How to Retire on Social Security Alone

Reader Comments
Back to article

Can you think of foplks retirring with HMo in south florida on two 65 years age salary only We have had to stop some of our credit crards because my has MS can't work in wheelchair 24/7 so i take care of her it a shame that's not considered as a job eventhou i do it becsuse I love her E A

eloy of FL 4:47PM July 15, 2011

My husband and I are retiring this year. He has VA for his medical but I have to pay for mine as I am not 65 yet and doesn't it cost for Medicare when you reach 65? This is so confusing. I don't know how seniors make it.
Worried in Seattle, Washington

Mel of WA 11:30PM June 29, 2011

All of these places identified are university towns. If you factor in the annual income of students, of course the median income for the community will be lower. Many of the towns have a high cost of living. This is skewed data.

LuAnn of MI 8:30AM June 24, 2011

Most of you don't realize that a new expense comes into play when you retire. This expense is health care. Health Care is the largest expense in retirement seeing as Medicare only covers roughly 51% of actual costs.
The out of pocket money that people will have to pay is outrageous and yet nobody is discussing this.
My firm, HealthView Services, specializes in defining what retirees will have to pay for out of pocket health care costs. Here is an example:
Joe is 55 years old. He's Healthy. Wants to retire at 65 with full medical coverage (Med A, B, D, Gap, Dental, etc.). He expects to live to 90. Based on actuarial data, he can expect to pay about $420,000 over the course of his retirement. That is $1600/month for 25 years!
Instead, people are talking about the cost of food, vacations, taxes, etc.
This needs to be on the forefront of retirement planning!

Mike of MA 12:08PM June 16, 2011

You can find 10 places to Live on Social Security alone on http://overseas-retirement.com.

George B of IL 10:31AM June 08, 2011

Good article. Never figured that there were ANY places in the USA where you can comfortably retire on Social Security alone, and that the only places where you can do this I figured was overseas (where there are some very cheap places to retire, and you can live on your Social Security Check alone quite comfortably). The average Social Security payment is about $ 1200.00 a month, which in many places in the USA will not even pay for basic rent.
Given that I am nearing 60, and given that my primary source of income is a disabled Veterans pension of about $ 1500.00 a month after I do stop working (since I have worked overseas virtually my entire life, I have not accumulated that many Social Security benefits), it is refreshing to know that there are still places in the USA that you can relatively comfortably live on that income.
Probably, my three favorites on your list are Cheney,WA, Syracuse NY, and finally Mt. Pleasant MI. Two of them are college towns (Syracuse NY and Cheney, WA) which will allow to keep your mind occupied by college courses, and in the case of Cheney, WA and Syracuse NY are relatively close to the mountains.
Cheney, WA does have its benefits for me which includes low property taxes, a low crime rate, and access to VA Health care in nearby Spokane which I depend on to treat my Service connected disability. The minuses of Cheney, WA is the relatively high Sales Tax rate (WA state does not have a state income tax, so they must make up their revenue through Sales taxes which are close to 9 percent in Spokane County), relatively high housing prices for retirees, and relatively high costs of private medical care. And if you want to work in the area,, don't expect more than a near minimum wage job (if you can even find one), since the Spokane area is a low wage mecca.
I do not know that much about the other two places on my short list, but I will do some more research on these places in the days to come.
All in all, the article was a very good one. I also suggest that you put out an article about the 10 worst places where you CANNOT retire on a Social Security check alone. Probably places like NYC and LA would make up that list due to the very high cost of living there, but I would like to see the other eight. Good luck.

Henry G. Huestis of WA 12:21PM June 02, 2011

I, would like to know the 10 best places to reire on social security alone. I, went thru all of the article on this subject but did not find the 10 places. Where do I, find this article.

Terry Moore of UT 5:06AM June 02, 2011

Pay off your student loans early. Pay off your cars early---don't go buy another expensive new one---if it needs replacing, buy a a good used one. Pay off all credit card debt and don't make new ones. Try to cut your bills, assess whether you really need those luxuries. NEVER go into debt for any vacation, wedding, kids college (they should have scholarships or else work their way through in a state college), buying a tv, diamond ring, expensive holidays, or anything else, other than income producing property or investments. Number one requirement to be retired: Pay off your house, or downsize to one with very low payments and low upkeep and utility costs. Debts---pay them off!~! Then you might be able to retire on time. You may be able to save towards retirement.
I cannot fathom why a 50 + year old has $20,000 in college loans still. Unless he went to school at an older age, it should have been paid long ago. And don't sign for your kids---let them make their own college loans or work. And repay them as well!

Cathy of AR 1:36PM May 17, 2011

Many retiring people who have worked all of their lives have earned, and managed to live on, modest incomes. I found myself smiling with recognition at money saving suggestions such as free concerts, public libraries, and coupons at Olive Garden -- I've been doing that all of my adult life, not out of a desire to win a frugality contest, but out of a need to exist within my earning limits! I'm often amused when I read articles expressing dismay that too few boomers have saved enough for retirement. Consider that a lot of us earned very modest wages throughout our lives because the work we chose simply didn't pay well (think social workers, secretaries, tellers, home health aides, to name a few). In order to save money, you need to earn more money than you need to just get by from paycheck to paycheck. Factor in other factors such as medical costs, lay offs, tough breaks and a host of hardships and, often, whatever was saved was easily wiped out. Again. So pardon me if I'm feeling a big smug about having already rehearsed how to live on social security alone -- I've earned that status!

Kathleen Adler of WI 6:17PM May 16, 2011