A related BH wiki page is Surveys of retirement spending.
Explanations for the Decline in Spending at Older Ages
by Susann Rohwedder, Michael D. Hurd & Péter Hudomiet
NBER Working Paper
We use new data from the 2019 wave of the Consumption and Activities Mail Survey to help interpret the observed decline in spending as individuals age. At one extreme, forward-looking individuals optimally chose the decline; at the other, myopic individuals overspent and were forced to reduce spending because they had run out of wealth. Which interpretation is correct has important implications for the measurement of economic preparation for retirement. According to their own assessments, the fraction of respondents feeling financially constrained is lower at advanced ages, and the fraction satisfied with their economic situation is considerably higher at older ages than at ages near retirement. An important mechanism reconciling the evidence of reduced spending and greater economic satisfaction at older ages may be that individuals’ enjoyment of several activities declines with worsening health, widowing, and increasing age, leading to a lessening desire to spend on them. We find strong support for this hypothesis. Nonetheless, close to 20% of those older than 80 report not being satisfied with their financial situation, pointing to heterogeneity in economic security.
...We first update prior results about longitudinal spending trajectories using CAMS waves from 2005 to 2019. Table A4 shows the underlying data displayed as the median of household changes in real spending. Thus, the median change between 2005 and 2007 among 65- to 69-year-old singles was -5.43% or 2.72% per year Over the 14-year time period, the median two-year decline was 3.73% among single persons and 5.56% among couples for annual rates of decline of 1.88 and 2.78 respectively Notably, with the exception of several entries for single persons 85 or older, every entry is negative, showing that reductions in spending were almost universal over this time period.
We observe a steady increase with age in the attribution of reduced spending to having less enjoyment, reaching 8% of the population at 85 and older. Some 8% of those 75 to 79 attribute increased spending to getting more enjoyment from such spending, but that percentage declines sharply at greater ages. The overall impression is of substantial heterogeneity, but with a tendency toward fewer getting enjoyment from the queried types of spending at older ages.