sure what things I can cut out of my budget.  I have internet but my son pays for my phone bill on his family plan and refuses to let me reimburse him.  I think we are all wondering what we can do to keep our heads above water 

We live in a house for cheap rent. This is because I also cook for our landlord.   Made from scratch cooking 

I have watched for a long time here in NZ and feel much comes down to the cost of housing. Rentals are insane. The banks are creaming it with great profits from their interest rates as are the electricity companies and supermarkets as with the latter there is little competition.

I feel it all boils down to greed and the wealthy stepping on those on the lower rungs to  become richer and richer.

For us I KNOW we are blessed. Only because of the kindness of our landlord can we buy food ( $ 100  a week budget feeding 3 adults) and save some. We have a basic 2007 car which is cheap to run on petrol. Our life Insurance premium has just increased. The Winter Energy payment will cease at the end of this month so next month we will be down another $150 a month in income.  Next year I get my superannuation payment and have already decided it will be used at $50 a week to add to our living expenses.

Even though the health system here is very strained we can still be seen at a hospital for free.

So much going on in the world and our own country that I do not understand. Being home based keeps me in a calm place. Not reading or watching too much news.

I feel for those really struggling and those of us who have are in a position to help those who are less fortunate 

My husband retired in February of 2020.  The day we went to sign out our retirement funds, we discovered the market had crashed.  And so...there we were with just Social Security to live on.  Honestly, four years ago it was snug but we managed fine.  The market recovered, retirement laws changed and we discovered we couldn't touch the funds for a few years without heavy tax penalties.  We never were able to save a lot.  We focused on paying off the house, cars, and making improvements that would help our home last and be useable for our more senior years.  In 2022, I took early 'retirement' aka drew on my Social Security benefits just to give us a bit of wiggle room.  

Increased taxes, increased car insurance, increases in property insurance...I qualified for free health coverage through a government program until this past year when I qualified for Medicare.  Now I have MCR and part B.  I am told I do not qualify for any help with health coverage now, and while our income has not risen since I received free health benefits I must pay for Part B out of my pocket.  Other fees increased and more increases on insurance for cars and property and property taxes...

Years ago when our children were at home, I spent about $400 a month on groceries  Now there are just two of us and I'm spending at least $125 a week on food.  I have cut out sodas, snacks, and any foods I could make myself including breads, and such as that.  I spend a lot of time hanging over the produce and meat counters looking for markdowns and clearance items.  

Like you, I work and re-work our budget looking for any place I can possibly trim things a little harder.  Recently I heard an economist say that it's possible in 2032 there will be no Social Security at all.  We looked at what we currently pay, what we do have in our retirement fund and we figure at best we can live perhaps 3 years on that and then what do we do?  This is barring any disasters that damage home or vehicles (17 years old), forget health issues that might arise.  If we remain healthy as we currently are, given the longevity of our family genetics we would be without income for upwards of 20 years...What are we supposed to do?   Our budget simply will not stretch to savings at this point try as I might to get it to do so.  We don't have debt at present but our vehicles are not going to last forever, nor will appliances and heat pump.  

I've been a frugal woman all my life long.  I never expected to find ease exactly in my senior years but I didn't think I might have to go to work in my late 60's or that my 70 year old husband might have to return to work...

But as the previous author said, we do what we can, all we can and we trust God.  It's all we can do!

It’s easy to despair over the inflation and high costs. I try to stay positive if I can. 

my kid are late 30’s and early 40’s so they have homes. Both got their homes at a good price before the market went wild. My grandkids will be another matter, I’m afraid.

We need to remember that businesses feel the pinch too. Much of business here in the US is small business. My employer has 9 employees which includes interns. All of us are paid decent wages but no one is getting rich. I do the tax payments. Last year my boss paid over $218,000 just in payroll tax. That doesn’t include the other types of tax payments they make. 

And grocery stores operate on one of the thinnest margins of profit of any industry. 

I know a chiropractor - if he accepts Medicare he gets paid $8 for a one hour appointment and has to file 2 hours worth of paperwork following up with the government per patient. So of course he can’t accept Medicare. That means Medicare patients have to pay cash or buy a supplement plan  

All we can do is live as carefully as we can. I’m working till 70 to earn all I can and sock away as much retirement as I can. I don’t have a pension. Pensions are gone now except for very few workers.   I put money out of my checks into my IRA and hope the market holds. Health issues remain a concern but I can only try to take care of myself and pray. 

Grandma Donna wrote, I want to say, Wow! thank you for starting off the forum with this wonderful contribution of comments so far.  I started taking notes from your comments because already we see that yes, this is a global issue on many of the expensive food and other issues.  Yes, many people are struggling or feeling like it could get worse, yes there is concern for our young people finding housing.  By commenting your situations good or bad, this helps everyone in ways you may not think about.  I went back in this blog post, the actual post and added a note to the bottom of the blog post to what I wrote to myself when reading your comments so that people that are just reading the blog post will see that the conversations here in the forum matter. If you go back and read at the bottom of the blog post you can see what I wrote.  

We are doing this in hopes that every situation, good or bad will help in some way because everyone is in a different situation.  Some need to know it is not just them struggling and some need to read, grow a garden when you can or Cook meals for the landlord to lower rent.  That was a good one as all the others.  Thank you, Donna

So we have 2400 sq feet just my husband and I.  We won't downsize because we only pay about $540 in property tax a year. If we moved, it would be 2500 and up per year.  We live far out, so we do pay gas.  He is 68 and still works full-time, but he's getting exhausted.  It is his company and one other person.  I homeschooled so I didn't work.  I have 1/2 payment left on my vehicle (yay) otherwise we have no debt other than insurances, taxes, basic bills.  We have AZ prime and that's all we watch, plus I get about $300 a year in points.  We only have cell  phones which are paid through his business since his is for business.  And we are still tight  in spending!  Groceries are out of this world.  I go out twice a week, maybe 3 times. We don't eat out - he does for work. We don't do anything for fun - no vacations.  We pay for health insurance through his company and it doesn't sound like going the medicare route for him is cheaper. I require chiropractic care, but insurance won't cover, so it's about 3500.00 a year.  We haven't had a raise in 7 years and the empty nest helped, although we still pay our married dd's car insurance since it was a vehicle we bought for her and they are struggling.  Rent in Tucson is ridiculous, between 800 for a dump in a unsafe neighborhood per month or around 1200-1500 per month for 500 sq feet.  A bad neighborhood home would be about $265,000.  Who can afford this?  Groceries went from $180 to $275 weekly and if it's not groceries, it's other "stuff" at the grocery  - laundry/vitamins/tp/etc.  We just had the septic pumped for $500 (was $350).  It's crazy.  My daughter and her husband have no health insurance. They can't afford it!  My windows need replacing, my floors are horrific ( tears in linoleum, and carpet seams are fraying and few we trip on) and need replacing and was quoted $25,000 (they're 23 yrs old), and my window seals on some are broken. I have sliding door that hasn't worked in 10 years.  We can't afford it.  Trying to grow anything in Tucson is a joke.  If it's not eaten by something, it's just too dry and we're not really physically able to do that anymore.  It's pretty scary.

I have tried to post twice but was repeating most of what everyone is saying.  I live in Canada and the standard of living is much lower than it was five years ago - grocery, insurance, taxes, etc have increased and we are getting less for it.  Contrary to what most people think, health care is not “free” in Canada.  We are heavily taxed and many things are not covered for the average Canadian (glasses, medical prescriptions, ambulance, dentist etc).  There is some coverage for those over 65 and/or very low income.  One area no one has previously mentioned is vet care.  In our area it has skyrocketed.  Corporations are buying up the independent vet offices and then charging high fees leaving people with no other options.  

I think the USA is just a few years ahead of us in the UK, and we are heading the same way. There is a hostility towards the older generation, as if we had a life of luxury. People are being bullied or stressed out of their jobs in their fifties, with little chance of getting well paid work again.

One hardly dares to mention growing up in post war austerity, starting work at fifteen, living with parents when we were married, the slum first house with no heating and second-hand everything. We had to cope with DH being made redundant, and struggling to find another job in a recession. The house may be worth more, with the rise in property prices, but that doesn’t mean the old are wealthy. Selling it would just make us homeless.

It took both of us most of our working lives to pay off the mortgage on a small semi, and to pay to put our children through university, and then to have a short package holiday abroad, a modest new car. We did have hope, and believed that hard work would earn rewards, lived within our means, paid into the works pension, saved for a rainy day. 

