https://www.reddit.com/r/AskOldPeople/comments/1iimy69/living_with_no_retirement_money/
created by GManium on 05/02/2025 at 22:32 UTC
172 upvotes, 161 top-level comments (showing 25)
I keep hearing about many Americans not having any or enough retirement money and I’m wondering how those folks are living with very little retirement money. How do they get by? And… are some able to live with just SS and Medicare?
Comment by AutoModerator at 05/02/2025 at 22:32 UTC
1 upvotes, 0 direct replies
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Comment by PilotoPlayero at 05/02/2025 at 22:39 UTC
228 upvotes, 6 direct replies
Some live off solely on disability, social security, government subsidized housing, etc. Some will never be able to retire and continue working until the day they drop dead. Some may be lucky enough to have a family member who will take them in.
Comment by njoinglifnow at 05/02/2025 at 22:56 UTC
96 upvotes, 5 direct replies
I had very little savings. I had to retire at 64 due to health after working full time for almost 50 years. I get less than 1600 in SS per month. I'm putting my home up for sale at the end of February and using the equity to buy a small condo.
That's the only way I'll be able to keep from living with one of my kids.
Comment by vcwalden at 05/02/2025 at 23:24 UTC
58 upvotes, 1 direct replies
I had a neighbor (she's 95) who lived in the same apartment for just about 30 years. Her Social Security was less than $1000 as of 2024. She qualified for snap benefits, Medicaid and a Senior commodity program along with a homemaker aide. The rent on her apartment went according to her income, she paid for electric, home phone, cell phone, internet/TV. She had a nice apartment, clothes and a dog. As of about 6 years ago she got rid of her car and took public transportation. She had everything she really needed but no real extras.
When she did need or want something special her kids or friends helped her out. She made it all work and she never complained. She was a very happy lady. She went to church on a regular basis and there was a drop in center she went to along with some of her friends. She didn't let being poor define who she was nor get her down.
In November she was no longer able to live alone and went to live with one of her children who lives out of state. She had 3 daughters that lived close to her and they were able to help her. She had no savings, retirement, 401k nor emergency fund. When she worked it was at a local nursing home as an aide.
Comment by ken28eqw at 05/02/2025 at 22:52 UTC*
47 upvotes, 2 direct replies
As a single person with a paid for modest home. SS pays all the bills. I didn’t have any money for retirement until I got my last job, after never working for more than two years before a layoff. I’ve been through eight layoffs a couple at the same place. I contributed to a 401k at age 36 and put half my raise in every year until I was doing 20% a year. Finally laid off at 60 for the last time. This last part is off topic but shows starting at 36 you can still save more money than you can spend in retirement. Today my 401k went up $3800
Comment by CleanCalligrapher223 at 05/02/2025 at 22:50 UTC
37 upvotes, 1 direct replies
I see posts from people trying to do this and it's really sad, especially for widows I know who didn't realize that after their husband died the Survivor benefit would be only 100% of his amount- not his 100% plus the 50% she was collecting.
They sell their houses- or stay in them (but can't afford to repair them) because it's cheaper than renting. They take on credit card debt. They get subsidized housing and SNAP benefits. They select cheap Medicare Advantage plans with limited networks or get the "Extra Help" program (combination of Medicare/Medicaid?). They skip prescriptions and dental care because they're too expensive. Sometimes they don't sign up for Medicare B and D while they're healthy and then are stunned when they have to pay penalties. They get reverse mortgages. They move in with their kids or vice versa. My grandfather's second wife was told by her adult kids after her husband died that she'd better find a husband who could support her. Enter Grandpa.
Even with some help from the taxpayers it can be a miserable existence.
Comment by paracelsus53 at 06/02/2025 at 00:25 UTC*
35 upvotes, 3 direct replies
I never saved any money because I had three siblings who died young. Didn't see the point. Plus I never liked working a wage-slave job. I became self-employed instead, doing writing, having a shop where I sold things I made, teaching onliine, selling my art. But even that I never worked my ass off, because why? I worked enough to get what I wanted. And you know what? I'm fine.
