The period in a person's life following retirement in which earning income has come to a stop and the person is living off government subsidy, retirement plans, investments and/or money saved for retirement.

During the spending phase of a person's life, income may decrease substantially, but this likely coincides with a decrease in expenses. Children are usually no longer dependent on their parents in the spending phase, and major assets (such as mortgages) may be paid off. Traveling, relaxing and enjoying retirement are the principle goals of someone living in their spending phase.