Helloenglish.top
Finance

Suze Orman Warns Average Retiree Faces Surprise Expenses That Eat Up 3 Months of Social Security Checks

March 09, 2026 • 5 min read • views
Suze Orman Warns Average Retiree Faces Surprise Expenses That Eat Up 3 Months of Social Security Checks
Suze Orman Warns Average Retiree Faces Surprise Expenses That Eat Up 3 Months of Social Security Checks Christy Bieber Mon, March 9, 2026 at 10:35 PM GMT+8 4 min read

Quick Read

  • Suze Orman warned about three major expenses retirees need to be prepared for.

  • The average retiree could end up spending around three Social Security checks on healthcare, helping family, and repair and maintenance expenses could

  • Retirees need a plan to cover these costs.

  • The analyst who called NVIDIA in 2010 just named his top 10 AI stocks. Get them here FREE.

Most retirees depend on Social Security as an important part of their income. Unfortunately, these benefits don't go nearly as far as many people think. In fact, finance expert Suze Orman recently issued some stern warnings about how much of the typical Social Security check gets eaten up by just a few big expenses many seniors face.

Based on Orman's data, the average retiree actually ends up spending around three months' worth of their Social Security checks just on three costs alone.

READ: The analyst who called NVIDIA in 2010 just named his top 10 AI stocks

Here are the big expenses retirees get stuck with, along with some tips on how to make sure you are prepared for these expenses so they don't leave you broke during your golden years.

Suze Orman warns that these three expenses come at a huge cost

According to Orman, three huge expenses that often catch retirees off guard include:

  • Rainy day expenses: Orman explained that retirees typically spend around $2,400 per year on "unexpected" yet inevitable "surprise" costs. She gave examples of things like maintenance and repairs for homes and vehicles.

  • Healthcare: Medical care is, unsurprisingly, a big expense for seniors. Orman said out-of-pocket medical expenses typically average around $2,000 per year, despite the fact that many retirees assume Medicare is going to cover all of their costs. Some other experts have put this number even higher, especially for retirees who have high prescription drug needs.

  • Family assistance: Many retirees help other family members -- often, adult children. Orman said that the average retired household ends up devoting around $1,700 per year to these costs.

Collectively, when you add up just these three big expenses alone, this leaves retirees spending around $6,100. Since the average Social Security check in 2026 comes in at $2,071 among all retired workers, according to the Social Security Administration, seniors who spend the average amounts cited by Orman could end up devoting a total of around three of their annual retirement benefits to these expenses alone.

That's a quarter of all of the Social Security checks that seniors get during the whole year.

Story Continues

Retirees need to be prepared with money to supplement Social Security

An older white couple, appearing concerned, sits at a wooden kitchen table reviewing papers. The woman on the left wears a beige cardigan, and the man on the right wears a blue collared shirt and glasses. On the table are Social Security documents, a stack of US dollar bills, and a tablet displaying a 'SOCIAL SECURITY' graph with a red arrow showing decline. A disposable coffee cup and crumpled paper are also on the table, with a kitchen and a window to a street visible in the background. 24/7 Wall St. · 24/7 Wall St.

Of course, you do have the option not to spend money on some of these things. You don't necessarily have to help out your family members, for example. But many people do want to help their kids, especially during times of economic hardship.

And, some of the costs on Orman's list, like healthcare and car repairs, typically aren't really optional for retirees who need medical services or who have aging homes or vehicles that they are living in or need to use to get around.

The fact is, Social Security benefits simply cannot cover everything that seniors need to pay for after they have left the workforce. Having additional income coming in from savings is a key part of making sure that retirement is financially comfortable and that seniors aren't left struggling with bills they can't pay.

If you are preparing for your retirement, you need to keep in mind that there are plenty of big expenses you'll continue to be responsible for covering when your paychecks have stopped. You should invest for retirement as early as you can so you don't have to worry about where the money comes from, and you should consider working with a financial advisor to figure out how much money you will need in retirement and where those funds are going to come from.

The analyst who called NVIDIA in 2010 just named his top 10 AI stocks

Wall Street is pouring billions into AI, but most investors are buying the wrong stocks. The analyst who first identified NVIDIA as a buy back in 2010 — before its 28,000% run — has just pinpointed 10 new AI companies he believes could deliver outsized returns from here. One dominates a $100 billion equipment market. Another is solving the single biggest bottleneck holding back AI data centers. A third is a pure-play on an optical networking market set to quadruple. Most investors haven't heard of half these names. Get the free list of all 10 stocks here.

Terms and Privacy Policy Privacy Dashboard More Info

Related Articles