They don't have to work, social security pays for everything, and they don't spend much money. Not according to STA Wealth Management's Mike Smith. He says many retirement age couples have real problems.
“The biggest problem is that they took their Social Security too early – at 62 or so. It’s better to wait because the payoff increases every year you don’t take it --- all the way to 70!”
And medicare pays for most of the health care bills...right??
Says Smith,” From 65 to death most Americans spend hundreds of thousands in health care bills. And that’s doesn’t include any long-term care. That is the biggest thief of a retired person’s funds.”
And how do couples who didn’t plan well enough live? “On credit cards” answered Smith.
His advice, even if you're already over 50: Get long term care insurance, stay away from credit cards and dial down your discretionary budget. Take Social Security as late as you can and talk to a financial advisor to make a plan soon.