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What new mandatory EXPENSES are there in retirement, apart from increased medical costs?
Asking the question, without the typo & correction - no-one was reading the correction.
I have high current income. But it mostly goes on paying down debts & retirement savings. As I will be debt free going into requirements, the "expert" recommendations of how much I need for retirement seem excessively high.
I don't need activity suggestions thanks. Already got plenty.
A, Hunch - I earn $100,000 right now. $50,000 goes on my mortgage and retirement savings. That suggests I need $50,000 when I retire to maintain my current life style - except that I'm so focussed on my very uncertain consultant life I'm not really doing anything but working, eating & sleeping.
But aside from Social Security, I have the English version of SS too. On top of that I have a pension too from a British company - that's essentially an index-linked annuity.
So even though my lump sum savings are low, I have several forms of income that will always be there, meaning I feel like I have nothing close to what I should have. But I still feel comfortable - IF I don't have major new costs :)
3 Answers
- ?Lv 48 years agoFavorite Answer
I've been retired since age 50 and I know I spend a lot less than when I was working. I don't spend much on clothes, shoes, gas, or eating out anymore. Of course everything increases in price every year like taxes, insurance, food, medical expenses, well everything really. Some added expenses I have are maid service and handyman services (used to be able to do that stuff myself). What I have found is that if you want to live the same lifestyle you need to have the SAME income that you have now. Our investment income plus social security and a pension total almost as much as when we were working. Medical expenses are the biggest cost that we have; my insurance was cancelled when they found out I had diabetes and the medication costs around $500.00 a month and each doctor visit is also $500.00. My husband has medical insurance through his old employer and it is just a supplemental policy, but that has gone up two or three hundred every year so far.
- A HunchLv 78 years ago
The "experts" are suggesting that you want don't want to decrease you style of living - which for most of is accurate.
you have medicare, which should result in lower medical costs
What costs do you have now that you won't have then?
- Anonymous8 years ago
There are no new costs except what you spend to keep busy and medical insurance. You will have a lot more time to fill.