Average Spending in Retirement

[Rianne]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

 

[Senator]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

What are your expenses now? You seem to be a troll unless you provide it.

 

[bw5972]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

Not saying I spend less than 2500 a month but it does not seem "impossible". My home insurance and property taxes come to $300 a month and medical coverage is $277.

 

[Midpack]

There is no meaningful average spending in retirement. Just as there is no meaningful average spending before retirement. Some people get by on $2,500/mo or less, some spend $25,000/mo or more, be everything in between...

If you want to compare http://lmgtfy.com/?q=Average+spending+in+retirement

 

[bradaz2488]

Everyone's "required" expenses in retirement is different based on their lifestyle and where they live. Could it be done? Sure... I willing to bet there are people on this forum that can live just fine and are happy on $2500/month.... For us there is no way we could ER on $2500/month with the lifestyle we want...

 

[latexman]

Need honest and complete spending spreadsheet to compare.

Yes you do.

 

[AlbaCrush]

There are so many variables that determine home much money you need a month. My parents get by on $2,500 a month. They live a very simple life and take no vacations.

 

[LRDave]

Not saying I spend less than 2500 a month but it does not seem "impossible". My home insurance and property taxes come to $300 a month and medical coverage is $277.

Very similar numbers in a very low COL area. $2500 is not what I have budgeted for a average spend per month, but I could:

pay all my bills (incl. utilities elec. water trash pick up)
pay all my taxes
fund my home repair fund ($200/month)
fully insure my home/cars/PUP
cell phones (2)
cable/internet
gas
eat healthily and well (almost exclusively eating at home)

In addition, I believe we could afford some relatively local and inexpensive travel once or twice within the year.

Again - this not my budget, but we could muddle along on $2500/month for a while and I expect many months the actual cash flow will be less.

 

[ShokWaveRider]

We own our own home in FLA (Not the lowest property tax state, and insurance is expensive) I track Mandatory expenses not including Food. for Reference Our home is ~$900k and PT is about $7k. Our home running costs, with HOA, maintenance, utilities, insurance etc. (Not Food or others) Just mandatory shelter and cost of the home expenses etc. Last year it averaged out at: $1419.12pm for 2016. All Year we spent about $3750pm on average.

Oh that includes Cable, internet and Phone too ~200pm.

 

[W2R]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

Think about it sort of like you think about what people spend BEFORE retirement. Spending differs from person to person. There are lots of people in the US who live on less than $30K/year, both before and after retirement. Actually this is a fact, not just some sort of impossibility or a huge conspiracy to lie about what they spend.

 

[travelover]

We need one of those "I am not a bot" tests to sign up here.

 

[Blue Collar Guy]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

Once again, I must point out most people in this forum are not average. My dead broke uncle thru marriage gets by on less than HALF of 2500. Social security 1040-ish,. Thats his after tax dollars. he has not paid income taxes in many many years more than 15 that I know of. Own your own home? About 30 % of NYC people(over 8 million) own their own homes. They other 70 % are renters. I doubt the millions of people that live in trailer parks pay big money in property taxes. Insurance? 73 million are on medicaid. Hello? SWR? stop, majority of people in my world never heard of the term.

 

[SheitlQueen]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

I easily live on that and could go cheaper if I wanted to cut out luxuries.
This is from a recent spread sheet, and I account for every single penny I spend every month:

Home(Taxes, insurance, a gallon of paint): 233.18

Auto (Insurance, registration, gas, maintenance): 284.62

Health (Meds, insurance via ACA, gym): 393.36

Utilities(phone/internet/cell/satellite/electric/garbage/sirius xm, oil): 467.09

Eating out: 137.72

Groceries: 151.86

Range (dues, entry fees, ammo): 186.33

Misc (clothing, pet stuff, house hold stuff, etc): 464.45

Grand total of spending: 2318.51

Total income: 2976.53

So on average I come out 657.92 ahead every month which goes into a fund for vacation, home repair, auto repair, medical expense or anything else that might crop up.

I could cut out several hundred dollars a month more if I really wanted to, but I have to have a few luxuries!

