Golden years no more: living off $2,400 a month. In Alva, FL. Aged 71.

I’ll be in the same situation

I wonder why this gal is in her 60s and still has a mortgage payment. Not having to pay for housing is a huge component of successful retirement.

[quote]I wonder why this gal is in her 60s and still has a mortgage payment.

Presumably this:

"Haverfield said her husband did a poor job managing their finances."

I feel very sorry for her, that's a horrible way to spend your remaining years. Hopefully, it can be a lesson to others. Always, always, always live below your means. You never know what's coming down the pike -- in her case, her husband's illness and her early retirement as a result.

Depending on if she has any equity, she may want to sell her house. She could probably find an apartment for 1500 all in, which would also be a lot easier for her as her age. She might even be able to pick up some work of she moved more centrally.

Bleak story though.

Bootstrapping really paid out for the boomers

Part of the reason I moved to Europe is to ensure an illness or elder care doesn't obliterate my decades of discipline and financial prudence.

It’s gonna be even worse for Gen X and beyond.

Not if you buy your house now and set aside some savings, R7.

[quote] Haverfield owns her home in Alva, a small community about 20 miles inland from Fort Myers, with mortgage payments of $1,500 a month.

So she took out a second mortgage?

R1 - A lot of people in their 50s now (and younger) will be in a similar situation. And that's assuming we even still have social security at that point. My plan is to rent a house with same-age friends and be the Golden Guys. That or a gay retirement home if I can afford one.

And how many are doing that R8? Maybe Gen X and older Millenials to an extent, but I’m not sure many are teaching their kids the value of saving.

[quote]Depending on if she has any equity, she may want to sell her house. She could probably find an apartment for 1500 all in, which would also be a lot easier for her as her

She needs to sell. There are cheaper, easier places to live in the South (warm weather). I googled senior apartments in Macon, GA and there are places for less than $1K.

I'm sure that many are not teaching their kids the value of saving, R11.

But then that's their fault: we have explained this OVER and OVER and OVER again RIGHT HERE ON DATALOUNGE!

Also, right here on Datalounge, we rant at the guys who didn't go to college, got jobs, socked money away, and have $1 million in the bank with their mortgage paid off by 60 and no student loans.

We hypocrites! Or jealous. Or something.

Appalachia does not want them. They are selling and moving deeper south where they are told directly to their face GO BACK TO WHERE YOU COME FROM.

These are the bootstrappers, who did everything right who scream about the border crisis, I love this for them.

R13, we’re victims of a capitalist, consumerist society with greater choice and greater access to credit. In the 90s when I was buying a car I was quite limited in choice because I couldn’t get approved over a certain amount - I can’t remember, but the value had to be less than a certain percentage of my annual gross income. Now you see young people rolling around in vehicles that you know cost a lot more than they make in a year. This is the problem. We’ve normalized being underwater just to keep up with spending habits and wants.

She had a lot of time to think about it while she "drained her retirement" paying for healthcare. She needs a roommate and a garden.

Victims? Really?

I've got mine, Jack!

At 71 she's a baby boomer, so she really should have paid more attention to what her husband was doing with their joint finances. I mean, you at least want to know how close you are to owning your house at all times. Sure, in the generation before that wives were trained from birth to go along with everything Hubby said, but not the boomers.

That said, I don't know how anyone who isn't seriously wealthy gets through the long illness of an immediate family member under the US health system. It is awful to think that it could overturn someone's prospects in their senior years even if they were doing everything right. I really hope Kamala gets in, taxes the bejesus out of the billionaires and gets you a decent public health system after all this time. Nobody's is perfect, but yours really IS deplorable.

Oh, fuck off R17. Quit being so obtuse.

R15 / R20 relishes being a self-described victim. No accountability then.

The top 1% wants every fucking last dime. Live off the crumbs, bitches!

If you're getting older and you know you'll be living on modest investments and SS, you will need your housing paid for. Make those difficult decisions in your 50's, downsize and get your house or condo paid for.

[quote]“I thought my 60s were going to be my golden years. I would watch commercials, and all I saw were people on trips to Cancún or golfing or sitting by the pool. I couldn’t wait,” said Haverfield

[quote]The couple had planned to retire with $1 million in savings between their IRA and their 401(k). But Haverfield said her husband did a poor job managing their finances, especially as he became ill, and she retired several years earlier than planned to tend to him full-time. Their money quickly dwindled to pay for his care, as well as that of her mother and several other ailing relatives.

It really takes some biting of the tongue not to be too very unkind toward the woman who thought her 60s were going to be sitting by the pool. golfing, Cancun vacations...all on the basis of having had "plans" with her husband to retire $1M in IRA and 401(k) savings when there's no indication at all that they were anywhere near that goal. She seems to have mistaken hopes and dreams for plans and savings. Good intentions don't pave the way for retirement.