All of a sudden that confidence is going. I think the nagging worry started when BIL’s pension company went bust and he got nothing. The NHS, Law and Order, the Government offices, the councils, schools, energy and water supply, roads, the whole infrastructure, all seem to be failing. Everything is being blamed on lack of money, budget cuts, and we have been warned of further cuts by the new Government. The elderly are an easy target. The pension age was raised, suddenly I had to manage for an extra six years, with much less notice than we should have been given. 

Life expectancy is falling for the first time and there is an increase in mid-life mortality. 

I do think the 1940s study has been a good choice for these times for a sense of proportion. There are many similarities, people were having to accept huge changes in their living conditions and income. There were shortages and constant worry about food, and all sense of security became precarious. For most of the people this was the second time, and therefore even harder to bear. They did not know how long they would have to endure. They did not know if they would win. They knew the cost would be enormous. The UK WW2 debt was paid off finally on December 29, 2006.

My Granny had to send her son away as an evacuee aged 14, and later he was fighting overseas and was injured twice. Her husband was still suffering from the mental and physical injuries from WW1.  His brother died. They had a disabled elderly aunt move in for the duration, and had to look after her. They were in an industrial city targeted frequently by bombers. The fires of the Coventry blitz lit their night sky. Her family were in London, and the whole street where she had once lived was destroyed. 

It is insanely hard for everyone, these days, except for millionaires. Our supplemental insurance is $9000 a year and that is in addition to what they take out of our Medicare checks. You are absolutely spot on, Donna, it is the insurances eating up our funds. 

We do not have dental or vision insurance. Since we are in our mid 70's, we require new glasses annually. Dental is expensive as I have an autoimmune disease that causes cavities. So those expenses are on top of all the insurances we pay; medical, vehicle and home. Insurances are the biggest chunk out of our income and savings.

We do garden and have fruit trees in our yard, but live in a very cold climate so gardening is limited. We have been buying in bulk, for years, so have a good solid pantry and food storage built up. We don't owe anything, except for monthly bills and all the various insurances and home taxes. Still it is very difficult to save. We have no state income tax and no tax on food.

I am interested to read the comments to see how everyone else is doing. Our retirement income is good, yet savings is a struggle with such high insurances. We don't eat out or go anywhere. I have no idea how people are even getting by if they drive a lot, have an average size family, live in a state with high taxes, travel or go out to eat.

We don't watch television, so have no services for that. We do have cell phones and internet; that is it. Everything, including hair cuts, is going up significantly. It is a cycle of every business passing along the extra costs on them to the consumer. I would say we are in a Depression.

My MIL told stories of how there was plenty to purchase, during the depression, but no one had any money, except for the very wealthy. This time around homesteads and farms are far less common. As you mentioned, Donna, there were not the bills to pay back then that we have now. Bartering was more common.

Thank you for broaching this subject as we all need to learn all we can on how to make it during this time.

Has anyone else thought how all this has kicked off worldwide since the Covid pandemic??

We've had thousands in NZ lose their jobs this year. . Lots of established businesses closing down.

Many are heading overseas and with a population of just over 5 million I wonder if we'll become a country of an aged population.

Ann E.... The house we gratefully rent has piles that need replacing, the roof has issues but the cost to the landlord is too high..$80,000+ just for repiling. He did have the whole house rewired for us and that cost over $20,000

My husband who has Huntingtons.is still able to be creative so we do what we can and afford. We have done sub flooring in the rooms where the floors are uneven ( the landlord brought sheets of MDF)  and we brought rubber paint that Ken painted over the nail holes on the roof of the house and garage and no more leaking. I was given a free kitchen someone was getting rid of and our daughter and son in law made it fit and friends were putting new carpet in their house and gave us their used carpet that was still in very good condition for free and Ken and the husband layed it. I feel very blessed by Gods provision and of things not even asked for .

I've found it pays to keep.ones mind and hands busy with whatever you are able to do such as gardening, sewing ( buy duvets and sheets for fabric), knitting or crochet ( buy jerseys at thrift shops and unravel, wash and reknit), even reading wholesome uplifting books, books of how people used to live or the Amish, Tasha Tudor. We cannot change the plans those in leadership may choose to do but we can  look for blessings and to be a blessing.

Glenda H_2.... Haircuts in the town we live are now $75. To have your fringe cut $25. My hair is now long and I cut my own fringe.  I agree with what you and others say about being in a Depression.

I do a lot of thinking and praying about all of this.

Everything costs more, and we do garden, can and preserve.  We don't eat out, have taken one very short, cheap vacation in the last 6 years. We all trade clothes and do a lot of thrift shopping for our needs. 

Thankfully, I own my home and the home my kids live in....they pay the minimum in rent and we are very communal with cooking and eating. Cooking and eating together is our main source of entertainment.

My budget is everchanging at this point because of everchanging costs.....of everything. 

I read your every blog, you help keep me on track and reading the blog calms my fears and makes me feel more grounded.

As others have said we just keep going and praying.

I wish we had more answers.

JC

Hi Grandma Donna, I can tell that you're very concerned and here in Australia, we are feeling the same.

My husband and I are in our 50s; I haven't worked for a while now and I am not sure I will get back into the workforce. It's a worry because we have always lived below our means, strove to be out of debt as soon as possible and gone without holidays etc to ensure a financially healthy old age. Now we are looking at how to squeeze more out of my husband's income as we are spending everything he earns.

I'm sorry for you and all the elders who work hard and are diligent, yet through no fault of your own, still find this is not enough for financial security and peace of mind

Although we in theory have a good public health funding system, there's a shortage of health professionals and the hospitals aren't run very well.

Last year I had cancer, so I speak from experience.

This morning, I said to my husband that everyone is talking about the cost of living, and I realise there is a difference between the cost of living and the cost of participating (in society).

This is something I don't hear discussed often.

The contemporary idea (in Australia at least) of what comprises "necessities" is a bit questionable.

One tip I have for those who have access to a local library is to visit and find out all there is on offer.

You may be able to access internet free of charge. Obviously, you can borrow books; cheap entertainment and a great way to learn news skills. A library is a comfortable place to spend time than a shopping mall, if you can't afford to run your heating or cooling at home.

Tool libraries and other arrangements that allow people to share resources within the family or community seem to be helpful in saving money and building social connections.

Where I live, the technical colleges operate "businesses" to give students practical experience, at low cost to consumers. Goods and services include haircuts, plant nursery and ready made meals sold in single portions by the cooking school.

Multi-generational households, boarders and families sharing a house were more common in the past than now. I think you have touched on this in the past. We might need to get used to sharing what space we have with more people.

I think solutions will be with people at community level but I don't believe there will be a quick fix.

Best wishes

Kellie 

We are in a pretty good position because we have a good income and live in a moderately priced area. We worked hard many years, struggling to make ends meet. I homeschooled 5 kids, and took on 3 paper routes, and cleaned 3 homes to help during those lean years. Later I had an embroidery business that did well, as well as I had a booth at an antique mall and painted furniture. We always only carried debt on a home, and did 15 or 20 year mortgages. Our turning point was moving in 2006 from Florida, where taxes and insurance were $750 a month, back to Alabama, where taxes and insurance are $250 a month.  We made $80k on that home so were able to put that with the equity on our AL home, and not have a large mortgage. I coupon shopped sales and started bulk buying the things we ate. I went to garage sales and clothed my kids and decorated my house very cheaply. The one thing we were consistent with, even when it was a struggle, was to put the maximum in retirement, and get the company match. We have a medical plan where we have a high amount we have to pay out of pocket before it kicks in, but the money we put into the plan rolls over year to year. We put the amount that is our maximum out if pocket into the account, and that monthly cost is half what old insurance. My husband uses the VA and has gotten free glasses, some MRIs, hearing aids so far. We buy my glasses and his extra set through Zenni optical. It is an online  business, you send your optometry prescription and the glasses are mailed. It has been $30 for regular glasses, and his trifocals are around $70.

In 2020 we built a home after all the kids left home. We were under contract when the pandemic hit and prices soared, so by the time our home was complete the builder was already charging 40k more, but we didn't have to pay any more. My father in law passed away in 2020 and we got 90k, which was our 2nd windfall that placed us financially ahead. We tithed, paid 40K to upgrade my husband's truck, and put the rest in savings. We began putting 25% of our income in retirement, and paying $500 a month extra on the house. We still have a mortgage, but it is our only debt. I planted 3 peach, 2 apple, 6 grapevines, a trellis of blackberries. and raised garden beds. We began buying a side of beef a year. It comes out to $6.75 a lb, as of last side we bought, which is higher than grocery store ground beef,  but includes steaks and roasts. I find local people and buy fresh eggs for $3 a dozen. I buy 12 dozen ears of corn, a bushel of purple hulls, a bushel of lima beans, boxes of tomatoes, a bushel of Clanton peaches, and a bushel of apples each season and I can or freeze it all. I grow what I can to supplement. And I just got 30# of green peanuts, boiled them and put them up. I buy bulk flour, rice, sugar, oats, cornmeal, grits, salt, pasta, tea, and coffee. I buy butter on sale and freeze it, also cheese and portion out and freeze. I have gotten to the place where I don't buy a lot from the store, mainly peanut butter, the bulk basics listed above, milk, chicken, hams on sale, whole turkeys on sale, pork loins, bacon and sausage from the Conecuh plant, tuna, chocolate chips, and cocoa powder. I can a lot. I like to can soups, pot pie starters, chili, taco meat, etc so that I have meals ready to eat. I make my own cream of...soup mixes, and other mixes.

