What to do...

MarciKS

MarciKS

Dust Bunny Whisperer
So, my question is, if we wait til our predicted age (67 here) to retire, can a person make it on their social security and medicare or does one need to work something part time. And what if you're not able to work?
 
C'est Moi said:
That is different for each of us as we have different expenses and levels of savings, etc. You need to put the pencil to paper and make your own calculations so you'll know whether you'll need to supplement your social security.
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Oh Lord! I'm pretty sure I'm gonna have to work somewhere til I'm dead.
 
Can you make it? Depends on your expenses and how much you'll be receiving from SS.
People who are unable to work and can't make ends meet do things to bring those ends closer together. Downsizing housing, moving to less expensive areas, being more frugal. There are as many answers to this question as there are people posing it.

As @C'est Moi advised, the first step is to do some serious calculations. The second step is to start economizing and paying off debt BEFORE you retire.
 
You might get an idea from your government, NOT that I am saying it will be 100 % true or that it will soon change on you.
Just a thought, I went at them for a couple of years in Canada and learned a great deal that they don't tell all about.
 
MarciKS said:
So, my question is, if we wait til our predicted age (67 here) to retire, can a person make it on their social security and medicare or does one need to work something part time. And what if you're not able to work?
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I would be reluctant to try, plus I don't completely trust the government since they seem to be constantly nibbling away at our "safety net."
 
Pecos said:
I would be reluctant to try, plus I don't completely trust the government since they seem to be constantly nibbling away at our "safety net."
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Yes I've been debating on that as well.
 
Duster said:
It's also good to have some retirement accounts {IRA, Roth IRA, 401K}, to help meet expenses. You can keep contributing to them as long as you are earning income.
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Only problem with 401K's is that they are based on the markets. Market goes down...so does your payout. I didn't plan accordingly because I thought I'd be a housewife for life. LOL
 
MarciKS said:
Only problem with 401K's is that they are based on the markets. Market goes down...so does your payout. I didn't plan accordingly because I thought I'd be a housewife for life. LOL
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Your statement in bold text is one of the biggest mistakes a woman can make. It is a factor in why so many women retire in poverty. But hopefully you have some time to make up for it. I'm a firm believer that every penny counts...so save every penny you can. Cut expenses wherever you can and if at all possible, start an emergency fund. People think that if they aren't saving $25 or $50 or $100 a clip, it doesn't make sense to save. That is so wrong because once again...every cent counts.

You will have to make a reasonable, realistic budget. What expenses can you cut, what are absolutely necessary. Would a move to public senior housing help (possibly since they usually charge between 30 and 33% of your income and utilities are included). Would having a car be a cheaper option than taking public transportation or vice versa. So many factors to consider and each person's situation is different. Here's a list of ways to save money, all of which could add up to a tidy sum over time. I saved $10 on my electric bill last month by unplugging (appliances, device chargers and sometimes the T.V.)
https://www.thistinybluehouse.com/2018/04/30/ways-to-save-money-series/
 
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retail merchants profit margin is in pennies as in convenience (well, it use to be in pennies, now it's dimes, .50)
had a Jewish friend, he had a convenience store ,one of his clerks waived of a customer who lacked .2 on purchase.
. My friend gave him a mini-lesson on finances. (me too, as I was standing there, quite informative)
"My living depends on pennies, your giving away my families bread..."
 
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Everyone is different and so is the life style you are happy with.
We live in New Jersey,known for high taxes and yet we do manage to live mostly on Social Security. Our home is paid for and we have an AARP supplement to our medicare and some savings.
Our life style is extremely modest. No fancy vacations, eat out maybe once every two months and that's at a buffet or senior discount. All home cooking and freezing foods when they are on sale. We aren't interested in new clothes,haircuts we do ourselves and no fancy coffee each morning.
We take very few medications and are in reasonably good health.
Some people would be extremely unhappy with all of this. It works for us.
All of this could change in a flash,mainly because of health reasons but know one can look into the future and there is risk involved in whatever we chose to do.
We do what we can to live within our means and enjoy life one day at a time.
 
I'll just say....We worked hard for our money....Yes, NJ, is not the best place to live.....Looking to move, one of these years....It's hard to give up
our home....We moved into a home that had 2 small bedrooms, 1 bathroom, living room and a kitchen....But a big back yard....We came from
Ohio to look for a home, but we decided to buy the home from our parents....Then my husband went to work....I mean on the house....
In 45 years our home is tripled.....Back Yard Swimming pool, We put on 3 more rooms....Garage, and a driveway....A Generator, Fire place,
We do have 2 bathrooms....A Laundry room with cabinets on all walls....Air condition.....
We will probably give it all up and move to another State....Our town in NJ is a small town....But it's getting crowded....It looks like
More Senior's are coming down from the big cities....We are also near the Ocean....
 
OneEyedDiva said:
Your statement in bold text is one of the biggest mistakes a woman can make. It is a factor in why so many women retire in poverty. But hopefully you have some time to make up for it. I'm a firm believer that every penny counts...so save every penny you can. Cut expenses wherever you can and if at all possible, start an emergency fund. People think that if they aren't saving $25 or $50 or $100 a clip, it doesn't make sense to save. That is so wrong because once again...every cent counts.