The truth is she might have done every thing right and had $1M in retirement savings and still her 60s might have been short of Golden. I understand that and am sympathetic, particularly to the crunch of medical costs for her dying husband (before, I gather, he might have qualified for Medicaid and Medicare benefits. Medical costs in the U.S. are ruinous and that is indeed a crime and a national shame. not hers nor her husbands.

But damn, Golden Years in the U.S. are anything but a guarantee of watching amber-hued sunsets in twin Cialis bathtubs and jetting off to Cancun, again: not when you have a mortgage that isn't in its very last throes or when you don't have a massive pot of retirement of other savings. Unless you're more than rich enough not to need a mortgage, retiring with a more than a very short term of the mortgage in place is almost always a very bad idea. Not to mention footing the medical and care expenses of a whole generation of old relatives before getting your mortgage paid off.

[quote]Haverfield lives on $2,400 a month in Social Security benefits, totaling $28,800 a year.

Had she owned her house and not had a $1500/month mortgage, $2400 a month in Social Security would have been enough to get by reasonably if somewhat modestly. She could pay her property tax, have money enough for food and basic expenses of keeping a household. She would not have much money for jetting ff to exotic places, and she might need to economize by heating and cooling part and not all of her house. Selling her house and moving to a rental apartment might be an attractive option to have more cash flow, or at the very least a backup plan in cash her costs or maintaining her house became a burden.

There are one-bedroom apartments in her area from $1200/month for something respectable (and more basic, cheaper apartments as well), considering the savings of $4000/year in property taxes and the prospect of (maybe) getting some equity back from the sale of her house would boost her position a bit.

SO many people plan well and still have the rug pulled out from under them, I hate to "but why didn't she just..." the poor woman, but just hoping everything ends up well and just hoping that your golden years will be spent golfing on Cancun vacations is a bit of a liberty against all evidence to the contrary.

Has she considered OnlyFans?

She needs to ditch the house and just rent a room...probably could afford a short Carnival cruise once a year if she did so.

Judging by that photo she's clearly been able to afford ample food.

If you haven't got a house paid off by retirement you're fucked.

If she were to sell her house she could straight up move to Mexico full-time and live la vida loca. Why is she so loyal to Alva, FL?

She strikes me as the type that would splurge on carnival cruise and leave the boat with H1N1 and Norovirus

She deserves it, it's in FLORIDA people, she's a trumpet, bitch needs the pain, stupid MAGA cunt, die soon granny.

She needs to get on the wait list for subsidized,, low-income, senior housing.

Thanks for this Sunday pick me up OP. Depressing as all hell.

she needs the “ditto” echo wherever she goes.

If poor, dumb Lucy had just subscribed to DL, she’d have $3 million 401(k) balance by now.

Very few people “over 60” get to experience what Lucy thought was a given...how naive ....

She needs to get a roommate.

She can't just up and move necessarily; it costs money to move.

r29, She's old and single, unable to handle finances, Mexico would be a disaster for her.

Is she disabled? If not, she could supplement her income with a part-time job. I also agree with whomever said she needs a roommate.

Wake up people, rents are going sky high, groceries thru the roof, if you are in your 40s or 50s and dont have a ton in savings, your situation is going to be much worse than hers.

Gosh I hope she didn't vote for Trump. Republicans HATE poor people.

While I know there are poor people out there, how many people are in this situation because of bad decisions? I want to throttle every person who's begging for donations but has enough money for smoking, drinking, tattoos, drugs, etc. These people need a good lesson in "must haves" vs. "nice to haves."

[quote] her homeowners insurance doubled recently to $4,000 a year

I wonder if she voted for Ron DeSantis. He refused to regulate the Florida insurance scammers. That, plus parts of the state are becoming uninsurable due to climate change. If she were smart or industrious (which she clearly isn't), she would get the hell out of Florida.

Yup. I’m single. I cannot afford to buy a home on just my income. I won’t inherit anything. I’ve been laid off 3 times so I’ve never had a good run at building a pension with a good company. I feel complete dread when I think about getting old. My prayer every night is that my health will hold, I can keep working into my 70s and then I’ll die suddenly with no decline that requires care.

A former co worker, a single lesbian in her 50s, moved back to Canada when she was diagnosed with Parkinson’s. She chose medically assisted suicide and died on her own terms before she declined. She took a 90 day around the world cruise then came home and checked out. I hope I’d be as brave.

That's the opposite of brave.

Roommate is not the right solution for everyone, downsizing makes more sense

When I explain to my global friends that in America it is possible to lose your life savings , house, and become mostly destitute etc. all due to paying for medical care they simply shake their heads in disbelief. This reality seems to be the America we were trained from a young age to believe in. You know, cuz 'socialized medicine' is bad Bwaa-haaa-haaa...Thank God the younger gens are not falling for that line of bullshit

R47 I just returned from France and I had this conversation so many times it became tedious. They were awestruck - understandably so.

