Rent Upward. Pension Down. Sad Lifestyle

The cost of living is misunderstood.

Photo by Engin Akyurt from Pexels: https://www.pexels.com/photo/woman-standing-in-front-of-brown-wood-plank-1458826/

I have a friend from Porto, Portugal who doesn’t like to think about the after. Although she plans a lot and acts very carefully.

But growing old is not easy in this Portuguese city.

My friend is already suspicious of this financial drama. Not having enough money to live well in retirement. She is approaching 50, with almost 20 years left to retire and her real name is different.

But she doesn’t want to appear in the media under her real name, two things worry her: she is an employee in the pharmaceutical industry and earns well, but not exactly excessively.

If all goes well, she will receive a pension of about 1,300 euros, according to her pension notice. That is what she pays now for her two-room apartment in Porto.

And the rents will go up for the next 20 years. When she retires, will she be able to afford the city where she has lived for 20 years?

Many people must ask themselves this question, especially in big cities.

As pensions will decrease in the future, while housing costs will increase, many elderly/retired people would have to move to smaller apartments.