Giving yourself permission to spend

Life is too short to put off those things you've always wanted to do.

I have had many discussions over the past few months with folks that are not giving themselves permission to spend their money even though they have no reason not to. This prompted me to write an article on this issue.

The discussion tends to go like this:

“We own our home with no mortgage, we have a pension that pays all our monthly bills and we have $200,000 in investments. We are in our mid-60s, retired and want to do some traveling but we are not sure if we should be spending our money as we do not want to run out of it.”

I have found in most cases the reason for this positioning is folks have not had the opportunity to sit down with a financial advisor and calculate how much money they could spend and not run out of cash. Once an advisor can demonstrate to you that you can go ahead and travel without being concerned about running out of cash, at this point, you are empowered to give yourself permission to spend without guilt.

We keep hearing that one needs $1,000,000 to retire today, this is clearly not the case. The reason people come up with these lofty numbers is because everyone makes that same mistake. The mistake is to think that one needs a linear amount of income during retirement, when the opposite is true.

What generally happens in the early years of retirement is that your income needs might actually go up as you are active and healthy and are traveling, as you get older your income needs will decline. Eventually one of the two spouses will have a health issue, travel insurance becomes too expensive and traveling generally becomes a pain.

Remember that when you retire hopefully your kids have left home, you probably will be mortgage free, you will more than likely downsize to one vehicle.

I meet too many people with regrets about trips they did not do as they never gave themselves the permission to spend their own money.

When I sit down with them and analyze their financial situation they could have done the trips.

It is particularly frustrating when people are not intending on leaving a large estate but do so because of bad planning at the expense of not fulfilling their travel dreams.

If you have some extra cash or even a home that is debt free and have some travel dreams, meet with a financial advisor to discuss your options.

Life is too short.

Written by Stuart Kirk, CIM. Stuart Kirk is a Retirement Planning Specialist with Precision Wealth Management Inc. The opinions expressed are those of the author and may not necessarily reflect those of Precision Wealth Management Ltd.  For comments or questions Stuart can be reached at  or 250-954-0247.



Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

The property at 113 and 161 Island Highway is currently being dismantled as the developer attempts to salvage ‘usable’ lumber for their development application to the City of Parksville. (Mandy Moraes photo)
Development application delayed for high-profile Parksville property

Council refers application to staff for further improvements

(File photo)
RCMP warn of counterfeit bill use in Parksville Qualicum Beach area

Police have received four calls in November regarding bogus bills

The COVID-19 pandemic had an effect on film production on central and north Vancouver Island, says Vancouver Island North Film Commission. Pictured here, production of TV series Resident Alien in Ladysmith earlier this year. (Black Press file)
Film commissioner says COVID-19 cost central Island $6 million in economic activity

Jurassic World: Dominion, Chesapeake Shores among productions halted due to pandemic, says INFilm

Dr. Sandra Allison is Island Health’s medical health officer for the central Island. (Photo submitted)
OPINION: Don’t let fear take over during the pandemic

Central Island medical health officer shares her reflections riding the bus

B.C. Health Minister Adrian Dix and provincial health officer Dr. Bonnie Henry update the COVID-19 situation at the B.C. legislature, Nov. 23, 2020. (B.C. government)
B.C. sets another COVID-19 record with 887 new cases

Another 13 deaths, ties the highest three days ago

Screenshot of Pastor James Butler giving a sermon at Free Grace Baptist Church in Chilliwack on Nov. 22, 2020. The church has decided to continue in-person services despite a public health order banning worship services that was issued on Nov. 19, 2020. (YouTube)
Two Fraser Valley churches continue in-person services despite public health orders

Pastors say faith groups are unfairly targeted and that charter rights protect their decisions

A big job: Former forests minister Doug Donaldson stands before a 500-year-old Douglas fir in Saanich to announce preservation of some of B.C.’s oldest trees, July 2019. (B.C. government)
B.C. returning to ‘stand-alone’ forests, rural development ministry

Horgan says Gordon Campbell’s super-ministry doesn’t work

Freighter anchored off Kin Beach in Chemainus. (Photo by Don Bodger)
MP to host expert panel for virtual town hall on freighter anchorages issue

Residents can participate through MacGregor’s website or Facebook page Dec. 3

Lake Cowichan’s Oliver Finlayson, second from left, and his family — including grandma Marnie Mattice, sister Avery, mom Amie Mattice and dad Blair Finlayson — were all smiles on Nov. 16 when their pool arrived, thanks to lots of fundraising and the generosity of the Cowichan Lake community. (Kevin Rothbauer/Citizen)
Cowichan Lake community comes together to help family get vital pool

Oliver Finlayson, 9, has Duchenne muscular dystrophy and hydrotherapy is a big help

Penny Hart is emotional outside the Saanich Police Department as she pleads for helpt to find her son Sean Hart last seen Nov. 6 at a health institution in Saanich. (Devon Bidal/News Staff)
VIDEO: Mother of missing Saanich man begs public to help find her son

Sean Hart last seen leaving Saanich mental health facility Nov. 6

Alexandre Bissonnette, who pleaded guilty to a mass shooting at a Quebec City mosque, arrives at the courthouse in Quebec City on February 21, 2017. THE CANADIAN PRESS/Mathieu Belanger - POOL
Court strikes down consecutive life sentences; mosque shooter has prison term cut

The decision was appealed by both the defence and the Crown

Gold medallists in the ice dance, free dance figure skating Tessa Virtue and Scott Moir, of Canada, pose during their medals ceremony at the 2018 Winter Olympics in Pyeongchang, South Korea, Tuesday, Feb. 20, 2018. THE CANADIAN PRESS/AP-Charlie Riedel
Olympic champions Virtue, Moir and Tewksbury among 114 Order of Canada inductees

Moir and Virtue catapulted to national stardom with their gold-medal performances at the Winter Olympics in 2018

Shoppers line up in front of a shop on Montreal’s Saint-Catherine Street in search of Black Friday deals in Montreal, Friday, Nov. 27, 2020. THE CANADIAN PRESS/Paul Chiasson
Black Friday shopping in a pandemic: COVID-19 closes some stores, sales move online

Eric Morris, head of retail at Google Canada, says e-commerce in Canada has doubled during the pandemic.

Most Read