retirement spending covered by SS

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If you are retired, what % of your expenses are covered by Social Security?

single with no SS
6
10%
single with SS < 1%
0
No votes
single with SS 1% to 25%
2
3%
single with SS 26% to 50%
6
10%
single with SS 51% to 75%
3
5%
single with SS 76% to 100% or greater
1
2%
paired with no SS for either
7
12%
paired with SS < 1%
1
2%
paired with SS 1% to 25%
5
8%
paired with SS 26% to 50%
10
17%
paired with SS 51% to 75%
16
27%
paired with SS 76% to 100% or greater
2
3%
 
Total votes: 59

Topic Author
lululu
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retirement spending covered by SS

Post by lululu »

Motivated by the thread, what percentage of your retirement expenses will be covered by Social Security and pensions, I decided to do a finer cut. My theory is that there is a big divide between (1) single with Social Security and (2) paired with Social Security.

For a member of a pair, having Social Security means either one having Social Security.
Sidney
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Re: retirement spending covered by SS

Post by Sidney »

Are you asking about now or some day?
I always wanted to be a procrastinator.
Topic Author
lululu
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Re: retirement spending covered by SS

Post by lululu »

Sidney wrote:Are you asking about now or some day?
Now, see poll title "if you are retired"
whomever
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Re: retirement spending covered by SS

Post by whomever »

Now, see poll title "if you are retired"
Being retired and collecting SS aren't synonymous. If you retired at 65, spend 50k a year, and will start collecting 25k a year of SS at 70, how do you answer the question?

For the better half and I, there are actually three phases - post retirement, pre-SS, when it will cover 0%, then when we both collect it will pay maybe 120% of expenses, then after the first death it will pay maybe 60% of expenses.
Sidney
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Re: retirement spending covered by SS

Post by Sidney »

I've been retired for over 6 years and SS is still 8 years away. So I will vote zero.
I always wanted to be a procrastinator.
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BTDT
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Re: retirement spending covered by SS

Post by BTDT »

lululu wrote:
Sidney wrote:Are you asking about now or some day?
Now, see poll title "if you are retired"
I'm retired but waiting until 70 to take SS, so I guess my only option is 'paired with no SS' :oops:
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MildlyEccentric
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Re: retirement spending covered by SS

Post by MildlyEccentric »

0% currently. We retired over a year ago don't anticipate taking our full SS benefit for another 8 years. At that point it will cover 50% of our projected expenses. A modest pension will cover an additional 8%.
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Info_Hound
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Re: retirement spending covered by SS

Post by Info_Hound »

I guess this poll will point out the many ways we manage our SS choices.

I voted 50% now as I am retired, single and collecting a widows benefit. When I reach 70 I will change up and collect my own social security that will cover 90% of my current expenses.
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plannerman
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Re: retirement spending covered by SS

Post by plannerman »

These numbers are not constant. When we retired we didn't have social security. At age 62 dw started collecting. I started collecting at age 70. When we retired 16 years ago, my company pension was about 50% of our income needs. Today, that pension covers about 25% of our income needs and SS about 25%. The rest comes from our portfolio.

plannerman
ubermax
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Re: retirement spending covered by SS

Post by ubermax »

SS and Pension comprise 57% of our annual budget , that percent naturally drops in years when we travel more or have unforeseen extra expenses .
Topic Author
lululu
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Re: retirement spending covered by SS

Post by lululu »

Thanks for answering the poll. It is just Social Security I am asking about, not pensions.
tacster
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Re: retirement spending covered by SS

Post by tacster »

Zero. Retired but not old enough for SS yet.
INSERT PITHY QUOTE HERE
ubermax
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Re: retirement spending covered by SS

Post by ubermax »

lululu wrote:Thanks for answering the poll. It is just Social Security I am asking about, not pensions.
53%
Grasshopper
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Re: retirement spending covered by SS

Post by Grasshopper »

Retired at 54 started SS at 62, pays for 2 nice cruises every year. :beer
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MikeWillRetire
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Re: retirement spending covered by SS

Post by MikeWillRetire »

OP,
Based on the responses, you should probably clarify the question (bogleheads are a persnickity bunch). Are you asking "for those retired people who are currently collecting social security, what percentage of your expenses are covered by SS?"
marcos123
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Re: retirement spending covered by SS

Post by marcos123 »

I can't speak for the OP, but he appears to be using social security's own definition of retirement age.

