Retirement is usually pictured as a beautiful elderly couple sipping fine wine on their yacht or on a lazy front porch, usually in a warm-climate state such as Florida.
Now that’s the kind of retirement I think we all want, right?
Without knowing what the average retiree spends per month, though, it’s hard to predict what you are going to be spending on and what your budget might be.
The typical American retires at age 62, the first year most can claim Social Security.
A recent average for Social Security benefits was $1,368 per month, or $16,416 annually. Married full-time earners might pull down double that, or just over $32,000.
Meanwhile, government data show households run by a person 65 and older spend an average of $45,756 a year.
That around $3,800 a month — about $1,000 less than the monthly average spent by all U.S. households combined.
So what do retirees spend their money on?
Here are the seven most expensive things retirees pay for each year and what the average retiree spends per month.