My adult kids have good jobs and the three that are married are doing good with 2 income earners. My daughter that is single is struggling paying $1600 a month for an efficiency apartment. It was the cheapest available, and more than my house payment. When she comes over she shops my pantry. My other son sold a home the beginning of the year because it was draining him and he was getting in credit card debt. He moved in with us in March so that he can pay off all debt and save for a home. Homes are out of both of their reach. I know they are struggling to survive. 

Because we put everything we can on a credit card and pay it off monthly we have points for travel. I am going to visit my son and DIL in a week free using our points. If we don't travel I can cash in points for Walmart, Target, etc. We have Sling TV and watch the old shows. We have our cell phones and internet. We go to Belk and buy my husband's work shirts when they put them on 60% off, so Izod buttondowns will be $10. I cook most nights, and cook enough for my husband to take a lunch of leftovers. We buy some frozen meals as a back up if we don't have leftovers and I don't have time to make a sandwich meal for him. I feel we are comfortable, but I try to be a good steward of our money. I put a pot in the sink and will rinse off dishes, wash vegetables over it, etc and then take it to water the garden. I have two rain barrels for watering also. I feel I am home base for the family. I dont work,  so I can baby sit, always have a meal, and rooms if anyone needs a place to stay. I also homeschooled 18 years so I could teach grandkids. I sew,  have  a 10 needle embroidery machine, a quilting machine, and I could use these to make money. 

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I live in Cornwall, UK, which is an area that is one of the poorest in the country. It’s also one of the most beautiful areas and that belies the poverty that so many people have to cope with.

My husband and I are doing ok, mainly because he lived a frugal life in order to overpay on his mortgage each month when he was able. Our three children (ages 43, 41 and 36) are also overpaying on their mortgages whenever they can.

We can see that our NHS is creaking and we have had to go private for dentistry because our NHS dentist went private last year. In Cornwall there’s a 7 year waiting list for an NHS dentist!

However, we personally feel that we can’t complain about the current NHS because of the life-saving treatment my husband has received. He has haemophilia and when he needs a clotting infusion it costs £11,500 each time.  A few years ago he needed over £250,000 worth of infusions in just one year! 

The NHS also saved him in 2015 from life-threatening prostate cancer, sepsis and pneumonia - all at the same time!

But sadly, my husband was one of the victims of the Infected Blood Scandal that took place in the 1980s. Successive governments KNEW that certain patients (mostly haemophiliacs) were being given infected treatment but they kept quiet because it was “cheaper than chimps”. The fight for compensation still goes on.

We are happy to live a quiet life and enjoy family time above all.  We shop at Aldi and we mostly power our home by 30 solar panels, also having 16 solar batteries. We run a smallish electric car using a home vehicle charging point connected to our solar power.

We have both known very hard times when we struggled to keep our heads above water, but we thank God for His provision in hard times and good times. We both remember how He has looked after us and we like to help others when we can. 

As with my fellow Brits I am very grateful for our beloved NHS ( National Health Service ) but it is creaking at the seams with long waiting lists for routine operations and it’s very hard to see a doctor in our area. We also have had to go private for a dentist and, with us both wearing glasses that need upgrading most years, both of these expenses have to be budgeted for.

My husband is five years younger than me and is still working, I’m eight years off being able to draw my state pension so we rely on his salary for our everyday living expenses, I contribute by participating in online university studies and surveys which brings in extra. The food prices have gone through the roof over the last couple of years as have energy costs. We were lucky enough to use a redundancy package to pay off the last of our mortgage a few years back but building maintenance and insurance are hefty costs & a worry that keeps me awake at night.

No idea what the answer is, the disparity between the obscenely rich and others like us seem to be getting wider & wider each year, has this always been the case, I don’t know?

Thank you for this post Grandma Donna.  I honestly had no idea it was so bad in the U.S.  I'm an American living in a fairly rural Bavarian town. I've been here for almost 14 years and I am so grateful to live here.  Things haven't changed all that much.  Yes there are increases in many things.  Our groceries are slightly higher but I can feed us comfortably for about 80 Euros a week and honestly, I could cut that down to about 50 if I needed to.  Our medical insurance isn't free but we don't pay anywhere near as much as in the U.S.  They take 14 percent out of my husbands pay and his employer pays the other 14 percent but there are no co-pays and you dont have to make a doctors appointment you can just walk in.  Although they are only open mornings and a few afternoons a week. For prescriptions you only pay 5 Euros for each on a quarterly basis.  So yes, we do save quite a bit of money here on medical!  I do have an old little car we paid cash for during covid but will be giving it up soon as we can walk, bicycle or take a bus anywhere, so we won't have the auto insurance to pay anymore, that cost is about average. Our rent is just under 600 euro a month and it includes basic utilities up to a certain amount.  People do own houses here but more people have always rented.  Houses are quite expensive.  After reading others comments here, I truly feel for those of you who have worked so hard and saved only to have to work after retirement.   We still have a bit of time until we are of age to retire, but you have really encouraged me to step up my frugality and to save even more.  I love the "old ways" and still feel this is the answer to many modern day issues.   - Marianne

My husband and I can get by but we help our daughter and son in law and their 4 children. They both have good jobs and a modest home and got along fine until everything started going up. Taxes , insurance, utilities and groceries and medical and dental costs have hit hard. I never thought I would see the day a trip to McDonald’s would be too expensive but it is

My husband and I get by but we are very frugal. He is turning 69 soon, draws SS benefits, Medicare, Supplements with Humana, and works very part time. I am 61 and still work full time with company benefits. All through the pandemic up until a week ago, I was commuting 35 miles each way to work. I recently started working from home 3 days a week and will also get a stipend each month to contribute to our internet service. I will be saving on my car's wear and tear as well as the cost of gas. I hope to eventually work from home the full 5 days each week. 

We live in a 104-year-old house in a less than desirable neighborhood, but we have some good neighbors. Our son-in-law and daughter recently did major repairs on a second house they own that caught on fire last year, and offered for us to buy it at just what they had to put into in. It was still too much, unfortunately, for us to take on. I would have to work into my 70's full time in order to pay off the mortgage. So we are staying put. We have about 3 more years to pay off our current home and we are doing some much-needed repairs so that we can stay here for longer. Our neighbor is doing the repairs for us and is charging us much, much less than anyone else would. 

We have a small yard and garden every summer. This year we grew more than we ever have before. We have reduced the amount of meat and dairy that we eat and eat more whole grains, vegetables, and fruits. The only meat and dairy we buy is what is in the loss leaders. 

Thank you for all the work you put into this blog, GDonna! It's the only blog I read faithfully!

