social security income and expenses worksheet

Still, it’s a good idea to dedicate as much as you can to food and housing. If your annual benefits equal the national average of $1,619.67 a month or $19,436.04 a year, that means 60% of your Social Security check - which comes out to $11,633.83 annually - won’t be enough to cover the expenses above. You should try to allocate about 60% to 70% of your annual Social Security benefits to pay for these expenses, though that won’t be possible for many retirees. According to the BLS survey, people 65 and older spend an average of the following amounts on food and related housing expenses a year: Use the benefits to pay for regularly occurring expenses such as housing costs and groceries. Leonard Hayduchok, CEO and president of Dedicated Financial Services, suggests treating your Social Security check as you would a paycheck. Next, it’s time to allocate your Social Security benefits.

Keep reading to learn more about what you should do with your Social Security check. That’s why it’s important to carefully budget and spend your benefits wisely. Still, you don’t want to blow through your Social Security check. If you plan to rely on Social Security alone, you’ll quickly realize that this amount probably isn’t enough to fully fund your retirement lifestyle. But the average monthly Social Security benefit for retired workers is $1,619.67 - which comes out to only $19,436.04 annually. For many soon-to-be retirees, this means making a plan for their Social Security checks.Īmericans 65 and older spend an average of about $48,791 annually between 20 on essentials such as food, housing, transportation and healthcare, according to the Bureau of Labor Statistic’s 2019 Consumer Expenditure Survey.

Whether you’re 20 years old or 10 years away from retirement, it’s important to plan how you’re going to supplement your income and spend your money during your golden years.

Social security income and expenses worksheet