 

[SAtoUS]

This is ours, not even close to $2.5k. It's all relative.

Lucky ALL of our monthly expenses and then some are being covered by passive income from rental incomes. We have not touched our 'savings' once.

Amex (Travel and Rest.) $ 2 500
Power $ 310
Car + House Insurance $ 117
Spectrum (TV + InterNet) $ 175
AT&T (Cell phones x2) $ 162
Health Insurance $ 1 642
Life Insurance $ 90
Cash $ 600
Vacation home $ 250
YMCA $ 110
Miss $ 300

Total $6 256

 

[Blue Collar Guy]

I easily live on that and could go cheaper if I wanted to cut out luxuries.
This is from a recent spread sheet:



Range (dues, entry fees, ammo): 186.33


!

I like the range fees, I need to go more often that it becomes a line item on my budget. I just cant get out of the house lately.

 

[SheitlQueen]

Lucky ALL of our monthly expenses and then some are being covered by passive income from rental incomes. We have not touched our 'savings' once.

I have not had to touch my investments in the year and a half I've been retired. Income from SS widow's benefits and rental income more than covers my monthly expenses. I also end up not paying any taxes either (well, I did have to pay the state $1.00. I decided about sending it it or not, but did in the end....and the state cashed the check. I hope they put my $1.00 to good use!).

 

[SheitlQueen]

I like the range fees, I need to go more often that it becomes a line item on my budget. I just cant get out of the house lately.

I spend enough money on it I decided it needed it's own category!
I understand about having time to go, most of my time there now is spend on competitions rather than training/practice.

 

[exnavynuke]

I've read folks spending after tax dollars, 2500/month. This seems impossible with property taxes (own home) and insurance, a vacation. Need honest and complete spending spreadsheet to compare.

$200/month home insurance/taxes.
$450/month bills (cable/electric/trash/water/internet/gas)
$50/month phone
$300/month food
$80/month gas
$80/month lawn care
$120/month car/home maintenance savings
$100/month auto insurance
$50/month medical/dental/umbrella insurance/spending (fortunate to not be on an ACA plan)
$100/month misc needs (household goods, dog food, etc)

That leave $970/month out of the $2,500/month allotment to cover all other wants/needs. When I thought I might need to get a medical plan of my own, that priced out around $300/month (single), so it would still leave $670/month if I did need to pay for medical insurance myself.

 

[RetireAge50]

P

 

[ER Eddie]

I spend less than $2000/mo. It's easy, not a strain at all. And yes, that includes all expenses (home, car insurance, medical, etc).

I ain't showing you no spreadsheet. Don't care if you believe it or not.

 

[daylatedollarshort]

The government has the results of their Consumer Expenditure Surveys available online for free in nifty pdf and spreadsheet formats here:

https://www.bls.gov/cex/tables.htm

 

[rodi]

We spend about 80k/year - including taxes... but that's for a family of 4 with two teenagers who eat a lot and have their own expenses (sports, piano lessons, etc.). That includes vacations and everything else.

 

[ExFlyBoy5]

Well, I am not posting any of my spread sheets here, but I will share this...

Last year, carrying costs of "life" was: $18,774 (1564.50/month). This includes EVERY SINGLE DIME to carry the house, eat, medicate, own 4 pets, as well as the all the car costs (except gas)... all of it.

The extras (gas for cars, eating out and travel) was: $8,218 (684.83/month). So the absolute GRAND total was $2249.33/month.

 

[braumeister]

I'm beginning to wonder.

A new person shows up and in their very first post makes a ridiculous claim and demands to see spending spreadsheets. And so many here just take it in stride and provide detailed responses. Why?

 

[ExFlyBoy5]

I'm beginning to wonder.

A new person shows up and in their very first post makes a ridiculous claim and demands to see spending spreadsheets. And so many here just take it in stride and provide detailed responses. Why?

Well, I don't know the poster's intent. It doesn't seem ill to me and I can post my numbers with little effort...so that's my reason. If it's helpful to the OP (or someone else, perhaps?) then so be it. If it's not useful, then I have lost a whole 10 seconds.