By their early 80s, many retirees expect their budgets to shrink as travel slows and their needs diminish. But for affluent retirees, the story is often very different. Healthcare costs rise, long-term care becomes more likely and maintaining a comfortable lifestyle keeps expenses elevated.
According to the 2024 Consumer Expenditure Survey, households headed by someone 75 or older spend about $53,031 annually — roughly $4,400 per month. However, according to Linda Jensen, a retirement planning expert and founder of Heart Financial Group, affluent retirees often spend double or more, with budgets ranging from $8,000 to $ 10,000 or more per month, depending on location, health and lifestyle choices.
