One Cost To Cut in Retirement

When we ask retiring South Africans what worries them most about retirement, the answer is usually the same: “I’m scared of running out of money.”

And that fear makes sense. Once your salary stops, your investment portfolio effectively becomes your paycheque. Every debit order, every card swipe, and every “small” purchase starts to matter more.

But here’s what we’ve learned after working with South Africans across all income levels:

• It’s rarely the large, once-off expenses that derail a retirement plan.

• It’s the small, recurring costs – the quiet debit orders no one pays attention to – that slowly drain your retirement savings over time.

Below are a few simple changes that can save you thousands of rand each year with almost no effort.

1. Fix your cash interest rate

Many retirees keep a meaningful amount of money in cash, and that’s completely normal. You might have cash set aside for:

• An emergency fund

• Short-term spending

• Money waiting for drawdowns

• Funds you’re keeping “safe” while markets feel uncertain.

The problem is that a lot of this cash earns close to zero interest – not because you’re doing anything wrong, but simply because you haven’t checked what your bank is actually paying.

A small improvement can look like this:

• Call your bank

• Ask about higher-interest cash options

• Move excess cash into a better-paying account (often at the same bank).

Your everyday transactional account might pay 1-2%, while a notice deposit or money market option could pay 6-8% or more.

Same money. Similar safety. Better yield.

And the difference isn’t theoretical. Even a modest improvement in interest on a larger cash balance can translate into meaningful extra income every year – without taking on additional market risk. For many retirees, this is one of the quickest wins available.

2. The “subscription creep” problem

Every household has this issue, but retirees feel it more acutely because recurring costs are now being funded from savings.

Think about how many subscriptions and debit orders can quietly stack up over time:

• Netflix, Showmax, DSTV

• Cloud storage

• Antivirus software.

Individually, these amounts seem small. But collectively, they can easily cost thousands of rand per year – and many are often unused.

A quick audit helps because it forces clarity. Seeing every recurring debit order in a single list makes it easier to ask yourself:

• Do I still use this?

• Do I really need this?

• Is there a cheaper option?

• Can I downgrade rather than cancel entirely?

A 10-minute audit can save you R5 000 to R20 000+ per year, depending on your household – and it usually improves your life as well. Less clutter, fewer distractions, and fewer “silent” costs.

3. Use discounts you already qualify for

Many South Africans over 60 qualify for meaningful discounts on everyday lifestyle expenses, including:

• Flights

• Hotels

• Car rentals

• Restaurants

• Memberships and selected services.

Yet many people don’t take advantage of them because they think: “That’s for old people.”

Meanwhile, retirees are leaving money on the table every single year.

Using discounts doesn’t make you old. Paying full price when you don’t have to is simply unnecessary.

If retirement is about sustainability, then you should use every legitimate advantage available to you. Not because you’re trying to “cut your lifestyle”, but because you’re trying to make your money last longer without sacrificing the things that make life enjoyable.

4. The habit that silently drains retirement: One-click shopping

This is the trap that catches almost everyone – and it’s not just retirees. But retirement can make it worse because:

• You have more time at home

• Boredom can creep in

• “Just browsing” becomes a habit

• The dopamine hit of buying is immediate

• The cost only shows up later.

Those little brown boxes arrive quietly … but they add up loudly.

One-click shopping turns impulse into action. And in retirement, that speed becomes costly – not only financially, but also physically (more clutter) and emotionally (more buyer’s remorse).

The fix: The 24-hour rule

It’s simple, but it works:

• Put the item in your cart

• Wait 24 hours

• If you still want it, buy it

• If not, you’ve saved money, space, and regret.

This isn’t about never buying anything. It’s about slowing down the decision so you stay in control. Many people are shocked at how often the “need” disappears once a day has passed.

For some households, this single habit can save R20 000+ per year.

The real lesson: Small leaks sink big retirement plans

Many people assume retirement planning requires massive lifestyle changes.

Often, it doesn’t.

Most retirees don’t need to change everything. They need to plug the small leaks, because small leaks sink big ships … and big retirement plans.

If you want a simple “10-minute retirement reset”, do this today:

• Check your cash interest rate

• Audit subscriptions and debit orders

• Start using age-based discounts

• Slow impulse spending with the 24-hour rule.

You don’t have to become extreme. You just need to become intentional.

Retirement isn’t usually derailed by one big mistake – it’s eroded by a hundred small ones that feel harmless at the time.

If you can slow down your spending, tidy up your monthly debit orders, and make your cash work a little harder, you don’t just save money … you buy yourself peace of mind, month after month.