Stop Saving! Buy These 5 Things BEFORE Retirement | The Limitless Retirement Podcast

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Danny Gudorf, a financial planner, discusses the importance of strategic spending before retirement. He emphasizes that making certain purchases can enhance the retirement experience and provide financial security. Danny outlines five critical purchases to consider: health and dental work, purchasing a retirement home, tackling home repairs, buying a reliable vehicle, and booking bucket list trips. He also delves into the psychological challenges retirees face when transitioning from saving to spending, highlighting the importance of intentional spending to improve overall retirement satisfaction.

Key Topics:

  • 00:00 Strategic Spending Before Retirement
  • 07:37 Psychological Aspects of Retirement Spending

Spend Strategically Now: 5 Pre-Retirement Investments for a Thriving Future

Why strategic spending before retirement can secure a richer, stress-free life

Imagine looking back on your final working years and thinking, “I wish I’d spent a little more… but smarter.” It sounds backward—after all, you’ve been saving diligently for decades. Yet countless retirees tell me the same thing: the right purchases before hanging up their professional hat made all the difference in their golden years.

I’m Danny Gudorf, a financial planner specializing in helping people like you prepare for a limitless retirement. Over the past ten years, I’ve guided hundreds of clients through this transition. Here’s the surprising insight: when you’re still earning a steady paycheck, certain strategic expenses become powerful investments in your future comfort, health, and happiness.

Key Takeaways

  • Strategically spending before retirement can lead to a more secure life.
  • Completing health and dental work before retirement is financially wise.
  • Qualifying for a mortgage is easier with W-2 income.
  • Addressing major home repairs before retirement is crucial.
  • A reliable vehicle is important for independence in retirement.
  • Prepaying for bucket list trips can enhance retirement experiences.
  • The relationship with money changes significantly after retirement.
  • Spending money is easier when still receiving regular income.
  • Retirement planning is about creating fulfilling experiences, not just accumulating wealth.
  • Intentional purchases can reduce future stress and improve retirement satisfaction.

Below, you’ll discover the five most important purchases you should make before retirement—and the “why” behind each one. These aren’t throwaway splurges. They’re carefully chosen moves that typically pay back in lower costs, greater peace of mind, and fewer regrets once that first Social Security check arrives.

1. Complete Critical Health and Dental Procedures

Your employer-sponsored health plan is often far more generous than anything you’ll find on Medicare alone—especially when it comes to dental and vision.

  • Save thousands: A single dental implant can cost $3,000–$5,000 out of pocket under Medicare, and a knee replacement averages $30,000–$45,000. Tack these onto your retirement budget, and they can erode years of savings.
  • Avoid coverage gaps: Standard Medicare Part A and Part B cover hospital and medical services but exclude dental, hearing, and vision care unless you add a Medigap or Medicare Advantage plan.
  • Enjoy hassle-free recovery: Rehabilitating while you still have employer sick leave or short-term disability benefits keeps you on your feet—and on budget.

Why it matters: Paying for crowns, root canals, joint replacements, or eye surgeries while you have robust group coverage can easily save you $10,000–$20,000 collectively. More importantly, you’ll enter retirement healthy and pain-free, without the stress of finding new providers or unexpected bills.

2. Lock In Your Retirement Home Financing

It may feel counterintuitive to take on a mortgage just before your income stops. Yet lenders overwhelmingly prefer the stability of a W-2 paycheck to retirement distributions.

  • Easier approvals: Thirty to forty percent of retirees report mortgage hiccups despite substantial assets, simply because they lack regular employment income.
  • Better terms: While rates fluctuate, securing a loan now—when underwriters see a clean, verifiable income stream—often yields lower fees and fewer hurdles.
  • Cash-flow flexibility: Even if you have $500,000 in retirement accounts, converting investments to cash for a down payment can trigger capital-gains taxes; financing preserves liquidity.

Why it matters: Whether you’re downsizing to a condo, relocating to be closer to family, or finally moving to your dream locale, doing it while you earn gives you the broadest range of financing options. Once you retire, you’ll thank yourself for locking in the best deal.

3. Tackle Major Home Repairs and Upgrades

You’re going to spend far more time at home after you retire. Tackling big-ticket repairs now not only spreads out your spending but also spares your nest egg from sudden depletion.

  • Roof replacement: $10,000–$20,000. Avoid water damage and sky-high emergency repairs later.
  • HVAC overhaul: $5,000–$8,000. A new system runs more efficiently and lowers energy costs by up to 20%.
  • Energy improvements: New windows and insulation can save an estimated $300–$500 per year.

Why it matters: Large projects—think kitchen remodels, structural fixes, or energy retrofits—are psychologically easier to handle when you still see a regular paycheck hit your account. You’ll also sidestep “spending paralysis,” the reluctance many retirees develop when they see large sums leave their nest egg.

4. Purchase a Dependable, Debt-Free Vehicle

Reliable transportation equals independence—and in retirement, independence often is quality of life.