Agree, R47 and R48. I've lived in Europe for years but all my life before that as an American and almost no one quite understands that homelessness is an issue of huge scale with tent cities constructed under highways and people living in cardboard boxes. They don't understand that an employer might fire you at age 58 and that you would be un-employable and would be offered only short-term unemployment benefits, leaving you with a gap of 4 years where you would have to insure yourself at enormous cost for a bare-bones policy that paid only 80% of costs. They don't understand that the average cost of an emergency ambulance is $1200, in some cases thousands. They don't understand that health insurance pays only part of the costs and that the rest is the burden of the patient. They don't understand that a presidential and congressional candidates could seek office promoting the idea of eliminating or restricting social security. They don't understand that old people can be pushed out of rental housing by massive leaps in rents.

They have heard bits and pieces of these truths, but simply reject them, certain that it's an incomplete picture far from the truth that couldn't possibly be that harsh. When you explain it, they think you are describing a one-in-a-million bureaucratic fluke that surely was successfully resolved, or propagating some urban myth. They don't believe it because it is so far from what they have always known in their own countries and so far from the image of enormous wealth and prosperity with which they associate the U.S. It's very difficult to explain simply because it's so difficult for them to believe that a civilized, rich country could be anything like that.

Having heard all the stories of how western Europe has a medical safety net for its citizens, my friend found out if it's true. She (American) was in Paris when she took a tumble on the sidewalk, breaking her wrist. She spent 2 nights in the hospital and had a delicate surgery on her wrist, which she found out is full of a million tiny bones. When she left, they asked if she had insurance and didn't even make her show an I.D. Money was never discussed during her stay or when she was discharged. When she came home she went to Kaiser where they said the surgery was excellent. Two months later she got a bill from the French hospital = $1400 total including ambulance.

I think the most amazing thing about it might be how she could have given them a fake name and address-- they didn't seem to care at all about how they would get paid. This is what's so different about Europe, that money isn't their first thought.

I'm 63, last year I made 73k, my FICO score's consistently at 815, I have some 80k in a Roth IRA I can cash out any time and I can't fucking find a condo to buy because interest rates are fucking everyone over.

[quote] I can't fucking find a condo to buy because interest rates are fucking everyone over.

But mostly because prices are still too damn high. My parents bought their condo last century when interest rates were almost18% but they could afford it because the condo was cheap, in silicon valley no less.

High interest rates are not fucking over everyone. If you are a saver, high interest rates are a good thing. If you're a borrower, you're screwed.

Yeah, mortgage rates were higher than they are now from 1973 through 2001. It's just that houses were more affordable then.

[quote] I wonder why this gal is in her 60s and still has a mortgage payment.

She retired to be a caregiver for her late husband. Her retirement was premature and unplanned.

Men die. Men leave. A husband isn't a retirement plan.

Depressing and all too common. The % of incoming seniors and current seniors who have nothing and are living month-to-month... yikes.

In this lady's case, sounds like part of it was a bad dice roll -- expensive healthcare needs can befall anybody. But part of it, also, was she never got her own hands on the wheel of their financial planning as a couple. This happened in the 2010s, not the 1950s: she should have been more assertive and taken some co-ownership... at least getting clear on what the facts were.

R54 it is just that people are much more stupid now, and they lack a basic understanding of economic realities.

[quote]it is just that people are much more stupid now

Truer words, r58, were never spoken.

Your quote could be the perfect title for a DL compendium of collected wisdom.

Lucy is in a very difficult situation, but she comes across as helpless and passive.

Here’s a good start: She could sell her house and move into a subsidized senior apartment complex. With her income, she should qualify and could potentially halve her monthly housing expense. Such a move requires research and investigation. It might require moving to another area to find a apartment sooner, and it will definitely require downsizing to a 1-bedroom or studio, but the low rent, plus lower utilities and drastically lower insurance expense could be a lifesaver.

One thing all poor people have is a few poor friends. She has to know someone who wants to rent out their poolhouse, or needs to split groceries and get a hand with the housework. Could she do that for a year, rent out her house to a lessee, and set something aside?

R23, home ownership involves rising costs of maintenance, repairs, and insurance. Condo owners often get hit with tens of thousands in assessments, often by surprise.

Renting can be more affordable. Really.

R60 speaks the truth.

This is what ChatGPT suggests for Lucy.

“Lucy, your situation is indeed challenging, and I understand how frustrating it must be to see your retirement dreams disrupted by financial pressures. Here are some practical steps that could help ease your burden:

1. **Explore Financial Assistance Programs**: Look into programs like SNAP (Supplemental Nutrition Assistance Program) which can help with grocery costs, and LIHEAP (Low Income Home Energy Assistance Program) which can assist with utility bills. These can provide some immediate relief.