Which is "the age at which you begin receiving Social Security retirement benefits."
choices
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Re: retirement spending covered by SS

Post by choices »

I am retired, took SS at 62, DH still works, he will take spousal at 66, then his own at 70.
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celia
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Re: retirement spending covered by SS

Post by celia »

Thanks for clarifying that you are only looking for what SS covers [per the thread title] although the original post said SS+pensions.
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The Wizard
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Re: retirement spending covered by SS

Post by The Wizard »

Sidney wrote:I've been retired for over 6 years and SS is still 8 years away. So I will vote zero.
Similar for me, five years till I claim at 70...
Attempted new signature...
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gardemanger
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Re: retirement spending covered by SS

Post by gardemanger »

What do you mean by "paired"? If you mean "married", say "married." Also, where does widowed/collecting survivor benefits fit into the scenario?
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GerryL
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Re: retirement spending covered by SS

Post by GerryL »

Retired, single, won't start collection SS until 69 or 70, so "no SS."
elisa321
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Re: retirement spending covered by SS

Post by elisa321 »

It sounds like some people divided retirement into buckets

post retirement (cash flow from post tax investments)
post retirement (cash flow from pre-tax investment / ss)
basspond
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Re: retirement spending covered by SS

Post by basspond »

What the numbers show after 45 votes confirms that there will be a lot of folks who will be surprised that SS will not cover more of their expenses.
angelescrest
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Re: retirement spending covered by SS

Post by angelescrest »

basspond wrote:What the numbers show after 45 votes confirms that there will be a lot of folks who will be surprised that SS will not cover more of their expenses.
It's so easy to know what people will be surprised by.
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TheTimeLord
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Re: retirement spending covered by SS

Post by TheTimeLord »

basspond wrote:What the numbers show after 45 votes confirms that there will be a lot of folks who will be surprised that SS will not cover more of their expenses.
Or that a lot of Bogleheads expect to have significant investment income so they can have higher expenses and SS will be a smaller piece of their overall total than the average person.
IMHO, Investing should be about living the life you want, not avoiding the life you fear. | Run, You Clever Boy! [9085]
Sidney
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Re: retirement spending covered by SS

Post by Sidney »

gardemanger wrote:What do you mean by "paired"? If you mean "married", say "married." Also, where does widowed/collecting survivor benefits fit into the scenario?
I would assume that paired includes (but may not be limited to) married, civil unions, cohabitation.
I always wanted to be a procrastinator.
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kramer
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Re: retirement spending covered by SS

Post by kramer »

Sidney wrote:I've been retired for over 6 years and SS is still 8 years away. So I will vote zero.
Same here. I have been retired over 7 years and still have over 21 years to go for SS.
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TheTimeLord
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Re: retirement spending covered by SS

Post by TheTimeLord »

Sidney wrote:
gardemanger wrote:What do you mean by "paired"? If you mean "married", say "married." Also, where does widowed/collecting survivor benefits fit into the scenario?
I would assume that paired includes (but may not be limited to) married, civil unions, cohabitation.
Personally I have never heard the term paired in this context. I would have thought couples would have covered it since both couples and paired sound like there is a commitment beyond being roommates.
IMHO, Investing should be about living the life you want, not avoiding the life you fear. | Run, You Clever Boy! [9085]
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TheTimeLord
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Re: retirement spending covered by SS

Post by TheTimeLord »

Sidney wrote:I've been retired for over 6 years and SS is still 8 years away. So I will vote zero.
When I did my poll I asked it in the context of once you start receiving SS not when you retire.
IMHO, Investing should be about living the life you want, not avoiding the life you fear. | Run, You Clever Boy! [9085]
Topic Author
lululu
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Re: retirement spending covered by SS

Post by lululu »

MikeWillRetire wrote:OP,
Based on the responses, you should probably clarify the question (bogleheads are a persnickity bunch). Are you asking "for those retired people who are currently collecting social security, what percentage of your expenses are covered by SS?"
Yes.

By paired I meant people who consider themselves a couple, since in most cases they are sharing expenses.
Sidney
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Re: retirement spending covered by SS

Post by Sidney »

TheTimeLord wrote:
Sidney wrote:I've been retired for over 6 years and SS is still 8 years away. So I will vote zero.
When I did my poll I asked it in the context of once you start receiving SS not when you retire.
In any case, the numbers change depending on the circumstances. I plan to defer SS to 70.5 but at the same time, my expenses will skyrocket due to taxes on RMDs. So the ratio would be much lower than it would be one year earlier. Not sure what the ratio means, actually.
I always wanted to be a procrastinator.
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MikeWillRetire
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Re: retirement spending covered by SS

Post by MikeWillRetire »

I am 52, and not retired, so I didn't take the poll. However, I have used the calculator on the social security website, and it estimates that my wife and I would get a combined benefit of $64k at age 70. That's 75% of our estimated retirement expenses. Nice to know.
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Lon
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Re: retirement spending covered by SS

Post by Lon »

I am single and have been drawing Social Security for18 years. My SS covers more than my fixed monthly expenses.
ralph124cf
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Re: retirement spending covered by SS

Post by ralph124cf »

For the most information from a poll like this, it may be useful to specify what you mean by expenses. I would like to exclude such deliberate luxury expenses as world cruises, diamond jewelry, and the box at the opera. I would however include housing expenses, including very expensive homes, education expenses for children and grandchildren, and car replacement expense (accrual basis) of a car similar to what is currently owned.

Ralph
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mickeyd
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Re: retirement spending covered by SS

Post by mickeyd »

Not sure what the number is, but between SS and pensions, our 7 income streams seem to provide enough monthly cash to pay all of our bills/expenses most months.
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