You will have to make a reasonable, realistic budget. What expenses can you cut, what are absolutely necessary. Would a move to public senior housing help (possibly since they usually charge between 30 and 33% of your income and utilities are included. Would having a car be a cheaper option than taking public transportation or vice versa. So many factors to consider and each person's situation is different. Here's a list of ways to save money, all of which could add up to a tidy some over time. I saved $10 on my electric bill last money by unplugging (appliances, device chargers and sometimes the T.V.)
https://www.thistinybluehouse.com/2018/04/30/ways-to-save-money-series/
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Thanks I'll check that out.
 
Many variables, is your mortgage paid off? Are you paying on one or more car loans? Do you live in a house that requires grounds keeping?
Stairs may be good exercise now, but in 10 or 15 years they can become an ordeal or even dangerous. Remember: never again will you be as young as you are right this minute.

The joy of retirement is that ALL of your time is your own, enjoy it while you can.
 
And don't forget that even if your mortgages are paid off, property taxes and homeowners' insurance, as well as home maintenance -- I just had to put on a new roof ($$$) -- are still there.

I live pretty simply, and my mortgage is paid off and I am pretty much debt free except some small stuff. Having said that, I would struggle to live on only my social security and stilll have a good quality of life. Certainly I would have had a hell of a time paying for that roof, as well as for the car I had to buy a couple years ago because my last one just suddenly up and irretrievably died. Where I live, you pretty much have to have a car because our public transportation is deplorable.
 
It's never a one size fits all answer as others have said you really need to do your homework.

If you are wondering what life would be like living on Social Security start cutting your budget to fit your estimated Social Security benefit. If you fail you will still be money ahead and that is never a bad thing.

If Social Security was my only source of income I could live comfortably but my car would have to go. Eventually, I'm afraid that inflation would outpace my benefit increases and it would become much more difficult.

Good luck!
 
jerry old said:
retail merchants profit margin is in pennies as in convenience (well, it use to be in pennies, now it's dimes, .50)
had a jewie friend, he ran a convenience store , clerk waived of
customer who lacked .2 on purchase.
. My friend gave him a mini-lesson on finances.
"My living depends on pennies, your giving away my families bread..."
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Wow. This post is so wrong on so many levels.
 
OneEyedDiva said:
Your statement in bold text is one of the biggest mistakes a woman can make. It is a factor in why so many women retire in poverty. But hopefully you have some time to make up for it. I'm a firm believer that every penny counts...so save every penny you can. Cut expenses wherever you can and if at all possible, start an emergency fund. People think that if they aren't saving $25 or $50 or $100 a clip, it doesn't make sense to save. That is so wrong because once again...every cent counts.

You will have to make a reasonable, realistic budget. What expenses can you cut, what are absolutely necessary.
https://www.thistinybluehouse.com/2018/04/30/ways-to-save-money-series/
Click to expand...
Such a great post, Diva. During personal lean periods I learned to lived quite frugally. Made a game of it, seeing how many ways I could squeeze each dime. Eventually we pulled through and built up emergency funds again. Eating out became a no-no, as was take-out food. I cooked from scratch as much as possible, bought only in-season produce (hit the "bruised" bargain section first), baked my own bread, ate very little meat, etc.

I was amazed at how many non-necessities were in our budget. I lived by the Depression Era mantra: Use it up, Make it do, Wear it out. Lots of wisdom there.
 
Frankly, don't see how anyone could afford to retire on just social security these days. With no cushion of cash, investments, or pensions it must be a dismal perspective unless the circumstances are extremely accommodating such as living with someone who foots the bills!
 
MarciKS said:
So, my question is, if we wait til our predicted age (67 here) to retire, can a person make it on their social security and medicare or does one need to work something part time. And what if you're not able to work?
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Social Security is not enough, unless you are willing to live in near-poverty.

Your expenses will go down in retirement, but you will still need food, utilities, gas, auto insurance, etc.

Don't you want money to travel? To go out once in a while?

I'm 67 and still working. And that's with generous SS (over $3500/month for wife and me) and money in tax-deferred accounts.

Better to have it and not need it than to need it and not have it.
 
StarSong said:
Such a great post, Diva. During personal lean periods I learned to lived quite frugally. Made a game of it, seeing how many ways I could squeeze each dime. Eventually we pulled through and built up emergency funds again. Eating out became a no-no, as was take-out food. I cooked from scratch as much as possible, bought only in-season produce (hit the "bruised" bargain section first), baked my own bread, ate very little meat, etc.

I was amazed at how many non-necessities were in our budget. I lived by the Depression Era mantra: Use it up, Make it do, Wear it out. Lots of wisdom there.
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Thank you. Good for you StarSong. That's how it's done!
 
Star and Diva
Yes, you must learn not to blow your money, yes you must be frugal,
yes, you must be very careful.
But, But! ever three months are so, I go crazy, blow 15 dollars at Dollar
Tree on items I do not need, will not use.
Our 'blowing money' habit when we had it to blow, stays with us.

good post,
 
jerry old said:
Star and Diva
Yes, you must learn not to blow your money, yes you must be frugal,
yes, you must be very careful.
But, But! ever three months are so, I go crazy, blow 15 dollars at Dollar
Tree on items I do not need, will not use.
Our 'blowing money' habit when we had it to blow, stays with us.

good post,
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Jerry even when on a strict budget, individuals need to treat themselves sometimes. It's so easy to blow money at Dollar Tree. I do stick to items I use but sometimes I over shop. Love to go there and it's fun to look around in different ones because they each have slightly different stock. There are 4 Dollar Trees within relatively short driving distance from where I live. My son is going to have to take me soon.
 
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