wow there are  Some great ideas for living frugally here. We are still young with a young family so maybe we just have the optimism of youth. I do see things increasing all the time I ask my husband often what is wrong with me that I can't stay within our grocery budget thankfully we have some Room in the budget but I know that if we don't set a cap and keep to it we will easily max out and then something else has to go. Thank you to the lady above who mentioned small businesses my husband works for his parents in a small family business that has less than 20 employees and only 4 full-time employees year round. The taxes on businesses are insane in the US. And there is not a lot of difference made between a large corporation and a small business like ours. My husband is very good with finances as that is his training and he looks at it like a game that he is determined to win he reads up and Uses every tricky can he is very honest but he knows how to Make the Laws work for our favor. I think something to remember is that most family businesses are not trying to make a profit we are trying to make a living. Within our small town we do a lot of bartering with other businesses. It is amazing how people are open to thatWhen we are all in the same boat. I cut my hair and my children's hair at home. We have only cell phones and use that for our internet. My husband has learned how to fix most things even are broken phones so that we can keep them going as long as possible. We use rebates when we buy new appliances and new phones. It is worth the time to search for those things. My elderly parents have a home phone and they go to the nearby library for their internet it is part of their routine and socialization to go check their email every day. I think health care is one of the biggest issues we have changed on. We opted out of the health care system and now use a health sharing plan this does not work for everybody especially people with Complex medical needs but it is certainly an option for healthy people. With this plan we have learned to find doctors and even negotiate with hospitals to pay cash prices. The more we can show our sharing plan that we have negotiated a better rate the more likely we are to get that reimbursed.  It is also true that as we opt out of insurance we have realized that there are many things insurance dictates to doctors that are not actually for our good health. The relief on my Doctor's face when I tell her actually I can pay cash please tell me what your best recommendation is. Now she is free to treat me the best way she knows how very very often that is not with medication but asking me to commit to radical diet and lifestyle changes. I have bought books to educate myself so that I can treat my children's illnesses at home a good series is be your child's pediatrician.  She teaches you how to treat simple things at home and when expert help is actually needed with no medical background myself I really felt the lack and needed to learn more. My mother rarely took us to the Doctor and I think that is because she had lots of handed on wisdom about home remedies. Many of these things apply to my husband and myself of course this does not work if you have more complex issues. And I am very glad to have expert help when we needed. For savings we put every bit we can even if it is small amounts every month into our retirement and into our savings. We have invested in land as we feel that is something that remains more stable. A good friend who is in finances recommends investing in gold even gold jewelry. I don't like to be political but I have found that being educated on political matters and speaking up to our representatives does make me feel better I may not change the world but if I am not participating in our political process the best way I understand it then I really am at the mercy of everybody else who thinks they know better.  Thank you Grandma Donna for sharing your wisdom please keep heart and keep hope ultimately our hope is not in this world. But we do want to be able to eat while we're here right. 

Such a thought provoking post.  I completely agree with you-especially about the rising cost of healthcare even though it seems to be falling apart here in the US.  Many of my family members have faced months and months of waiting times to get into specialists.  As many hospitals are now losing money and healthcare workers are quitting, changes have to be coming.

I do offer a glimmer of hope.  My son just graduated from college with no debt because he went to a state school with merit aid due to his high grades and scores.   He got a job making less than $19/hr which was disappointing after 4 years of hard work.   But he moved to a cheaper part of the country, got a studio apartment, is driving his old Honda that runs just fine, contributing to his 401K and is making it work by picking up as much over time as he can.  We are very proud as not many of his peers are out of the house.  

Most people I know haven't lowered their standard of living but are in tons of credit card and other debt.  Something has got to give.  Not sure what that is but we are over hear trying to enjoy a simple life until we can't.

So thought provoking seeing all the retirees (or near-retirees) talking about this pinch too.

I only saw one other young person on this thread; I am in my late 20s, with two children under the age of 4. All my peers are struggling too, even the young engineers and tech workers. We live modestly, my husband is a dump trucker and we earn less than 50k yearly. Thankfully, we live with my parents.

The whole climate feels like living in the twilight zone; the financial gurus like Dave Ramesey (whom we follow on debt and saving) saying "LIVING WITH YOUR PARENTS IS IRRESPONSIBLE" while we are looking around and seeing that the other options are either being in debt for 30 years in order to own just a mobile home (not even the lot!), or sharing a house with two other families (I have one friend doing that, with 4 children). Housing, food, and fuel, are all climbing into crazy territories.

My grandparents live next door, and Grandma was born just before WW2. She has all the years of seeing the system 'work', saving for a retirement, having the house paid off. She knows what it looks like when it is functioning. And now? She is as baffled as the rest of us. The math just doesn't check out.

I relate to the fear and uneasiness you mention in your article. Waking up in the middle of the night and staring at the numbers, wondering if you have missed something or if you could possibly just 'do better'. For me personally, I find comfort in information. I watch Peak Prosperity, read economics books, try to grasp the social pressures and forces that would possibly create a future out of this unsustainable present. For example, I watched an interview with a man who is bringing lawsuits in Texas against the real estate tax valuation fraud there. It seems like word spaghetti, but it comes down to people lying about how much YOUR house is worth, so they can charge you more on property taxes. It comforts me in some ways; we could possibly fix that. It also frightens me; how did we become so corrupt? Is there any way to redeem a society that is untethered from God?

Meanwhile, we pray for protection and guidance. Praying for that for all of you as well. I know God has us all in his hands.

We are both Australian, retired, in our late 70s, have no mortgage, a garden and our only income is old age pension so we live very simply.  But I agree with the comment above, that we no longer socially participate in society.  Sometime it gets me down, trying to keep financially afloat and it does fall to me.  Hubby is oblivious unless he buys some hardware.    Lots of our friends are wealthy and therefore have all the travel perks and bling of wealth.  I’m not envious but it makes it impossible to socialise on an equal footing.  holidays in the Maldives, Thailand, Europe, Canada, are regular conversations we hear.  They are great people but ....Ha ha I need to find some new frugal friends.  

I think covid and globalisation have had a profound  effect on all of us.  The cost of living and shortages of goods exploded in covid...we saw that the supply chain was so fragile.  Globalisation and migration has reduced our quality of life in that housing and rents are exorbitant.  Overcrowding is rife.  Our cities here in Australia cannot cater for the huge influx of migrants that our government allows and encourages.     It’s insane.

The internet is a problem . it has made even the poorest person in a third world country want to have the illusion of a better life, to risks their lives to chase it.  Thereby putting negative pressure on 1st world countries.  To survive I can see our old life disappearing to a third world standard due to sheer pressure of numbers.   

Also we wanted less than the generations that follow us.   They have been influenced by social  media.  My children, although working class, pay for an overseas holiday every couple of years.  We stayed with friends/family if we holidayed.   Both my children are paying off their homes which they struggled to save and buy themselves.  .  They are considered “lucky’ by my friends as they purchased them before the sky high prices happened.  My  friends are gifting upwards of $500:000 to help their kids get into real estate or they are buying a house for them.  

For us, I agree, Donna, that insurances and land  tax are pricey... $8000 pa.  We are in a bushfire zone so, after the last scare, I increased our insurance so we had 2 years accommodation, removal of debris, and like for like cover,  we are too old to get a loan if we are underinsured.

For us we survive/thrive by enjoying our natural world, being grateful, bike riding, kayaking, and giving back wherever we can..keep the good energy flowing.. a bunch of home grown flowers or some biscuits as a gift is appreciated. ..spend time with grandchildren..share our stories and wisdom...laugh often ....observe and appreciate the birds, bees and the seasons changing,  live each day with a grateful  heart and don’t envy others... we all are juggling our own worries...be kind...share any abundance you may have.  

We can’t change all the negative energy coming towards us in tsunami waves...but we can make a positive difference in our own little world.and for those we love that are coming after us.  

It's the drastic rise in rural land prices that's hurting me the most.  Buying more land has been a lifelong goal, but now prices are rising faster than my savings are growing.  Worse, when acreage does sell at current prices, it's usually for development, because no farmer can afford to pay that. It's very sad to see what's happening to the area.

We raised five children on a single income.  I homeschooled them for 23 years and four out of five went to college on full tuition scholarships.   All of our children are self supporting and all but one own their own home.   We did without a lot of things to have me at home and our kids never had the latest gadgets or most trendy anything but we had each other and did so many fun things like camping and hiking and picnics.  When you love the outdoors so many activities are inexpensive.  I cooked all our melas from scratch and shopped for everything possible at sale prices which I still do now with our empty nest budget.  By only buying on sale we keep a very well stocked pantry and can cook anything we want to eat on any given day.   At this point we are able to keep our food budget to $250 a month.  I shop at two stores most weeks.  I go through all the ads and shop at the stores with the best deals and only buy those best deals.  Then we buy in season produce and milk. I don't buy many prepared foods and almost never from the bakery or deli.  We do have grocery salvage stores here but the prices there have gotten so that I do better shopping the sales with a few exceptions.  

We are living only on my husband's Social Security.  He is 67 and I am 64. He became disabled at age 59 which cut our retirement saving years short.  We had only participated in a 401K program with company match for 17 years.   I did not go to work after that because he needed me at home,   At that point we had not saved nearly what statistics said we needed but the stock market did very well for a few years and that number doubled which was amazing and a blessing.   For the first seven years we had both SSDI and disability from my husband's former employer.   Plus they contributed to our 401K for 7 years at the rate they were when he became disabled.   I did not spend that disability check but put it in savings each month for all those years because I did not want us to be in the habit of having that income.   We held that in a mutual fund and it made a lot of money over the years.  Another blessing.   It pays to have a financial planner helping you navigate your savings.  At this point we are debt free and I see no reason that we would have to go into debt and would not in any case.   Beware that there is a lot of misinformation out there about what will happen with SS in the future.  I find most of those articles to be click bait to get you to see an ad for something or sign up for something like a credit card.  Reality is that SS may be reduced but nowhere have we seen reliable information that it will go away.   I will begin taking my SS when I turn 65 next year and go on Medicare.  This will be a real boost to our income.  We will also begin pulling money from our 401K at 4% a year.  Honestly I don't know what we will do with all that income.  We will not suddenly have a taste for fine dining since we do not now!   Honestly the thing we enjoy most these days is having friends in our home for a meal or coffee and dessert.

