Core Insights - The average Social Security paycheck for retired workers is slightly over $2,000 monthly, which may not be sufficient for a single income retiree to cover living expenses [1] Group 1: Housing Costs - Housing is identified as a significant contributor to the high cost of living, and downsizing or house sharing can be effective strategies to stretch Social Security benefits [3] - The median monthly mortgage payment is reported to be $1,500, and paying off a mortgage before retirement can lead to substantial savings [4] Group 2: Fixed Costs Management - The average annual spending for individuals aged 65 and older is approximately $60,000, equating to $5,000 monthly, although retirees may spend less [5] - It is advised to focus on controlling fixed costs, which include housing, utilities, insurance, and debt payments, as managing these can help with overall budgeting [6] Group 3: Healthcare Planning - Most individuals become eligible for Medicare at age 65, but additional insurance may be necessary depending on health needs, which can be expensive [7] - It is recommended to shop around for more affordable healthcare plans, especially with upcoming changes to Medicare Advantage plans, as even small savings can be beneficial for those on a tight budget [8]