2. **Refinance or Consider a Reverse Mortgage**: Given that your mortgage payment is significant, refinancing to a lower interest rate might reduce your monthly payments. Alternatively, a reverse mortgage could provide you with additional income, though it’s important to carefully consider the long-term implications.

3. **Local Community Resources**: Reach out to local organizations and non-profits in your area. Many offer services for seniors, including food banks, subsidized housing, and transportation assistance.

4. **Senior Discounts and Benefits**: Take advantage of discounts offered to seniors for various goods and services. Additionally, check if you qualify for Medicare Savings Programs or other healthcare assistance to reduce medical expenses.

5. **Consult a Financial Advisor**: A professional can help you develop a budget and plan tailored to your situation. There are non-profit organizations that offer free or low-cost financial advice for seniors.

6. **Consider Downsizing**: If managing your home expenses becomes too burdensome, downsizing to a smaller, more affordable home might be an option. This could free up some funds and reduce maintenance costs.

Taking these steps could help you manage your expenses more effectively and improve your financial stability. It’s important to reach out and explore all available resources and support systems to make your retirement years more comfortable.”

Chatgpt is a feckless ho

This is really why I said sell R62. It sounds like she is squeaking by as it is, but also one minor problem away from serious debt.

Water heater died? $1.5-$2K.

AC problem? Could be up to $10K.

Etc.

She needs to cash in whatever equity she has and run.

[quote]Condo owners often get hit with tens of thousands in assessments, often by surprise.

I'm seeing these stories too. FL condo owners are getting hit with five-figure assessments, because their HOA/board has never been serious about upkeep/maintenance, and now they are legally required to.

This is not a new story. My parents took in my great grandmother from 1963 until she died in 1968. Then they took in my mother’s aunt, who was widowed and broke. Her husband was an alcoholic and drank up everything they owned, including a farm. I’ve known dozens of people who were in this boat. It’s nothing new. People seem to think a miracle will happen. Poor choices and poverty work hand in hand.

I plan to retire in five years when I turn 68. I just logged into my SSA account to find that I'll get the max of 2500 a month starting when I turn 67. Right now I'm sinking the max into a 401k that Fidelity is managing and it's doing very well. Unless I win the lottery by then it looks like I'll be pulling down the same monthly income at that time that I'm drawing at my job right now. It's a big fucking relief.

R68, I'm not sure what you mean by "max". Do you mean the maximum based on your contributions? There are many people receiving quite a bit more per month than $2500.

R69 the max I can contribute each year. And I'm referring to my Fidelity account, not the SSA.

Best, R68

[quote]Not if you buy your house now and set aside some savings

Long Island "starter homes" are now at starting prices of a million dollars.

I live on less than that, OP.

But I sold the house I still owed money on and took the proceeds and bought a shabby but serviceable trailer and the land it's on for 30K (really!). It's now worth at least twice (and maybe three times) that and I've actually been able to save a bit of money.

A lot of people wouldn't live where I live or how I live, especially people with my level of education. But as I've said before, I don't have much -- but everything I have, I own.

And if Kamala wins, I'm going to take that "I'm leaving the country" money I have stashed away and do something nice for myself. Counting the days...

My husband’s parents are in independent living right now (he should be in assisted living and she should be in memory care but they stalled and were stubborn and won’t be separated so here we are) and have had to hire daily health care aides to help MIL get dressed, bathed, etc.

For their two bedroom apartment (the only one left at the retirement community) plus all the health care extras and aides, they are spending over $22k per month.

R16

It seems as though she and her husband were somewhat profligate, too: they kept a “small” savings account for trips and drove the cars they liked. Plus, she retired at 61 to care for him and hasn’t worked since. I understand doing that and it’s honorable, but they just didn’t save enough outside of their 401k accounts.

She may have to visit a food bank - most of them have fresh fruits and vegetables and she wouldn’t have to worry about a late fee for next month’s gas bill. It’s a sad story but there is help.

She could move to The Villages and start turning tricks.

Sell the house. Move into a cheap apartment. Get a part time job. My local diner has women in their late 60s and early 70s waitressing and they average 300-400 a shift. Add that to the $2,400. Get on food stamps. Her situation does not have to be desperate. 71 in today's world isn't old-old.

I like to think that I'm pragmatic and would take the necessary steps, like selling my home, to address my financial situation.

However, I can see where pride would prevent you from getting on assistance programs like food stamps and selling your longtime home would be an extremely difficult decision.

Ultimately, living in misery would push me to take the necessary steps. But, it would still be hard.

Dear god, I just did a quick check.

This woman would not qualify for SNAP. She makes too much money.