We pay for my husband's Medicare and have a Humana plan that is paid for by our Medicare premiums.  I have free Marketplace insurance.    For the most part we stay away from doctors as much as possible.  We do a lot of alternative medicine at home.  I have knowledge in essential oils and herbs which has served us well and saved a ton of money.

As long as we can manage it we plan to stay in our 2700 sq ft house on 2.5 acres because it is paid for and taxes are grandfathered in in our state which means as long as we do not move our taxes can never go up more than 3%.   Thirty years ago we bought an average house on a big lot and just stayed here.  Now our house is worth about $600K but it doesn't matter because we would be silly to move and lose the tax savings and our safe neighborhood with our wonderful neighbors.    One thing I plan to do with our increased income next year is get lawn service to give my husband a break and also someone to clean for us.   At this point I cannot imagine such luxury because we have always done for ourselves.

We have a cash budget for eating out and entertainment each month.  What is left at the end of the month we put in an envelope in the safe for a big trip for our 50th wedding anniversary four years from  now.   We try to always eat out using coupons and deals for BOGO meals.  Twenty five years ago we paid cash for a one twelfth share in a house on a lake two hours from here.    A few years later my parents bought a share of the same house which I inherited at their death.  So, we have eight weeks a year at our get away place.  We are all a very thrifty group so our fees are only $960 a year for the two shares.    We go there for two weeks four times each year and it is wonderful to be able to get away and rest.  Sometimes our grown children and grandchildren will join us for a weekend which is great fun on the cheap.   Every month I put $35 in an envelope for when the kids come to visit so that we can do something like get pizza from out.  It's nice to have that cash and that option.

We have been so blessed that I cannot even understand it.    

I can't add much but here in Nebraska we are eligible for homestead exemption on our property taxes. We live in a small village and our taxes a year on our house are only about $54.00 a year. We live on Social Security and my husband has a small maintenance job in the town 4 miles from us. We have one car which is 12 years old. We are frugal and still doing ok health wise.

Thank you for this post, Grandma Donna! Our family has been struggling for a long time, but things have been especially bad for the past four years. I am a stay-at-home, homeschooling wife with seven children and a husband to care for. We do everything we can to cut back and I tear up when I say that I feel there is nothing I can do to cut back any more. But reading this blog has helped tremendously and I usually find some little thing that I can do, or at least some encouragement from you, and all who are in the same boat. We do all haircutting at home, I mend our socks and clothing continuously, we never eat out or buy any snacks, we have a garden and can the produce, drive the car only when necessary, I make my own laundry detergent and cleaning solutions, we use small, soft rags for tissues(I wash in hot water!), I hang up about half of our laundry, make do or do without, etc., etc.! I think the only "subscription" that we have is the internet plan, which my husband needs for his work. There are no gym membership, manicure appointments, or anything like that.  It has been a good time to trust in the Lord and to remember that He is sovereign. These difficulties do not need to be wasted (I need to add that I am still learning this and have done a lot of complaining). Our family has one of those Reminisce books about the Great Depression, and many people in it have remarked that those hard years were some of the happiest. Thank you for your blog- I have been reading it for a few years every Sunday afternoon.

My husband and I live in the middle of Jerusalem.  We are in our sixties.  We rent an apartment.  Medical care is relatively inexpensive.  What I wanted to point out here is that the internet can be a resource.  We buy our eyeglasses from China for a fraction of the price they are sold for in the stores (we pay them for our checkup, then order from eyebuydirect). Medscape will give you all the info you need about medical stuff.  Check out your meds and see if you can find them in a cheaper form.  Example:  I have to take a Gaviscon equivalent twice a day.  I found that the main ingredient is sodium alginate, and just ordered it online for a miniscule fraction of the price of Gaviscon, even with medical coverage.  Check out your meds to see if you are taking too many and if you can switch to a generic.  Remember that many of our senior problems can be solved with orthotic inserts, compression stockings, hearing aids, vitamin D3, and dental floss.  

If you are into music, IMSLP.org has free sheet music.  There are free books to read online on guttenberg press.  There are a ton of free college courses at Coursera and EdX.  You can download music from Youtube, make it into an MP3, and save it on your cellphone or computer to listen to.  There are internet sites with free local stuff, just do a search. Here, there is Agora, where you can find all sorts of free stuff from all over the country.

Not internet here, but we participate in a local food recovery program.  A non-profit collects expired products, distributes them to a list of needy people, and then opens it up for anyone to take.  In the States or somewhere else, it would be visiting the backs of stores and collecting the food.  So Baruch Hashem, we don't pay for fruits, vegies, milk, etc.  We save them from the landfill.  Food waste is a really big problem, you can be part of the solution and get free food at the same time.

I pick up bags of sheets or clothing on the street and make clothing with them (I have a treadle sewing machine).  People give me now their fabric or old clothing.  Yeah, so I do the other stuff too like soap, creams, potty pads, but you all know about that.  We do not own a car.  We walk mostly, but that's partly why we pay higher rent.  

Thomas Sowell says:  There are no solutions, just trade-offs.  We choose our trade-offs just like every other generation, and they change during our lives.  Use the tech to lower costs and increase your knowledge.

Like so many others, we’re struggling.  I draw a pension from teaching and a little Social Security from working afterwards long enough to earn enough quarters.  My husband lost many quarters when he went back to graduate school.  Unfortunately, he never found a decent job afterwards and draws a very small social security payment each month.  

Although it doesn’t help, I kick myself every time I remember we bought this house with the proceeds from selling my parents’ house and owed nothing.  Unfortunately, we got into credit card debt and ended up refinancing the house to pay our debts.  Also, unfortunately, we didn’t learn our lesson and repeated the process, so we now have a mortgage.

 I do try to be careful with our groceries with more and more generics, but my husband doesn’t seem to care for non-brand name items.  It helps that we don’t eat meat.  Because of our disabilities, we don’t garden.  We do have a peach and two apple trees.  Unfortunately, I can’t get down the steps to the backyard to check on them.  Also, I learned just last year that my husband doesn’t like most kinds of cooked apples and only certain raw ones. 

Actually, we’re doing ok with medical bills.  We have a good Medicare Advantage which doesn’t charge any extra beyond a regular Medicare payment.  Our doctor prescribes generic drugs which the insurance covers.  She works with us in getting my husband’s diabetes medications directly from the companies at low cost.  Our insurance has a flex card spending allowance that offers many “over the counter” items which allow us to get any necessary supplements, toothpaste, toothbrushes, etc.  They covered most of his recent cataract surgeries, but we do have to pay the deductibles.  The insurance is covering much of the cost of his first post-op glasses.

The issue now is covering some extra bills.  Water bills have increased even though we’re using less water.  The electric/gas bill has increased although our usage hasn’t.  Auto insurance has increased supposedly because they charge more on leased cars.  I did research to find a lower homeowners insurance.  We have to apply every year to get three discounts on our property taxes—1. This is our primary residence; 2. We’re both disabled; 3. We’re over 65 and our income is below $65000. 

Compared with what others are facing, it doesn’t sound too bad.  We have no children except our little furry guy.  He is overdue for certain shots and currently needs trimming (especially his nails) which we can’t do

Donna, you must have esp!  We just got a mind blowing $500 per year increase on our homeowners insurance.  The norm was always $50-60.  This is the 2nd year in a row that the assessor's office has told us to expect a hefty property tax increase.  It was $100 per month last year.  And our town is completely flooded with homes for sale so it isn't like we could sell it if we had to!!

Two things tweaked my nose today.  18 eggs for more than $5.  Then, I was waiting in the car for my husband with the radio on.  (No, car wasn't running!).  A supposed economist is talking about the state of everything and is painting quite a rosy picture of how fabulous everything is.  Huh?!  He starts with how recreational vehicles are selling at an all time high.  I'm talking back to him that it's because people are selling their homes and moving into them!!  They're survival homes, not recreational vehicles!!!  Then he said that Napa (California wine country) is doing a booming business.  Hotels are full at $400+ per night and people are buying cases of wine at $100 per bottle.  Not anyone I know lol.  And my friends that live in Cali are worried about homeless encampments and brush fires.   (Big fire behind my buddy's home last week.  Old BBQ in a field of brush.  )And then he starts talking about record numbers of traveling Americans and specifically cites Millennials and GenZ.  Again, HUH?!  Aren't they the same groups that are supposedly hating on older generations for leaving them with nothing?  So, Mr. Economist goes on to say that many in those generations are planning vacations already for next year......and they're planning to pay for them with a credit card.  I kept expecting him to say how stupid this was.  Not a word so I turned him off and I confess to calling him an idiot lol.  Maybe they're expecting the government to swoop in and pay off their Visa after their student loans??   I have no idea.   The whole 10 minutes I listened to was like an episode of The Twilight Zone or better yet, Fantasy Island!

