Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Average Spending in Retirement
Old 08-03-2017, 07:15 AM   #1
Recycles dryer sheets
Rianne's Avatar
 
Join Date: Aug 2017
Location: Milwaukee
Posts: 435
Average Spending in Retirement

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.
__________________

Rianne is online now   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-03-2017, 07:45 AM   #2
Thinks s/he gets paid by the post
Senator's Avatar
 
Join Date: Feb 2014
Location: Eagan, MN
Posts: 3,383
Quote:
Originally Posted by Rianne View Post
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.
__________________

__________________
FIRE no later than 7/5/2016 at 56 (done), securing '16 401K match (done), getting '15 401K match (done), LTI Bonus (done), Perf bonus (done), maxing out 401K (done), picking up 1,000 hours to get another year of pension (done), July 1st benefits (vacation day, healthcare) (done), July 4th holiday. 0 days left. (done) OFFICIALLY RETIRED 7/5/2016!!
Senator is offline   Reply With Quote
Old 08-03-2017, 07:58 AM   #3
Recycles dryer sheets
 
Join Date: Jan 2017
Location: Charlotte
Posts: 183
Quote:
Originally Posted by Rianne View Post
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.
bw5972 is offline   Reply With Quote
Old 08-03-2017, 08:02 AM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Midpack's Avatar
 
Join Date: Jan 2008
Location: Chicagoland
Posts: 12,583
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
__________________
No one agrees with other people's opinions; they merely agree with their own opinions -- expressed by somebody else. Sydney Tremayne
Retired Jun 2011 at age 57

Target AA: 60% equity funds / 35% bond funds / 5% cash
Target WR: Approx 2.5% Approx 20% SI (secure income, SS only)
Midpack is online now   Reply With Quote
Old 08-03-2017, 08:07 AM   #5
Recycles dryer sheets
 
Join Date: Aug 2013
Posts: 275
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...
bradaz2488 is offline   Reply With Quote
Old 08-03-2017, 08:12 AM   #6
Recycles dryer sheets
latexman's Avatar
 
Join Date: Mar 2014
Location: Apex, NC
Posts: 192
Quote:
Originally Posted by Rianne View Post
Need honest and complete spending spreadsheet to compare.
Yes you do.
latexman is offline   Reply With Quote
Old 08-03-2017, 08:27 AM   #7
Recycles dryer sheets
AlbaCrush's Avatar
 
Join Date: Apr 2016
Location: Germantown
Posts: 87
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.
AlbaCrush is offline   Reply With Quote
Old 08-03-2017, 08:35 AM   #8
Recycles dryer sheets
 
Join Date: Aug 2010
Posts: 344
Quote:
Originally Posted by bw5972 View Post
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.
__________________
"Time wounds all heels...." - Groucho Marx
LRDave is offline   Reply With Quote
Old 08-03-2017, 08:55 AM   #9
Thinks s/he gets paid by the post
 
Join Date: Jun 2003
Location: Historic Florida
Posts: 2,077
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.
__________________
"Arguing with an Engineer is like rolling in the mud with a pig. Just remember that the pig likes it."
ShokWaveRider is online now   Reply With Quote
Old 08-03-2017, 08:58 AM   #10
Moderator Emeritus
W2R's Avatar
 
Join Date: Jan 2007
Location: New Orleans
Posts: 40,424
Quote:
Originally Posted by Rianne View Post
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.
W2R is offline   Reply With Quote
Old 08-03-2017, 09:11 AM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
travelover's Avatar
 
Join Date: Mar 2007
Posts: 10,440
We need one of those "I am not a bot" tests to sign up here.
__________________
Yes, I have achieved work / life balance.
travelover is offline   Reply With Quote
Old 08-03-2017, 09:13 AM   #12
Thinks s/he gets paid by the post
 
Join Date: Mar 2017
Location: New York City
Posts: 2,838
Quote:
Originally Posted by Rianne View Post
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.
__________________
Withdrawal Rate currently zero, Pension 137 % of our spending, Wasted 5 years of my prime working extra for a safe withdrawal rate. I can live like a King for a year, or a Prince for the rest of my life. I will stay on topic, I will stay on topic, I will stay on topic
Blue Collar Guy is offline   Reply With Quote
Old 08-03-2017, 09:14 AM   #13
Recycles dryer sheets
 
Join Date: Mar 2017
Posts: 332
Quote:
Originally Posted by Rianne View Post
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!
SheitlQueen is offline   Reply With Quote
Old 08-03-2017, 09:19 AM   #14
Recycles dryer sheets
 
Join Date: Nov 2014
Posts: 60
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
__________________
Done at 47... in 2016
SAtoUS is offline   Reply With Quote
Old 08-03-2017, 09:22 AM   #15
Thinks s/he gets paid by the post
 
Join Date: Mar 2017
Location: New York City
Posts: 2,838
Quote:
Originally Posted by SheitlQueen View Post
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.
__________________
Withdrawal Rate currently zero, Pension 137 % of our spending, Wasted 5 years of my prime working extra for a safe withdrawal rate. I can live like a King for a year, or a Prince for the rest of my life. I will stay on topic, I will stay on topic, I will stay on topic
Blue Collar Guy is offline   Reply With Quote
Old 08-03-2017, 09:25 AM   #16
Recycles dryer sheets
 
Join Date: Mar 2017
Posts: 332
Quote:
Originally Posted by SAtoUS View Post

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 is offline   Reply With Quote
Old 08-03-2017, 09:28 AM   #17
Recycles dryer sheets
 
Join Date: Mar 2017
Posts: 332
Quote:
Originally Posted by Blue Collar Guy View Post
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.
SheitlQueen is offline   Reply With Quote
Old 08-03-2017, 09:29 AM   #18
Thinks s/he gets paid by the post
exnavynuke's Avatar
 
Join Date: Sep 2016
Location: Acworth
Posts: 1,079
Quote:
Originally Posted by Rianne View Post
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.
exnavynuke is offline   Reply With Quote
Old 08-03-2017, 09:44 AM   #19
Thinks s/he gets paid by the post
RetireAge50's Avatar
 
Join Date: Aug 2013
Posts: 1,167
P
RetireAge50 is online now   Reply With Quote
Old 08-03-2017, 09:57 AM   #20
Full time employment: Posting here.
ER Eddie's Avatar
 
Join Date: Mar 2013
Posts: 832
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.
__________________

ER Eddie is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Average Spending - Singles Independent FIRE and Money 13 11-17-2014 01:58 PM
Average Spending on EBAY Enuff2Eat FIRE and Money 41 07-29-2009 09:01 AM
2008 Actual Spending and 2009 Budgeted Spending dex FIRE and Money 122 03-17-2009 02:49 PM
How much is average saving during retirement? whitestick FIRE and Money 29 10-16-2007 07:44 AM
more than average savings- average spending shorttimer Young Dreamers 23 11-04-2006 04:32 PM

 

 
All times are GMT -6. The time now is 07:43 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2018, vBulletin Solutions, Inc.