Planning for retirement doesn't just mean accumulating savings and investments for income. It also means developing a spending budget. Many financial advisers assume spending will naturally slow down after retirement, but others suggest retirees go through three retirement phases, each with a different spending pattern.

In a recent CNNMoney.com article, Walter Updegrave wrote about the three stages of retirement:

• The "go-go" stage of early retirement when people tend to travel and try out new activities during their extra free time
• The "slow-go" stage, when they tend to slow down, a little
• The "no-go" stage, when they lead a quiet life due to age, physical or mental problems, or the loss of a spouse

During these three phases, spending should gradually slow, but be careful: don't overspend in early retirement, and don't hold onto your money so tightly you can't enjoy spending in late retirement.
Updegrave recommends using a retirement budget planner to estimate how much you'll need for necessary spending and discretionary spending. He says, if you retire early, in your late 50's or early 60's, assume you'll spend 35 or more years living in retirement. Limit withdrawals on your retirement portfolio to about 4%, at first. Then, monitor the strength of your investments.

One other suggestion made by Updegrave: purchase an immediate annuity to provide a guaranteed lifetime income as a safety net in case you overspend.

Another option available to senior homeowners over age 62 is a reverse mortgage. While a reverse mortgage isn't for everyone, it can be a back-up plan for seniors who retire early and need extra cash later.

Reverse mortgage loans are based on the borrowers' age and home equity. The largest loan amounts are available to older individuals who own their homes without a mortgage. Compare reverse mortgage rates and programs online to decide if this product meets your financial needs at any stage of retirement.