She could sell her house/condo. Buy something’s lot cheaper and maybe pay cash. She’ll have an HOA and property taxes If she homesteads her taxes will be reduced.

As for homeownersinsurance, if she pays cash, she doesn’t have to have insurance (not advising anyone doing that, but if it’s insurance or food, food comes first)

Also, there’s programs in Florida for reducing property taxes (even more than homesteading) with her small income

It's very sobering and very real.

I love it when straight people suffer.

[quote]I love it when straight people suffer.

Florida notwithstanding, you have no idea whether she's a lovely person or a foul Karen.

Always have homeowners’ insurance.

In TX, homeowners over 65 get an additional reduction of property tax, on top of the homestead exemption.

I will fix this on Day 1...

I will bet two kazillion dollars she’s a trumper. As much as it’s sad that she’s broke now, she reeks of the type of woman who thought she was a millionaire because she and her husband made a decent living when they both worked, and screw people who didn’t. Let them eat cake. She and her asshike husband are strivers who voted Republicunts because they thought it made them upper class.

Three generations dumbass woman.

If her survivor Social Security benefit is only 2400, then I doubt he was making very much money.

And she'll likely be happy as a clam to vote for the GQP again R85, when they've said repeatedly that they want to get rid of Social Security and Medicare. Yet when that all goes away (let's hope they aren't successful), this woman would be the first to complain and grouse about it all--"WHERE'S MY FUCKING MONTHLY CHECK????".

We have a lot of entitled, spoiled, and uneducated people in America. They deserve Trump and the GQP, the rest of us do not.

This bitch right here? Is the wealthiest member of the US Senate. He's in the senate, not prison and promising to end Social Security for good.

R82, straights have been trying to destroy us since time immemorial, they never tire of it, so, pardon me if I don't have sympathy for one of them.

R82 = boot-licking faggot.

Agree with the poster above. Lucy needs a garden and a roommate. Lucy also needs a little part time job. There's no reason she can't work 16-20 hours a week until she physically can't. Work from home on her computer. She needs more money and should never see borrowing money from friends as an acceptable situation. Lucy you can do it with a little more effort.

R3 The moment I read OP's statement I knew that somewhere there had to be poor financial management. OK, so in this case it was the husband who screwed up. I feel sorry for her but whattaya gonna do... In the next life, choose your spouses more carefully.

It's not her fault DeSantis allowed the homeowners insurance people to triple prices.

It's her fault for voting for it

I have no idea how that man got re-elected.

AFAIC, in Florida, the fix is in.

right/ isn't she supposed to get his ss too?

What is its name claims to have arranged it all

My condo is paid for but the maintenance fees every month never end.

[quote] In this lady's case, sounds like part of it was a bad dice roll -- expensive healthcare needs can befall anybody.

This isn't bad luck. Billions of people have health problems in this world without going broke, but America consistently chooses not to address it.

R91, you're so right about that. There are ways to vet a potential spouse for money management skills and spending habits. Often, you don't even have to vet--the habits are readily apparent. I would also request a full financial disclosure, executed under oath before a notary. If you get pushback, run. This is serious shit.

I have a friend who is draining her retirement money to pay for care for her elderly mother. A big mistake in my opinion but her choice. This lady should sell her house or get a boarder. Or try tor a work from home job. Florida isn’t cheap anymore.

My mother's house was sold to keep her in assisted living. She can only live four more years...at least, in the assisted living place. She's 84.

Why is she still paying mortgage at age 70?

R83 on top of what? A homestead exemption has nothing to do with property tax.

You make no sense at all. , which would make sense if you’re in TX.

Hooking at the Villages

Social Security is a social safety net... not a retirement plan. Think about those words: social safety net. This woman thought she was going to Cancun and lazying around by the pool with nothing other than social security? She's a moron. And she probably is a republican voter, who has no clue that the republicans have social security in their crosshairs... Sell the house or get a job. 71 is not too old for part time work...

I've been planning to avoid being in a similar circumstance. I am 63 here and 4 years from full retirement age. If we quit our jobs today Husband and I would have $5K/month in social security if it remains untouched. I know that likelihood is doubtful if the Republicans take over Washington. Fortunately, we have 401Ks to supplement this (another $5K/month).

If Trump wins this fall and the Rs take over the Senate, we are outta here. We are looking at both Dublin and Porto as likely landing points as residency permits there are doable due to ancestry or passive income streams. Residency permits would allow us to work parttime if we needed some more euros.

She's a trumper and voted for Desantis no doubt, don't feel bad for her , stupid Florida CUNT, perhaps she'll die in the next hurricane, please let it happen

[quote] Social Security is a social safety net... not a retirement plan. Think about those words: social safety net.

Yeah, yeah, R105. FDR described it in 1934 as "a plan for social insurance as a safeguard 'against the hazards and vicissitudes of life.' " Knowing fully well it would help far more people than those who had the benefit of security pensions or careful long-term planning without the ugly intervention of the "vicissitudes of life."