I live in senior municipal housing. My rent is $346 including utilities for a studio (would be the same for a 1BR). When I was still paying my Medicare premiums myself, my rent was $280 (they decrease your rent for medical expenses). Now it's more because the state is paying my Medicare premiums and I get Medicaid, so I have no medical expenses at all anymore (very grateful for that since I'm on an expensive medication). Max rent to anyone here is 30% of income, and they do have deductions, but not like IRS. My neighbor across the hall was getting like $275/mo for SSI (I guess he never worked a regular job) and his rent+utilities was $50. I get SNAP and go to the kosher food pantry twice a month; I have more food than I need and give away much of it to friends. Bus pass is free, and the transit system is state-wide. My place is safe, clean, and well-maintained, conveniently located, and I have a number of friends here. In spring I will have a raised bed for gardening, and I have pots to grow stuff on my balcony. At 71, no evil eye, my life is good. I can write and paint all day or just lay around and watch movies.
There are plenty of ways to get by. There always has been. And if one of you puppies taunts me about them abolishing Social Security, I will whomp you upside the head.
Comment by ProStockJohnX at 05/02/2025 at 22:53 UTC
68 upvotes, 5 direct replies
I've noticed an uptick in older people working cash registers at a local grocery store and also Target.
Comment by Upstairs-Storm1006 at 05/02/2025 at 22:54 UTC
20 upvotes, 2 direct replies
If they own their home they do a reverse mortgage and hope they die before the interest erases all the equity.
Comment by Away-Revolution2816 at 05/02/2025 at 23:20 UTC
24 upvotes, 2 direct replies
I got sick at 59, six months before my pension would have kicked in. I cashed in the pension and most of my savings. I qualified for disability ssi. According to them a medical condition five years prior would have qualified me. I paid off my house. Part of my condition was severe dizzy spells, near blackouts. I decided not to drive because I was a danger. I still needed to get around so I bought an ebike. About a year later I hadn't touched my car so I sold that. Between paying off the house and eliminating about 800 dollars a month in car cost I get by on social security well enough to continue saving some money. I live very frugally, usually one light in the house. Heat in the winter is 55 at night and 61 daytime. I luckily never liked ac so that's not a issue. Most of my clothes are from resale stores, I grow a garden in the summer. Living cheap took some adjustment, I was always a person who wanted toys, but I don't miss them.
Comment by love_that_fishing at 05/02/2025 at 23:27 UTC
17 upvotes, 0 direct replies
I volunteer at a food bank. A lot of my clientele are older people. It’s tough out there.
Comment by Report_Last at 05/02/2025 at 22:45 UTC
34 upvotes, 4 direct replies
It is not easy. Multigenerational living is becoming a big thing.
Comment by hbauman0001 at 05/02/2025 at 23:02 UTC
16 upvotes, 1 direct replies
Some don't. We had to supplement my in-laws retirement for 15 or so years just so they could stay in their house until they died. They were not extravagant people.
Comment by tracyinge at 05/02/2025 at 22:58 UTC
15 upvotes, 1 direct replies
Some don't. Almost half the homeless population in the U.S. is over the age of 50.
Others get roommates, move in with siblings, aunts, cousins etc. Some are disabled so qualify for government assistance/assisted living etc. Some rely on Veteran's benefits.
Comment by TinktheChi at 05/02/2025 at 22:38 UTC
44 upvotes, 2 direct replies
They live with family and take part time or full time work. It's horrible for people when they haven't been able to save enough.