We have very good healthcare, but there is no certainty anymore and I know many people are hurting.  And waiting and waiting.

We're in retirement countdown and looking at it in a completely different way than we did 5 years ago.   We've never been spenders....our *new* car is 11 years old haha!!   The old Tightwad Gazette rules have changed!  We're in uncharted territory so I'm grateful for all the input and ideas.  Thank you all.

I am a retired teacher living in the US.  I knew I could never retire unless my home mortgage was paid off.   I had to retire early at sixty for health reasons.  Because I stayed home with my daughter when she was young, I did give up several years on my social security and full time years toward my pension.  I always lived below my means while I was working, paying off my home and car, as well as having large maintenance expenses like having window replacement done before retiring.  I was so used to living below my means when working,  it was fairly easy to adjust to a more limited retirement income.  

Living in my small home is much more doable with a partner.  Although my city lot is also quite small, we have planted four espaliered fruit trees.  We composted the lawn on the sunny side, and he put in several raised beds.  We grow a miniature, thornless variety of raspberry in pots, as well as strawberries and blueberries.  Last year, I was able to freeze enough of our home grown green beans for us for the year.  I also make our jams and freeze and can some fruit and produce in season.  I cook from scratch and make bread.  Our grocery budget is much reduced during the growing season, as even on this little lot, we grow much of our own produce.  I also try to keep a pantry of dry and canned goods, purchased on sale for back up.

We are committed to maintaining our health and do what we can to maintain our mobility through exercise by walking and cycling.  He does take a couple of prescription medications.  One of his medications was $75 dollars at our local pharmacy, but he now gets the same medication for about 30% off that price through CostPlus.  Once he set this up, his physician’s office contacts CostPlus online, and he gets the meds in the mail.  We both do not carry dental insurance, as it is so expensive.  Our dentist offers a 10% discount, if we pay by check or cash on the day of service, so he doesn’t have to bill us.  We both are Medicare age and carry health insurance supplements.  Insurance and property taxes are big expenditures, but so far we’re doing OK.   I realize we’re lucky to be able to afford this life.  

I’ve always been interested in the old ways of doing things and appreciate all the wisdom Grandma Donna includes in her blog, as well as all the comments in this section.  Wishing you all the best!

Carol

I feel that this current way of things cannot sustain itself. I do not know what the answer is. It is too hard for people. We live in a regional area near a capital city in Australia. Housing prices have doubled in the last five years. The average house price is now $700,000. Our adult children are still in the family home, they cannot afford to buy a house and there is a housing shortage so renting is very expensive and difficult to find. 

We charge our children board and put it away in an account for them to help them when they buy a house or have a family. 

We pay for private health insurance which covers ourselves and our children up to the age of 31. The free health system is broken and under enormous pressure. We will not be able to afford this once we both retire and will then have to rely on the public system once more. 

We try to support small businesses where possible that are family owned and operated to help keep them going. 

We maintain our 90 year old house but do not renovate it. We have restumped and painted it, and had the original iron roof sprayed and renailed. We are in the process of replacing our oven and cooktop at the moment. Our timber floors need polishing but I make do with olive oil or furniture polish. We did have to put in a new bathroom a while back as the old one was leaking terribly and causing damage to the walls and floors, otherwise I would not have done that and would have made do with the old one. 

We try to save as much as we can for the future. We cook from scratch and live simply. We prepare for emergencies as best we can. We shop around to get the best value for our dollar. We make our home a peaceful and safe place to be. I don't know what else we can do. 

I'm a widow and live on SS.  I worked until age 70 to ensure we had no debt when I retired.  My late dh became disabled and was not able to work for around 14 years.  Currently my highest expenses are medical insurance plus all things not covered by Medicare or insurance such as dental and eye exams/glasses, home repairs, insurance and property taxes.    

I do not have a goal of saving.  My goal is to avoid dipping into savings because there is no way to replace that money.  In the nine years since my dh passed, I've managed to live on my income each year.   My utility bills for water, gas and electric are reasonable with only water increasing dangerously.   I garden, can/freeze/dehydrate but at 81 I'm finding all that more and more difficult.  Still, a friend offered me apples from her tree so this week I will be processing and canning applesauce.

Except undies and shoes, my clothing comes from thrift shops.  I can sew and have a good stash of patterns, fabric and findings so can make clothing for myself.  I'm also careful to observe laundry as I fold it to check for anything that needs mending.  

The reason for household and car insurance increasing is due to the increased cost of repairs when a claim is made.  The last damage to a vehicle I had to deal with was a taillight cover that fell victim to two little boys playing baseball where they shouldn't have.  That simple cover cost $150 and that was 20 years ago.  It would probably cost double that today.  I'm currently driving a 2007 vehicle with less than 90,000 miles on it.  (It will turn over 90,000 shortly!)  I try to shop monthly as my primary shopping area is 25 miles (50 round trip).  While I'm glad we have a local store, I cannot afford to shop there because prices are ridiculous compared to Aldi or Walmart (a can of veggies 68 cents at Aldis and $1.65 locally.  If I have a medical appointment in town, I try to schedule it early or late enough that I can shop before or after and save myself another trip.

Regarding socializing, I would love to get back to the days we had friends over for an evening of cards or board games.  Simple refreshments and a fun evening of conversation, laughing and challenging games.  No movies or other entertainment that focuses on a screen instead of communicating with each other.

I think a lot of people who are struggling financially do not understand the concept of frugality.  Nor do they understand self-sacrifice.  I cannot tell you how many times I've heard people complaining about being broke yet saying that their family will not eat casseroles, or won't eat leftovers, or won't carry their lunch etc.  During the years the kids were at home we ate a lot of pasta.  My dh did not tell me he didn't care for pasta until we were empty nesters.  

I find it irritating viewing vlogs where the lady is bragging about how frugal they are while waving her fancy fake nails around her perfectly made-up face while sitting in her fancy house.  To many people the concept of doing without is not eating out 7 times a week.   Or they "must have" name brand everything.  Fact is that name brand means you are paying for the advertising that makes you believe name brand is better while it is generally exactly the same as store brands.   Or the lists of ways to save money on things I've never bought or considered buying.  Not making the sacrifices now means they are using credit cards as extra income which never ends well.  

I don't think the economy is going to improve any time soon, so this is the new reality.  

I started over last year due to a divorce. I have to be very strategic with my finances. Thanks to sheer dumb luck, I managed to find a mobile home that was old but in good shape, and affordable. New single-wide mobile homes are selling for well over $100k, which is absolutely wild. I have to keep an eye on lot rent, and if it starts sky-rocketing I will have to sell and move. Except I would have no where to move to. Many mobile home courts are getting bought out by private equity, lot rent jacked up and residents driven out. 

I am mid-life, only debt I have are my home and student loans. I have been paying on my loans for over 20 years now, and only half of the balance has been paid, as the rest of my payment is eaten up by interest (and they have been consolidated and I am on an income based repayment plan). I started with a balance of $50,000 - so not lawyer or doctor level loans! I am realizing now that I will basically never get the loans paid off, and am making sure my kids don't end up like me. 

I bring my lunch to work each day. I have Medicaid. I have generic prescriptions and have yet to go to the dentist since my divorce. I changed my eye doctor from a private practice doctor to the optical center at Costco. I use browser extensions like Honey when I do have to do online shopping, to find coupons. I shop sales, thrift everything I can, and DIY repairs and upgrades on my house. My car is old and paid off, I am careful with it to keep it going as long as I can. My kids received free lunches from the schools during the summer, and so much of it went into the freezer when the kids didn't want to eat them. The food will be repurposed into something else, or brought out when I'm not exactly in a cooking mood. My kids are able to get free breakfast and lunch from school this school year; but who knows for how long; as the politicians around me are trying to end that program for my area. 

My parents are worse off than I am - they have social security, and a small pension. My parents are disabled. Their property taxes skyrocketed this year and they have no idea how to afford skilled nursing care that will be needed due to one of my parent's progressive disability. We have tried to come up with a solution, but the only solution we can find is somehow come into a large amount of money. 

