Bangalore: For those who are gearing up to enter the next phase of life - retirement, may find this change quite exciting. But this can be a financially frightening one. You begin to prepare yourself for a successful switch and a new lifestyle. While doing this you would be battling with thoughts of how much money is enough to enjoy a fun filled retirement. You would consider seeking advice from financial advisors or doing some math using the online retirement calculators. You really wonder if you have enough savings to retire while at it. Recognizing the need to budgeting can reduce your stress to a great extent. Find out how long can you starch with your savings and your probable income. If you feel that your savings are not sufficient to cover you till the end of your retirement phase, you will have to make some alterations in your financial habits.

Having a retirement budget in place years before you actually retire is the first step to a successful retirement plan.

Identify Your Retirement Expenses

Once you retire some of your existing expenses might reduce while the others will increase. For example once you retire you may lose your health insurance, so you have to think of how you are going to manage your health care expense? While making a list of your expenses, it would be wise if you initially focus on the changing expenses like housing costs that might decrease or increase, health care costs, certain taxes, travel expenses. Later, focus on the probable income sources such as your Social Security, retirement savings, your portfolio, a reverse mortgage or even a pension. By doing this will help you discover where and to what degree expenses can be reduced.