Comment by mallardramp at 05/02/2025 at 22:44 UTC
29 upvotes, 4 direct replies
Comment by ilovelucygal at 06/02/2025 at 00:09 UTC
11 upvotes, 0 direct replies
I had to retire early to take care of my ailing faither, and a year after his death I sold the old trailer I had inherited and went to live with my oldest daughter and her family, I have a bedroom to myself and pay $650 a month for food and rent/utilities. I would prefer to live by myself but cannot afford to rent or buy. I'm just thankful they were willing to take me in, but I would have done the same for my mother or father if I had to.
Comment by AnitaIvanaMartini at 06/02/2025 at 03:02 UTC
12 upvotes, 0 direct replies
Many women my age were brought up to be traditional SAHMs. They maintained their homes and raised happy, well-adjusted kids. Then in their 50s, their husbands left them. The kids are too old for child support, often in college, and too young to have great jobs. Mom falls through the cracks and ends up on a 2-yr waiting list for housing. If she has a medical or dental issue she winds up on the street.
Comment by Sufficient_Space8484 at 05/02/2025 at 22:39 UTC
37 upvotes, 1 direct replies
My life is a Ponzi scheme. It’s all going to come crashing down in spectacular fashion. Maybe then and only then I will have true freedom.
Comment by Penguin_Life_Now at 05/02/2025 at 23:05 UTC
9 upvotes, 0 direct replies
It depends, I knew one woman that was a friend of the family that was in that sort of position, she passed away about 5 years ago just before covid at the age of about 81. She had 3 kids who were mostly estranged, lived in a low income/ senior housing apartment in a very small town about 10 miles from where I live. I think the 1 bedroom basic older apartment costs her around $250 per month, which she was barely able to pay, she had an older (20ish year old) cheap beater car that I think she bought from a distant relative for $1,500, to replace her previous beater car a couple of years before she passed away. Various friends, and relatives would help out where they could sometimes buying her groceries when she was short on money. I gave her an older 32 inch flat panel TV from about 2006 at one point when her old TV died (the apartment included very basic cable TV).
Comment by Maleficent_Sun_3075 at 05/02/2025 at 22:42 UTC
19 upvotes, 1 direct replies
I'm not retired yet, and am in Canada, but believe me, it's mine and my wife's biggest concern. We thought we were going to be fine, and then inflation, especially post covid, and the weakening of our Canadian dollar vs almost every other currency, especially the US greenback has us concerned. Luckily for my dad, there is rent control here and subsidized housing. So he actually has a decent and safe apartment for 30% of his taxable income.
Comment by Individual-Theory307 at 05/02/2025 at 22:47 UTC
18 upvotes, 0 direct replies
I am fortunate to own my own home in an area with a relatively low cost of living. My expenses are fairly low so I can afford to live off of Social Security if I need to, and save a little bit each month. But if I had to rent or was paying a mortgage , I would be burning through my savings at an unsustainable rate.
Comment by CharDeeMacDennisII at 05/02/2025 at 23:33 UTC
17 upvotes, 1 direct replies
We are debt free. We own our home outright. We own both late model cars. We live on our SS income and Medicare alone. All bills get paid. We eat well. We go to restaurants, movies, and the occasional sporting event. We can take a small vacation each year. And, there's actually a hundred or so dollars left over each month.
We have a decent savings should anything untoward occur. But, like most Americans, should anything medically catastrophic happen, we'll be fucked.
Comment by 1Mthrowaway at 05/02/2025 at 23:25 UTC
9 upvotes, 0 direct replies
My mom lived on $1700 a month social security and had Medicare. The only way she was able to do this was by having a paid off house. She did have a little over $100k in her retirements but only took out the yearly required minimum distribution once she was old enough. The biggest issue with her approach was she had trouble keeping the maintenance up on the house. We had to do a lot of that for her. Ultimately she sold the house and had to move in to assisted living. The house equity has helped her afford that ever since but is slowly running out.
Comment by ConsistentMove357 at 05/02/2025 at 23:39 UTC
7 upvotes, 3 direct replies
My parents live off of two social security payments and an 800 pension. It's not as bad as it sounds no vehicle payments and payed off house