Here’s Where Retirees Spend Most of Their Money

It’s easy to understand why so many seniors struggle financially. According to Money Talk News, “U.S. households led by someone who is 65 or older spend $61,432 a year — $5,119 a month — on average.”

Seniors’ biggest expenses are housing (36 percent), transportation (15.5 percent), food (12.9 percent), healthcare (12.7 percent), utilities and public services (7.3 percent), entertainment (5 percent), household furnishings and equipment (3.5 percent), household operations (3 percent) and apparel and related services (2 percent).

U.S. Census data shows about 14 percent of Americans 65 and older rely on Social Security for 90 percent or more of their income. When you consider that the Social Security Administration reports the average monthly retirement benefit payment is $2,071, that falls far short of the $5,100 retirees spend on average each month.

The Seniors Trust is committed to improving the financial well-being of older Americans by passing the Social Security Expansion Act. It will give retirees an immediate increase of about $200 a month in benefits, a fair annual cost-of-living adjustment (COLA), increased minimum benefits, and ensure the long-term solvency of the Social Security program.