In fact it's not just a few unlucky, underplanning women like the one in Florida. For 40.2% of Americans of retirement age it's their only source of income. And the originally envisoned “three-legged stool” of retirement savings: Social Security; and a defined-benefit pension plan...we know what happened to that.

Until the late 1970s more American workers participated in defined-benefit pension plans than in other types of retirement plans. But the numbers have long been in decline. By 1987, defined benefit plans represented 28% of all retirement plans, a drop from 32% in 1975, according to Employment Benefit Research Institute (EBRI) data. Today, only 10% of private-sector. [BLS stats from Investopedia] And we know, from the example of the woman above, how good many people at applying discipline in looking after their financial interests for retirement. Likewise labor tenure and work stability.

So it's just one dumb widow in freaking Florida who fucked up and dreamed where she should have saved, it's a very significant percentage of the working population who are or will be largely dependendent one but one leg --Social Security-- of their three-legged retirement stool. It's 40% of retired Americans.

It's harder to point the finger of blame at someone who fucked it up when they're keeping company with 40% of their working/retired peers.

r104 Really?

[quote]Florida isn’t cheap anymore.

But it's still tacky.

I think a big lesson here is long term care insurance. Had her husband had it, they probably would have been able to afford a caregiver other than her, she wouldn't have had to retire so early, and maybe the hit to their savings wouldn't have been so bad had the LTC been able to pay for some of those medical expenses.

She should absolutely get out of that mortgage and house and into something smaller that is paid for, if she can swing it. Or senior housing.

I was in a 16 year relationship with a spendthrift. 50 pairs of jeans that he never wore, valet parking everywhere, 150 dollar dinners. He was making more money than me but he was spending it at such a fast rate I knew disaster would one day catch up with him and it did. Today, he can't even afford his dog's veterinary bills. Fortunately I got out of that deal in time to have financial sanity all around me and he hates me now for being comfortable. I wonder if he regrets the times he gave me shit because I refused to spend at the same rate as he.

[quote] long term care insurance

Is ridiculously expensive. My mother had both Kaiser insurance and Medicare, neither of which paid for long term care. She worried until her death at 87 that she would need assisted living which she couldn't afford. Both my parents were frugal and hard working, nothing like the clueless couple in the article.

as i said...she should be getting dead hubby's ss also.

i bet she did not include that.

First world problems. She could live like an absolute Queen on that much money in a hundred countries.

I had to mortgage my kidney for some couscous.

I don't think you can collect two SS checks. She can take her dead husband's SS if it's more than hers but she gives up her check.

^Yes, that is correct. My mom was receiving survivors benefits on my Dad's SS which was the higher amount at the time until she reached full retirement age and could collect her SS, But she wasn't allowed to double dip and get both at the same time.

[quote]I think a big lesson here is long term care insurance.

I know a number of elderly folks who had to give up the LTC policies they'd paid into for years because the premiums just kept going up and up, and they couldn't afford them anymore.

Valet parking?! Why the nerve of that bastard!

How is it that American insurance for health and long-term care is designed to grow absurdly more expensive the closer one might come to needing it? And how using medical insurance to pay for one's medical treatment is cause for ruinous rate hikes or policy cancellation?

Anyone can understand that taking a long term care policy in your 40s would be much cheaper than in your mid-sixties, but other countries don't allow for the kind of thinning of high-risk customers after years or decades of paying policy premiums against once distant chances.

R121 you’ll never be hired as an actuary…or anything having to do with basic arithmetic.

This thread has depressed me greatly. I'm 41 and divorced, have a couple hundred thousand in retirement savings, but I probably won't be able to afford a mortgage until I'm in my 60's the way it's going. I should've stayed with my ex husband. I guess it's a cruise around the world and assisted suicide for me.

P.S. private insurance in the rest of the world works just like the U.S.

R123 cash gifts to your friends, but skip the cruise…spend every last cent on crazy shit charged to credit cards…enjoy and then die knowing all of that debt will be written off.

R123, things can turn around. I was about you were financially, but found a partner and better jobs and a house when I was 45. I’m now 53 and my financial picture is far far better.

No,, R124, the whole world doesn't do just like the US does in private insurance.

So you fucked your way to a half-decent retirement?

R127 please name a single country that does not use the same actuarial concepts/math as the US. TIA

R103, I belive the homestead exemption R83 refers to is one that some states offer to seniors or disabled people. Claiming a homestead exemption reduces property tax liability in those states. R83 makes perfect sense.

R103

Hey - you seem friendly.

A homestead exemption limits the amount your property assessment increases each year, which is what property taxes are based on. In Travis County - yes! In Texas! A homestead exemption limits this increase to 10%.

