I had an aunt who worked as a secretary in a university in Indiana for years. Her husband was a professor there for 30 years. They used their teachers savings program to invest for retirement, and I believe they also had their 401K's and or IRA's. I know they also used EE Gov't savings bonds, and CD's. Of course then, CD's were paying anywhere from 5-8%. I believe you're on a good track. My relatives used "stay-cations" and then also vacationed close to home a lot of the time.