A timely post Grandma Donna, as I have been thinking about these things as well. 

I'm finding these answers fascinating and very similar world over. Karen S I'm beginning to think we live in the same NZ town as the hairdressers here charge that for haircuts too! I'm finally going this month after holding off and intend to get my hair shaped so I am hopefully able to manage it myself. I so enjoyed reading about your innovative rental accomodation. Kudos to you. It actually sounds homey and thoughtful.

Here in NZ we have very similar issues to the ones written about. Our small town is struggling to get and hold on to Doctors. Hospitals and the health system is under severe strain. Rents are extremely high and food banks etc are in crisis. There have been huge job cuts and the cost of living is impacting many. Rates and insurances are high and seem to keep on rising. It's very hard for a lot of people to save.

On a side note Donna or anyone else who can help, I've been trying to find your post that mentioned funeral costs. I wanted to share it with my husband as it was such an insight. Take care everyone and keep on enjoying the simple things. Today it was sunny and I planted seeds.

Yes self sacrifice is something to be embraced in hard times and even good times to get ahead or at least not go backwards. I have similar thoughts to you when I watch some frugal videos with abundant accessories and self care!

Hi Ingrid M.

I'm in Waikato ( why-cat-oh).

It pays to shop around re funerals. When our son died 10 years ago this October we had no clue how to arrange a funeral so went with what the Pastor recommended. Cost $9,500. We were even charged for the Pastor taking the service and his wife playing the piano even though our son and daughter had gone to Sunday School there and I had been adult baptised there. It was the unknown costs that was a shock. We paid for his burial plot and headstone on top of that. We were both working so the cost was affordable to us at the time.   Cremation is cheaper for those who choose that way. We're not unhappy with our choice.

Our children all earn their own living and it is clear to them that they have to save for retirement now. It is quite uncertain whether they will still receive a state pension in 30/40 years.

I have never commented on this blog though I have been an avid and appreciative reader of Grandma Donna and all the friends here for several years. But I was very moved after reading the comments on this entry and wanted to share some thoughts in case they are helpful to anyone here. (If they do not make sense to you, of course please disregard!) 

I had a somewhat unusual upbringing. My mother got a degree in economics--very unusual for a woman in the 1940s (right after WWII), and she was the first person in her second-generation immigrant family to attend college. Her (step)father was chided by his fellow steel-mill coworkers and friends for spending all the money he saved for her education because, "she'll just get married and have kids!" But my grandfather always retorted, "Then just think how much better off those kids will be because of what their mother has learned!" And as a result we had some very unusual dinner table conversations growing up! I am so thankful for that education from my Mom now. To me, it is very clear what has caused our world of hurt: since Covid hit, our government (and others worldwide) has been spending money it does not have, at an unprecedented and breakneck speed. The government then has to print more money to cover those expenses, and when there is more money in circulation, it is worth less and has less purchasing power. My mother would have said this is the root cause of inflation. The more they spend and print, the worse this gets. (Some economists call inflation the "cruel tax" because it hits lower income folks the hardest.) I also grew up near Yellowstone Park (area has lots of oil, coal, and natural gas and part of the economic backbone of my lovely hometown was a local oil refinery). Our high school economics teacher made us pick one item to monitor the price on weekly (I chose gasoline). To this day, thanks to that teacher, I still track the price/gallon in my check register every single time I purchase gas and could tell you a weekly local price for it for the last 45 years.  It makes you think. Eventually I came to realize that when I bought a head of lettuce in our grocery store, it had to get there on a truck or train. It had to be fertilized in a field (someone transported the fertilizer). Same with beef, or shoes, or even books (I eventually became an inventory manager for a bookstore; every book we sold arrived by some form of freight). During Covid, it was thus very clear to me that freight, energy, and transport were the backbone of much of our economy and I feared for what would happen as those processes became more and more constrained for various reasons. So now we have a double whammy: on the one side (inflation) money is worth less, and on the other side (production), costs are skyrocketing. Historically they haven't usually hit us both at the same time, but here we sit.

I have worked in management for several small businesses, two large public corporations, and state government during my career. I agree from my experience in these environments with the commenter who said the grocery stores, etc. do not have that high of a profit margin. It is not easy to make money in a DOMESTIC business of any size in this country because the taxes are very high and the margins thin after you pay all the overhead that most people do not even know about (insurance, income tax, property and equipment taxes, interest, payroll taxes, benefits, operating costs, etc.). Medical costs are also of great concern. I am not yet of Medicare age and knew recently that I wanted and needed to make some changes, so eventually I enrolled with a "concierge" doctor. These are starting to be more common in some areas; my doctor is $75/month, does no business whatsoever with insurance companies, can thus run his practice without their influence, and provides many basic (including some urgent care) services to me for that fee. Some peripheral services (such as lab work, X-rays, MRIs, etc.) I must pay for separately. I still have a high-deductible insurance policy, which I think is necessary with this setup, and I can submit my service-provider claims (not the concierge fee) to the insurance myself if desired. But my new doctor has very little overhead--an office, run by him and his wife, and he has a limited number of patients. Often, his first response to resolving health issues is not suggesting prescription medication (as was typical with my old doctor), but looking at other changes/ways to address the issue.  I can call or text my new doctor directly anytime, and he will typically spend at least an hour with me for each appointment. When I went in for my first physical, my new doctor said I could either submit the lab work through my insurance or just reimburse him at cost (he has agreements with these other service providers and passes through the cost savings to his patients). I was utterly gobsmacked to find that his cost (for even more lab panels than normal!) as passed directly through to me was a whopping $37!!! Yet the contract between my old doctor (big clinic, multiple doctors, nurses, PAs, etc.) and my insurance company allowed them to charge me (my policy; in other words, typically, my deductible) $300+ for the same tests. My new doctor told me that when he negotiated his agreement with the lab, they said, "you'll be able to build a nice profit on what you charge the patient" but blessedly, he does not believe in that and just passes the costs straight through. 

Obviously this setup wouldn't work for everyone but right now it is the best fit for me physically and philosophically (feels more like going to the doctor when I was a kid, when most doctors had a small clinic with just a nurse and maybe a receptionist). I am reminded of a story my mother repeated to me often over the years (as I am old enough to remember before medical insurance was common and this occurred at that time): she took one of us kids in to see the doctor, a family friend, who at the end of the appointment asked her if we had insurance. My parents were self-employed, insurance was not common then and she sensed something was up. She asked him why he was asking her, and she said he replied (with some embarrassment), "Because I can charge you more if you have insurance." I am not suggesting AT ALL that we do away with insurance or that doctors are crooks, but I have thought so often that that remark was very telling about how we got into the mess we are in now.

I love to garden and keep a big pantry and freezer. I find contentment at home, believe it is important to eliminate all debt you can, and to "cultivate a modest lifestyle" as a retiring coworker wisely advised me years ago. But most important is to have faith in God, pray every day, and know that if we share information, we can all benefit from it. I thank Grandma Donna and everyone on this blog for all you have taught me.

Elizabeth, I also have a few of those Reminisce books.  They have been very encouraging and uplifting.  I recommend them highly to everyone to feel a sense of empowerment and gratitude.  

Donna

My husband is a physician. He believes our medical system in the US is on the verge of collapse, between the ruinously high prices of everything (because big business is involved) and the constantly increasing amount of paperwork (aka computer work) demanded of medical personnel. They have to spend so much time on the computer that they can't take care of patients. Further, as someone noted above, practitioners are so underpaid by Medicaid and Medicare that they have to limit the number of those patients they accept very carefully or they can't afford to pay their office staff. This was a literal problem for my husband.  

I do think the general financial struggles are worldwide. We have had several exchange students, and one of them told me she doesn't know how she is going to live an adult life in her home country of Italy -- she says housing prices are through the roof, unemployment is a large problem, and taxes are extremely high. Our friends in Germany tell us they pay 60% of their income as taxes.

I don't have any bright suggestions (others have already made wonderful ones!) but I am heartened to see how the young people I know -- my grown (or almost grown) children and others--are being very financially savvy right "out of the gate." They budget, they bargain shop, they save up to buy things, they think carefully about what they do buy. Our 22-year-old and 24-year-old have already started Roth IRAs. 

Thank you for your transparency and honesty, Grandma Donna. It is obvious from the comments here that many of us are very concerned. It can be encouraging just to know we aren't alone.