Does that make sense to you now?

R106 There is a profound housing crisis in Ireland, especially Dublin. Good luck w/that.

It is a potential, not actual, exemption. And it does not apply to the full amount of the collective levy imposed by all jurisdictions. Does that make more sense?

If R123 already has "a couple of hundred thousand" in a 401K at the age of 41, he's in better shape than most. If he keeps investing and keeps the investments conservative, he should have a decent portfolio by full retirement age.

R86, social Security benefits are averaged over the income you earned in your lifetime. I know a guy who is in his early 60s who spent 10 years in his 40s living in a radical faerie commune. He earned barely any money during those 10 years. His Social Security benefits are considerably less than someone else who consistently worked during all that time of the same age.

If he is in his early sixties and claiming Social Security, that’s another reason his benefits are lower. Plus, the benefit is based on the best 35 years of earning relative to the cap, so taking 10 years out AND retiring early magnifies the impact of non-working years.

R136 he’s not claiming them, he checked his account and that’s how he found out.

My dad always paid cash for everything he bought...his cares (modest nissans) his co-op

I learn to do the same. I bought my $230k home outright. It was what I could afford and gave me enough, just enough to out away incase I needed to fix something This home is very cheap to run...Taxes are under $600 and my gas and electric never when higher than 4112 even in the hottest or coldest time of the yr.......Hopefully Ill be able to keep it until the day I die...Im almost 70

r138, Too bad you can't afford punctuation.

Punctuation only takes credit cards.

Which brand of cat food tastes best?

[Quote] his cares (modest nissans) his co-op

Witnessing a stroke as it occurs is fascinating

I've been paying a few hundred extra on my mortgage for years, so my 30-year mortgage will be paid off in 20 years right about when I will start collecting SSI.

I was fortunate to get a mortgage back when they were 4%, refinanced from 6.25%, which has also worked out well.

Spending a few hundred extra each month to pay down the mortgage, rather than going out to dinner or pissing it away on designer crap, has turned out to be one of the better decisions in my financial life.

I’m not sure you know what SSI means. It doesn’t mean basic Social Security.

sorry R139 new Abilify user here

R144 he meant to put SSRI, but that stroke . . .

R86 -

"The absolute maximum Social Security benefit in 2024 is $4,873 monthly, more than double the estimated average of $1,907 retirees receive across the nation as of January."

He was above average, sadly.

Don't say you weren't cautioned, kiddies, and start saving your pennies for that day when you realize SSI will not be covering your whole rent. Now!

Again—learn what SSI means. It doesn’t mean basic Social Security. Few people will ever get SSI.

Geez, calm down. I made a mistake typing.

SSI is not the standard Social Security - I know.

How many times do someone need to point that out.

Then again, I am going to have a paid off home, close to the maximum social security benefit paid, and a nice retirement nest egg, even if I'm too stupid to live and typed "SSI" by accident.

My pension and SS is 3500. a month. My partner and I split rent of 2000. Our place is owned by a friend to whom we provide dog walks walks, daycare and boarding. Our rent is raised 50. every five years. No upkeep on the place, which is lovely and nicely furnishe. No cars--subsidized public transportation, city subsidized car rental and Lyft in urgent situations. Entertainment is about a half dozen premium streaming channels subscribed to at bargain rates. My partner goes to the theater and restaurants. I am fine with that as I am on chemo for cancer and do not want to be around crowds. We spend a lot on the best food, go frequently to ethnic markets and are both great cooks. Even with a shitty Medicare Advantage policy, my medical bills are capped at 4k with medical bills of 250k. I paid them immediately, have no other debt and don't use my credit card. My credit rating is 790, Use the library of ebooks. I wear inexpensive, casual clothes all day although I have nice clothes for when I need them.

So it's a simple life and the not the fabulous retired life of traveling around the world, going to the theate every week and dining out several times a week. It works for me. Even with cancer, I'm perfectly happy and completely comfortable. I don't think about what I can't have or want things beyond my means. I am grateful for little things every day like hearing from old friends or seeing my garden bloom.

Admittedly, if I am profoundly disabled, none of this applies. You have to be prepared for this eventuality.

I don't own real property and am not sure that I ever will.

Continuing: If we couldn't afford our dogs, I would be miserable and some friends from years back clearly look on me as a loser for not living at my former lifestyle. I was angry and hurt, and now I accept that they're on different paths, and I have other friends to take their place. Before you downshift, figure out what's important to you. I could never be happy without a good mattress, my dogs, the full complement of kitchen equipment, good second-hand exercise equipment, decent electronics,a really pleasant shower. My partner must have his garden, theater, etc I would love a wide-screen TV but my partner refuses to let me buy one until our 42-in. screen conks out. He's very wedded to a simple lifestyle, too.

