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

"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."

"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 checks to these expenses."

"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."

Retirees face significant financial pressure from three primary expense categories that collectively consume roughly three months of their Social Security income. Unexpected maintenance and repairs for homes and vehicles average $2,400 yearly, while out-of-pocket healthcare expenses typically reach $2,000 annually despite Medicare coverage assumptions. Additionally, many retirees spend approximately $1,700 per year assisting family members, particularly adult children. Combined, these three expenses total around $6,100 annually, substantially impacting seniors who receive an average Social Security check of $2,071 monthly. This financial reality underscores the importance of retirement planning beyond Social Security benefits alone.

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