  • Lower maintenance costs: Choose brands known for longevity (Toyota Camry, Honda CR-V, Mazda3) to keep annual repairs under $600 on average.
  • Paid-off peace of mind: Owning your car outright means no monthly payments draining your fixed income.
  • Mobility when it counts: Whether it’s medical appointments, grocery runs, or spontaneous road trips, you don’t want an unreliable vehicle holding you back.

Why it matters: A dependable ride lets you stay active and engaged—without the financial stress of surprise repair bills. By buying a solid, low-cost vehicle now and paying it off before your last day at work, you’ll remove one of retirement’s biggest “what-if” worries.

5. Book and Prepay Your Bucket-List Trips

This might be the single most psychologically powerful move you can make.

  • Guarantee your dreams: Lock in flights, hotels, and tours now, when you’re less likely to second-guess spending.
  • Protect against price hikes: Travel costs can rise 10–20% in a single season; prepaying shields you from inflation and limited availability.
  • Avoid “maybe next year”: Once you retire, that scarcity mindset kicks in—and so does the fear of watching retirement funds dwindle.

Why it matters: I’ve seen clients postpone dream cruises or safaris year after year—only to have health issues or life changes derail them entirely. By making concrete plans now, you transform “someday” into a busy-season highlight, not a regret.

Why Timing Matters: Overcoming Spending Paralysis

For decades, you’ve lived in accumulation mode: every deposit, every dollar saved, felt like progress. The moment you retire, your brain flips a switch—you move into decumulation mode, and suddenly spending feels risky.

  • Scarcity mindset: Once deposits stop, you guard your nest egg as though it’s finite—because, psychologically, it is.
  • Decision fatigue: Large purchases can feel overwhelming without the routine of a pay cycle supporting you.
  • Emotional friction: Watching sizable withdrawals from retirement accounts often triggers guilt or fear.

By spacing out strategic purchases before that mental switch flips, you ride the wave of regular income and ease into your new spending habits. Think of these expenses as an extension of your paychecks—investments that pay back in comfort, health, and lifelong memories.

Other Worthwhile Pre-Retirement Purchases

Beyond our top five, consider these thoughtful additions:

  • Quality mattress ( $1,200–$2,000 ) to protect your back and sleep quality.
  • Home exercise equipment—treadmill or weights to keep you active without gym fees.
  • Hobby gear for golf, woodworking, or painting to dive into your passions day one.
  • Prepaid funeral arrangements to relieve your loved ones from tough decisions and unexpected costs.

Ask yourself: “Will spending now reduce stress or enhance my retirement experience?” If the answer is yes, it’s probably worth doing.

Conclusion

Retirement isn’t about leaving work behind—it’s about stepping into a richer, more fulfilling chapter of life. The goal isn’t to die with the most money; it’s to use your resources wisely to create the experiences, health, and peace of mind you’ve earned.

*This blog post is based on the insights shared by Gudorf Financial Group. For personalized advice tailored to your unique circumstances, always consult a financial, legal, or tax professional.*

Transcript: Prefer to Read — Click to Open

Danny (00:00.056)

You ever heard someone say they wish they spent more money before retiring? It sounds crazy, right? But after helping hundreds of clients prepare for retirement, I’ve discovered a surprising truth. Strategically spending before retirement can actually lead to a more secure and enjoyable life after you stop working. I was on a call with a client recently who told me something that caught me completely off guard. She said, looking back,

I wish I had saved a bit less and spent more strategically before I retired. This wasn’t about frivolous spending. It was about making smart investments that would have made her retirement years much smoother. Today, I’m going to share the 5 most important things you should consider buying before you retire. These aren’t just practical purchases. They’re psychologically smart moves that can dramatically improve your retirement experience.

I’ll explain not only what to buy, but why these purchases make so much sense both from a financial and emotional perspective. Before I dive in, let me introduce myself. I’m Danny Gudorf, a financial planner who specializes in helping people over 50 prepare for a limitless retirement. This channel is dedicated to providing you with practical strategies to make your retirement years more secure and enjoyable. If that sounds viable,

Hit that subscribe button so you don’t miss any future videos that could help transform your retirement. Now, let’s get into the 5 critical purchases you should consider making before you retire. The number one most important is to complete your health and dental work. This is probably the most common recommendation I make to clients who are within a few years of retirement. Here’s why. Your employer provided health insurance

is often much more comprehensive than what you’ll have in retirement, particularly when it comes to dental and vision coverage. Many clients tell me they’re grateful they took care of any lingering health issues while they were still working. Whether it’s getting that knee replacement you’ve been putting off or having dental crowns or bridges done or addressing any chronic health concerns, doing this work before retirement.

