We often assume that once we retire, our monthly income becomes a fixed and reliable number. We spend years calculating our Social Security benefit down to the exact penny. However, the amount deposited into your bank account rarely matches the gross amount on your award letter. There are numerous invisible hands that reach into your check before the Treasury Department sends it.
These deductions can fluctuate year to year, causing your net income to drop unexpectedly. Many retirees are blindsided when their deposit shrinks despite a Cost-of-Living Adjustment (COLA) increase. Understanding these triggers is the only way to budget accurately for your fixed expenses. You cannot spend money that never actually arrives in your checking account. Here are the seven most common reasons your monthly deposit might shrink without warning.