It does sound like everyone is struggling wherever they are living, and I know that it is very hard where I live in a high cost of living area where the housing costs are astronomical. I have always been much in a much lower level of "class" but always too much above the poverty level for any governmental help; but I am wondering if anyone has thought of multi-generational living. Families did that a lot back when they were struggling in the depression and in austerity, as some previous posters noted to take care of aging relatives. I have been working for the past seven years, as a total amateur and an older woman so it is slow work, to try to finish my parent's house so that they are able to live on one level, and I will have a place to live with them to contribute to the cost of living as well as being as much of a caregiver as possible. I know this is not considered normal in this day and age, and I honestly don't know what I will do when I get to my parents age, but this is what I am trying to do for my parents and maybe this will work for some of the other posters.

Rachael

As per the comment above, a few years ago we started to live in a multigenerational house. When my father passed away it was obvious my mom wouldn’t be able to keep up with the house taxes and utilities even with the house paid off. I sold my house and moved in with my child. I pay the majority of the bills but we split some of the maintenance costs. This allows both of us to save and I can help my mom as she ages. I was getting burned out working full time, taking care of my house and also hers.  It’s a small house but when we need “space” we just go to our own room lol.   My Mom is thankful we were able to do this as she was lonely on top of financially struggling. 

Anne M., my childhood doctor was set up the same way.  Him, nurse, and receptionist.  When I was helping my mom go through her house, we came upon an old checkbook.  As I flipped through it, I noticed that my mom sent money to the doctor every single week without fail.  About 8% of my dad's weekly pay.  I asked why.  She said that the deductible was $500 per year and they only hit it one time, when my brother was hospitalized.  She said that it made more sense for her budget to pay the doc regularly.  3 kids.  Our doctor delivered us and was my doc until I was 18 and he retired.  Anyway, she said that sometimes she owed him and sometimes she was paid ahead, but they did it that way from the beginning and always worked.  If it were done that way today, it would be about $80 for every $1000 of take home pay per week.  Anyway, that was the norm in Los Angeles in the 60s for us.  No insurance was used except for hospitalizations.  I thought that was really interesting.

My mom also said that we didn't go to the doc nearly as often as people, especially kids do now.Not sure what that means.  I avoid the doctor unless it's necessary lol.  I have a friend that seems to use it for a stubbed toe!

Grandma Donna wrote, Hi Everyone, this forum thread is going so well!  I am so happy to see that you all are sharing your experiences and we are all picking up bits and pieces which can help in some way.  Ingrid M, the link to my blog post on the funeral expenses that you asked about is https://gdonna.com/living-like-the-past/august-1-1...

It seems to me that so far we can see this seems to be a global problem. Each country seems to have their own issues but I feel that one thing that seems to be everywhere is housing prices have caused a huge problem and preventing people from finding any kind of affordable housing preventing them from even trying to move to something that costs less.  Everything has increased and leaves little or no room in the budget for anything.  It seems that everything, even thrift stores have raised prices.  

I am going to do a post tomorrow about some thoughts on notes I have taken, these comments are helping just by talking about it.  Answers come in unexpected ways, Charles and I need to do repairs at Madge's house and Karen S up in the comments mentioned her husband doing a sub floor to fix their uneven floors.  Charles and I have been saving to try and get someone to fix an uneven floor from the house settling in Madge's house and we have tried to get several people to go up and give us a quote but no one will do the work and instead of jacking up the house we have now learned that this problem can be done with a sub floor after we watched several you tube videos and we can do this work ourselves!  Some of you have found some answers, I have gotten some private emails and I have some thoughts from my history studies that might be time to bring back to this day and time. 

We cannot wait for a fix, this is too big of a problem so we need to start preparing for the things we can do something about.  I have some thoughts about that and will try and do a post tomorrow. Grandma Donna

The biggest thing I do to save money on food is to shop at a salvage/discount grocery store. They have a lot of things that are past their Best By Dates or they have dented cans etc. You never know what they have there or what the price will be. A month ago fresh broccoli was .59 a pound. Now it is $2.39 a pound so I am not buying it now. Usually, frozen vegetables are cheaper than fresh. Purple cabbage is usually .89 a pound so I buy that when nothing else is cheap. I look for markdown meats and vegetables also. Fruit is expensive too so I eat whatever is cheapest. Since you never know what will be cheap instead of saying I want broccoli, oranges, and hamburger I say "I want fruit, vegetables, and meat." When something is really cheap I like to think about how much of that thing I will eat in a year and then I buy a lot and I preserve it. I can a lot of bean and ham soup. I can get ham for .99 a pound by buying the odd ends and pieces instead of the nice slices. I rarely ever eat junk food and I go out to eat at McDonald's about 5 times a year. I don't buy precooked meals. I cook from scratch. 

I live close enough to town that I could walk if I really needed to. I only drive about 185 miles a month though so I don't spend too much on gas now. Our gas is about $3 a gallon now. I drive a 2008 Toyota Yaris which gets good gas mileage. 

I heat with wood. I haven't used my furnace for four years.

I can't ever afford to go on vacation.

Instead of getting rid of things I save them in plastic totes in case I need them in the future. So I have emergency underwear, skirts, dresses, bras, socks etc. This is handy in case you can't wash clothes for some reason such as your washer breaking down, the water being out, or the weather being too bad to hang the clothes out. I keep a good supply of bedding too.

I checked with different car insurance companies and found out that I could save quite a bit by switching to a different company so I did that.

I used to be on the ACP plan for free internet. When the program ended I took the cheapest plan which is $30 a month.

I just paid my electric bill today and it was $90! That covers electricity, water, and garbage. It used to be about $60. I noticed that they raised the cost of water by $2. I will have to find ways to cut back on this bill though the water is a flat price for the first 2,000 gallons. I wash my dishes in dishpans and after I wash them I reuse the water for washing floors. I can do this since I don't use a lot of grease when cooking. After I wash the floors I throw it out the front door to keep my front steps and sidewalk clean.

I used to get $834 a month for Social Security and I could live on that. However, when I turned 65 they started taking out $175 a month for Medicare so now I get $659. My house and vehicle are paid off. I don't have any debt, but it is still very hard.

My dog died recently and that cost $300! They did give me a nice little wooden box with her ashes though.

I never go to beauty parlors. I have long hair and my daughter trims the ends once a year when I see her. I don't wear makeup or buy fancy clothes. I don't have any paid T.V. service and I have a cellphone with a free plan for poor people. I use Roku for T.V. I don't smoke or drink alcohol, coffee, or pop. I don't have any services such as a housekeeper, cleaner, or person to do yard work. I do it all myself. I mend things if I can. I shop at thrift stores for what I need.

A book I like is "We Had Everything But Money." It is about people's experiences from the Great Depression. It is encouraging to read all the things that people did to get by and the good attitude they had about it.

Since my dog died three weeks ago I have wanted another dog but the cost to maintain a pet is very expensive. I heard that they have a program where you can foster a pet. You provide the home and love and they pay for everything else. I might do that. It wouldn't be the same as having your own dog but I wouldn't have to pay anything for it.

I've enjoyed reading all your comments.

Becky Sue

Karen S thank you for taking the time to answer. My heartfelt condolences on the loss of your son. Reading about that moved me.

Thank you Grandma Donna for the link. I have passed that on to my husband. Isn't a good community something to be treasured! I was so pleased to read that you and Charles have found a solution for the floor of Madges home. That got me thinking about solutions to many of the things we have all been discussing. At this point I don't think there is 'a' solution but there is strength in the numbers wanting to live good, simple, joyful and content lives. That solution is sharing knowledge of what resources are available locally and further afield. Sharing and bartering resources as well. Creating connections like we do here on this forum. Knowing we are not alone is powerful. I agree Grandma Donna that the housing crisis seems to be a very common occurance in many countries which is creating a snowball struggle in other areas. I'm really looking forward to your next post. Love to all.

So many good comments...it seems we are all in the same boat!

My husband is 77 and retired a year ago. He is going back to work 11/1. We always lived comfortably, saved and have been frugal through the years. We thought we had enough saved for the future but are now very unsure. My father who is 89 retired with a pension and SS. They lived frugally as well and saved reasonably. We just had to place him in a nursing home as he requires 24/7 care. Good care (not excellent) in a good facility is running over 9200.00 per month. If he outlives his money, I'm not sure what the next steps will be. This is an awful predicament! I work part time and want to retire but can't at this point. My husband gets Medicare and pays for supplemental. I pay out of pocket for my health insurance and it's around 800.00 per month (to then pay the first 3600.00 of all expenses for the year). We have zero debt and paid our home off years ago. I make most of our food and we never take vacations. Gratitude and prayer are the answer in my eyes. I am grateful for what we have and for each day. I pray tomorrow will be the same and pray for my children and their families. They seem to have so many more expenses and their future is less clear with regard to SS. I do believe something has to give!

Thank you for this wonderful community. I am also grateful for all of you. :)