Things can get expensive for seniors. Various costs such as medications and assisted living can add up, especially for a retiree who is not making as much money as they used to. And while the financial reality concerns many people, a group of experts say retirees can be better prepared for their retirement if they start understanding finances before they retire.
As reported in US News and World Report, financial experts say the human brain is not hardwired to save money, but is rather trained only to collect what is needed.
“The brain is mainly set up for wandering around on the savannah picking up berries,” psychology expert Neil Stewart wrote in a Barclay’s wealth report in 2011, according to the news source. Stewart said one reason many people are poor financial planners and savers is because the human brain still understands finances according to a "Stone Age" mindset. But the way to surpass that, experts say, is for people to just save money, but plan.
The media outlet cited a recent study by two American business professors who recommended people – before they even retire – create a financial roadmap, and try their best to stay consistent, with a long-term perspective.