R151, sorry to hear about your cancer. Sounds like you are still enjoying life. My lifestyle sounds similar. Mostly frugal with a couple of splurges.

Ditch the pets to save money as needed.

R147, that average is skewed by people who worked part-time, or worked only part of their adult lives. In particular, there are many women collecting SS who did not work for many years when their children were growing up. The average is also skewed by people who retire before full retirement age and thus voluntarily take reduced benefits.

To do a fair assessment of Social Security as a pension system, you would have to look at the average benefit received by people who worked full-time and paid into SS throughout their adult years.

If she sells her house, how will she qualify for senior subsidized housing? Isn't is income and asset based?

R157, surprisingly no (at least not in Maryland and Pennsylvania, where I've looked - but I think it's a Federal law).

It's not like Medicaid, where you have to "spend down". They count only income, not assets. You can have a lot of money in a 401K, for example, but if you're not taking regular, scheduled distributions, it doesn't count toward your qualifying income.

[quote] It's not like Medicaid, where you have to "spend down".

I was surprised to find out that here in California they only count income not assets even for Medicaid, where it's called Medi-Cal. And it's better coverage than Medicare, no deductibles.

if you are on the "edge" in your elder years, i suggest you move to a county with ample senior services. in my state each counties' available services vary wildly.

I think it's really helpful to give up the dream of retirement as an eternal vacation if you were not a high earner or didn't plan sufficiently. The Florida woman's income is a struggle but she can't accept that she needs food banks and different living conditions. I can't imagine she has many marketable skills. Maybe she can walk dogs.

Someone mentioned "Golden Guys." I have a partner. Living with other people when you retire gives you a built-in social life and reduces utilities, food expenses and household errands. Social contact and pets are essential for combatting loneliness. Keeping physically fit is important and a good way to see daily or weekly progress.

The great advantage of even a frugal retirement is that your time is your own and you're not performing a job you're bored with and don't particularly like. You can get involved with causes you care about and take up interests you never had time for. Obviously, this doesn't apply to expensive hobbies like skydiving but you can find a lot to do.

People have touched on the issue of spiraling illnesses devouring savings and exhausting caregivers, Boomers need to raise this issue.

Silly article that does not come close to describing the best way to prepare for retirement social security is part of an equation. It was never envisioned to be the sole source of retirement income. .

Neither of them seem to be starving.

Eating cheap processed foods will do that...

It isn't rising inflation that's her problem, it's trusting that idiot of a husband to make good choices. She could get out from under the mortgage and find a private 55+ apartment--it'll be small, but livable. She could work part-time.--she seems able and 71 doesn't have to be ancient.

[quote] Someone mentioned "Golden Guys." I have a partner. Living with other people when you retire gives you a built-in social life and reduces utilities, food expenses and household errands. Social contact and pets are essential for combatting loneliness. Keeping physically fit is important and a good way to see daily or weekly progress.

That was me, and exactly what I was thinking. Right now I work full time and really appreciate my alone me time. But once I'm no longer working, I don't want to be sitting at home by myself day after week after month.

R10, If you can get the right people, definitely go for it. Being isolated as you age is not a good idea. Of course, people can live alone and not be isolated, and roommates can be a massive pain. Maybe you have a longtime friend who's willing to try this with you and help you figure it out and bring in other people. The cost savings alone is huge. Good luck.

Thanks, and yes, I have several gay friends around my age (give or take 5 years) and we all have the same idea. I wouldn't want to try this with strangers once I was in my 70s or older.

[quote] It isn't rising inflation that's her problem, it's trusting that idiot of a husband to make good choices.

How true. A typically pathetic piece of journalism. Her only source of income (Social Security) is indexed for inflation and her primary expense (her mortgage) is unaffected by inflation. Yet this journalist is desperate to torture this particular human interest story into a commentary on the topic du jour of inflation.

The article also never manages to clarify the status of their savings history. It mentions a vision of $1 million in savings but indicates elsewhere that the couple only put aside enough for occasional trips and that she currently has nothing. The $1 million goal seems about as relevant to her current situation, and therefore this article, as any dreams she might have had as a young person of having a lucrative film career or of founding a profitable tech company.

All that we can glean is that she and her husband were relatively low earners (given the amount of Social Security she received) and that they probably overspent on consumption and property.

Oh look, now she's going to get it, maga bitch should drown, I love when the idiots in FL have to struggle due to hurricanes.

[quote]“I thought my 60s were going to be my golden years. I would watch commercials, and all I saw were people on trips to Cancún or golfing or sitting by the pool. I couldn’t wait,” said Haverfield, 71, of rural Alva, Florida.

This only tells me she's very gullible if she believes those commercials.

Thoughts and prayers for her. She needs them desperately.

What are those commercials? Based on what I see, I'll be an incontinent person with a reverse mortgage and a gold hoard.