12 hard truths about retirement
Most of us spend decades working, dreaming of the day we can retire. But when we finally arrive at our post-work destination, it’s not uncommon to find ourselves in a world of surprises.
While some of these revelations can be pleasant, others are more sobering. Knowing what to expect ahead of time can help you prepare for – and adapt to – life in your later years.
Here are some hard truths you should know before you retire.
1/ Medicare won’t be free

After all those years of paying Medicare FICA taxes, you may be dreaming of the day when Uncle Sam takes over your medical care. But it’s not a dream – it’s a fantasy.
Alas, you’ll have to pay for the federal health insurance program for people age 65 and older. Medicare Part A (which mainly covers hospitalization costs) is indeed free for most people. But you’ll have to pay a premium for Medicare Part B (outpatient services) and any supplemental insurance you choose to buy.
And don’t think that deductibles, co-pays and co-insurance will be a thing of the past, because they will continue to exist.
2/ Social Security won’t go very far

Millions of Americans take Social Security the cornerstone of their retirement. Among older retirees, 21 percent of married couples and about 45 percent of unmarried people rely on Social Security for 90 percent or more of their income, according to the Social Security Administration.
These numbers are surprising, however, when you consider that the average retiree’s monthly Social Security benefit is $1,544, or just $18,528 a year. You can get by on such a modest sum. That’s what millions of American retirees do. But do you really want it?
3/ You’ll wish you’d saved more

When you’re in your 20s and 30s, retirement seems a million years away. Even at age 40 or 50, you may think you have a lot of catching up to do.
While it’s never too late to save for your golden years, there’s a good chance that once you retire, you’ll wish you’d saved earlier and more often.
In fact, a Global Atlantic Financial Group survey found that 36% of retirees regret not saving more for retirement.
Matt Stephens, an advisor at AdvicePoint in Wilmington, N.C., told Reuters of the retirees he advises:
“The biggest regret I hear over and over is that they didn’t start investing sooner.”
4/ Housing will remain your biggest expense

Many retirees dream of paying off their mortgages so they can be free to spend money on travel and other activities. But the reality is that housing will likely remain the biggest expense in your budget for as long as you live.
U.S. households headed by someone 65 or older spent an average of $17,472 on housing in 2019, as we detail in “Here’s How Much Retiree Households Spend in a Year.” That’s easily more than these households spent in any other spending category.
5/ Your dreams may not match reality

It’s fun to imagine retirement as an endless loop of trips to Europe and leisure outings with new friends. But once you reach your golden years, things will likely be different, according to findings from the Society of Actuaries.
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When pre-retirees think about retirement, they imagine they’ll. :
Exercise: 88%.
Visit their children and grandchildren: 79
Pursue hobbies: 76%.
Travel: 74%.
Participate in social activities: 69
However, the reality of retirement is different. Here are the percentages of retirees who actually engage in these activities:
Exercising: 68%.
Visiting children and grandchildren: 65
Engaging in hobbies: 54%.
Traveling: 58%.
Participating in social activities: 49
6/ You may spend more than you planned

The Global Atlantic Financial Group survey found that 39% of retirees spend more in retirement than they planned before leaving work.
That reality means your retirement dreams may need some tweaking once you enter your post-professional life, says Paula Nelson, president of retirement at Global Atlantic, in a press release:
“Many Americans are adjusting their lifestyles and cutting back on spending once they see how quickly costs can add up in retirement.”
7/ Divorce will be a serious threat

In the past, retirees were expected to stay married until death do them part. But that’s no longer the case. The divorce rate among those over 50 has roughly doubled since the 1990s.
This phenomenon – known as “gray divorce” – is largely due to the aging of baby boomers, who were much more likely to have already divorced than couples in previous generations, according to the Pew Research Center. The organization concludes:
“Their marital instability earlier in life is contributing to the increased divorce rate among adults age 50 and older today, since remarriages tend to be less stable than first marriages.”
8/ You might not work – even if you planned to.

Among pre-retirees, 72% say they want to work in retirement, according to findings from “Work in Retirement: Myths and Motivations,” a joint study by Merrill Lynch and Age Wave.
However, far fewer do. According to an Allianz Life study, only 7% of retirees actually work, even part-time, during retirement.
9/ If you’ve never volunteered before, you won’t start in retirement

About 90 percent of Americans say they would like to volunteer for a person or cause that needs their help, but only 25 percent actually do, according to the Stanford Center on Longevity.
When asked why they don’t follow through on their desire to help, Americans most often cite a lack of free time. Yet retirees – who have plenty of free time – don’t volunteer more than working people.
And of those who did not volunteer during their working years, only one-third finally do so during retirement.
10/ Retirement can be especially lonely for single men

In some ways, retirement is more difficult for women. Because they live longer than men, they will have to stretch their nest egg over a longer period of time. To make matters worse, women generally leave with less retirement savings than men.
But single women have one big advantage over their male counterparts: They are less likely to be lonely.
According to an analysis of survey results from the Pew Research Center, only 48% of retired men living alone say they are very satisfied with the number of friends they have.
In contrast, 71% of women living alone are satisfied with the number of friends they have.
11/ Health problems will probably catch up with you

Retirement is supposed to be a time of relaxation. But the truth is that quitting work is more closely linked to increased illness.
According to a study by the Institute of Economic Affairs, retirement increases the risk of clinical depression by about 40 percent and the risk of having at least one diagnosed physical illness by 60 percent.
These sobering numbers underscore why many people preparing for retirement would be wise to open a health savings account and put as much money into it as possible, assuming they are eligible.
12/ You may be disappointed – at first

According to a Nationwide Retirement Institute survey, nearly one-third of new retirees – 28% – say life is worse in retirement than it was during their working lives.
But hang in there. As your retirement progresses, you’re likely to feel happier. The Pew Research Center found that 45% of adults age 75 and older feel life has been better than expected.
Only 5% say it has been worse.