Danny (02:24.098)

makes a ton of financial sense. This is especially important if you’ll be on Medicare in retirement. A standard Medicare doesn’t cover dental or vision care. Unless you purchase additional policies, you’ll be paying out of pocket for those expenses. Taking care of these needs while you have better coverage can save you thousands in retirement. Number two thing to consider is to consider purchasing your retirement home.

before you stop working. This might seem counterintuitive, why take on a mortgage right before your income stops, but there is a compelling reason for this. Qualifying for a mortgage is significantly easier if you have W-2 income. Many retirees discover that despite having substantial assets, getting approved for a mortgage becomes much more challenging once they no longer have regular employment income. Lenders simply prefer the stability

of a paycheck over retirement distributions. If you’re planning to downsize, move closer to family, or relocate to a different climate, consider making that move while you’re still employed. It gives you more financing options and potentially better terms. With today’s high interest rates, you might prefer to pay cash if possible, but for many people, that’s not an option. Making this move before retirement gives you the most flexibility.

The number three thing to think about is to tackle major home repairs and improvements. If you’re planning to stay in your current home during retirement, now is the time to address any significant maintenance issues or upgrades. Think about replacing that aging roof, upgrading your HVAC system, or remodeling the kitchen you’ve always been dreaming of, or even improving your home’s energy efficiency with better windows and insulation.

These aren’t exciting purchases sometimes, but their investments will pay dividends throughout your retirement. Remember, you’re likely to be spending much more time in your home after retirement, so comfort becomes even more important. Additionally, handling these expenses while you still have employment income is psychologically easier than watching large sums leave your retirement accounts once you’ve stopped working.

Danny (04:48.549)

Many retirees developed what I call spending paralysis once they retire. They become so protective of their nest egg that they delay necessary expenses sometimes to their detriment. Taking care of major home improvements before retirement helps avoid this trap. Number four is to purchase a reliable low cost vehicle. Transportation reliability becomes increasingly important in retirement.

especially if you live in an area without good public transit. I’ve had numerous clients express the relief that they invested in a dependable vehicle before retiring. A car that requires frequent repairs not only creates financial stress, but also can limit your mobility and independence to things that become increasingly valuable in retirement. Consider buying a vehicle known for reliability and low maintenance costs.

And yes, if you always have dreamed of owning a particular car in retirement, now might be the time to consider it, within reason of course. Just make sure it’s paid off before you retire to avoid carrying that debt into your fixed income years. Having a reliable vehicle without monthly payments provides a peace of mind and financial flexibility as you enter into retirement. It’s one less thing

to worry about and during a time of significant transition. Alright, number five is to book and prepay for any bucket list trips. This might be my favorite recommendation because it addresses both practical and psychological aspects of retirement planning. Many people enter retirement with dreams of travel or special experiences they’ve been putting off. But here’s what happens often. Once they retire, their regular income stops.

and they become more hesitant to spend money on these non-essential experiences, even though they’ve specifically saved for this purpose. By booking and prepaying special trips or experiences before retirement, you accomplish two important steps. First, you ensure these dreams actually happen rather than continuously putting them off. Second, you avoid the psychological barrier of watching large sums

Danny (07:07.63)

of your retirement accounts, leave them for discretionary spending. I’ve seen too many clients delay their dream trip year after year, always thinking maybe next year, until health issues or other circumstances made those dreams impossible. Don’t fall into this trap. If travel or special experiences are important to you, make concrete plans and commitments before you retire. Now, let’s talk about the psychology behind all of these recommendations.

When you retire, your relationship with money fundamentally changes. For decades, you’ve been in accumulation mode, saving, investing, and watching your balances grow. Suddenly, you need to shift into spending mode, drawing down those accounts you’ve worked so hard to build. This transition is psychologically challenging for almost every retiree. Your brain can shift into a scarcity mindset, making you reluctant to spend.

even when your financial plan clearly shows you can afford it. This is especially true for people who have been disciplined savers throughout their lives. By making these strategic purchases while you still have employment income, you can bypass some of this psychological resistance. It’s simply easier for most people to spend money when they still are seeing regular deposits hitting their bank account. Think of these

pre-retirement purchase as investments in your future comfort and happiness. They’re not frivolous expenses. They’re thoughtful allocation of resources that will enhance your overall retirement. Beyond the five main recommendations I’ve covered, clients have mentioned several other worthwhile pre-retirement purchases. These include things like a quality mattress, hobby equipment, for activities you plan to pursue in retirement,

Home exercise equipment to maintain health, even prepaid funeral arrangements to spare loved ones difficult decisions later. The key is to be intentional about these purchases. Ask yourselves, will spending the money now improve my retirement experience or reduce any future stress? If the answer is yes, it might be worth considering, even if means saving a little bit less in those final working years. Retirement planning.

Danny (09:31.628)

isn’t just about accumulating the largest possible account balances. It’s about creating the conditions for a fulfilling and comfortable life after work. Sometimes that means strategically spending before retirement to set yourself up for success. Remember, the goal isn’t to die with the most money. It’s to use your resources wisely to create the retirement experiences you’ve always dreamed of. Strategic pre-retirement purchases are an important part

of this journey. If you’re trying to decide whether you’re financially ready to retire, I’ve created a video that walks through three simple steps everyone should follow before making this major life transition. This approach has helped hundreds of my clients gain clarity about their retirement readiness.

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