Did you know that being retired doesn’t always mean you spend less money? This might sound odd to you as many people assume exactly the opposite. In fact, there are some things you’ll spend more on in retirement.
But to give you some context, data shows your retirement income should be 80 percent or more of your pre-retirement income in order to enjoy the same lifestyle as before. Though, it’s not a rule, as every person’s needs and desires vary considerably.
Also, based on the Bureau of Labor Statistics’ annual survey on the total amount spent by Americans, the average spending of a retired household is 25 percent lower than the average working household.
However, there are some things you’ll pay more for in retirement such as health care and travel. This being said, here’s a list of 10 categories where retirees are prone to spend more.