Why AI may just be your friend in retirement 

Whether we know it or not, many of us engage with some form of artificial intelligence (AI) every day – from social media and car-navigation apps to chatbots and many other services.

Far from being a technology that is only for younger people or businesses, AI can be a helpful tool for retirees who want to stay organised, successful, healthy and connected.

In simple terms, AI is technology that helps computers and devices learn patterns and respond in useful ways. It can help machines make suggestions, hold conversations and perform tasks that usually require human thinking or input. When your phone suggests words while you type, for example, that is AI at work. Likewise, AI is the brain behind streaming services that recommend television shows you might like, or shopping suggestions that pop up when you are on the internet. The concept has been around since World War II, but it is only in the past decade that AI has really started to redefine many aspects of our personal and professional lives.

Most smartphones, tablets and computers already include AI tools. Voice assistants such as Siri, Alexa or Google Assistant can set reminders and answer questions, all from a simple voice command. As an example, seniors and others can verbally tell their devices to send text messages or emails to friends and family.

Chat tools are the big new players that have come to the fore in the past couple of years, including ChatGPT and Microsoft Copilot, plus a host of others such as Perplexity AI, Google Gemini and Claude. Just by typing in simple ‘prompt’ commands, they can help you write letters, plan trips, edit photos, research hobbies and perform a range of other functions.  

There are so many things for which you can use AI, from budgeting and health to even using it to write your community fishing or cooking newsletter.

• Budgeting

Budgeting and managing money are big-ticket items for AI. Many banks now offer apps that use AI to track spending automatically. These apps can show where money is being spent each month, alert people if bills are rising, and remind them when payments are due. For retirees on fixed incomes, this can help reduce stress and avoid unpleasant surprises. Many apps can also suggest simple ways to save money, such as spotting unused subscriptions, or high energy costs.

Popular budgeting tools such as Beem and Buddy, or PocketGuard and YNAB, can help you plan for bills and expenses automatically, while AI chatbots from banks can answer your questions instantly instead of having to wait on hold with a contact centre.

• Fitness and health

AI can also support health and fitness, which becomes more important as we age. Smart watches and fitness trackers use AI to monitor everything from daily step counts to sleep patterns. They can encourage people to move more, remind them to take medications, or warn if something seems unusual, such as an irregular heartbeat. For many older people, these tools can help them have more informed conversations with their GPs.

AI-powered apps may also assist seniors stay active if they do not want to meet with a fitness coach in person. For example, they could provide a tailored fitness plan to get you off the couch and on a path to a fitter you.

For the best and safest results, it is advisable to use such fitness tools under the direction of a trusted medical or healthcare professional.

• Hobbies

For retirees who enjoy learning or staying connected, AI can open the way for new opportunities. Language apps, history tools and pastime platforms – have you thought about playing online chess? – can deliver personalised lessons and experiences that give you a new lease on life. AI can also suggest books to read, travel ideas to explore, or new recipes to try, while AI imaging tools can help you colour or repair precious old photos. The opportunities are endless.

The key with using AI is to start simply. Trying one app or device at a time and asking family members or community groups for help will make the experience far less daunting for retirees and older Australians. The reward will be greater independence, confidence and quality of life.

With a little guidance, AI can become a helpful assistant that can potentially make your everyday life safer, healthier and more enjoyable.

Think about giving it a try.

To see how you can budget for life and retirement goals, speak to your Mercer Financial Adviser.