Hi friend,
There’s a version of retirement in the cultural imagination: house paid off, no debt, living comfortably on Social Security and savings. For a lot of people, that version never arrived.
If you’re carrying debt into or through your 60s, you’re not the exception. You’re the majority.
💳 One big idea: 62% of senior households carry debt
According to the NCOA’s analysis of Federal Reserve data, 62% of households headed by an older adult have debt, with a median balance of $34,000. And that’s just the median — many carry significantly more. Mortgage debt is the biggest category: 41% of homeowners between 65 and 79 still carry a mortgage. Medical debt affects 9% of older adults overall — and that number climbs to over 20% for those earning under $25,000.
Here’s the number that really puts it in context: just over 50% of Americans between 55 and 74 have any retirement savings at all. Only 42% of those 75 and older do. The other half are financing retirement on Social Security, family support, part-time work, and whatever they can piece together.
I’m not sharing these statistics to be discouraging. I’m sharing them because shame thrives in silence — and shame about money keeps people from taking the practical steps that actually help.
🌟 One win: Social Security is doing more work than most people realize
For a lot of people over 65, Social Security is the retirement plan — not a supplement to it. About 2.4 million older adults receive Supplemental Security Income (SSI), averaging around $575 a month. For tens of millions more, Social Security retirement benefits represent 50% or more of total income in retirement.
That’s not a failure. It’s the program doing what it was designed to do. But it does mean that maximizing when and how you claim Social Security is genuinely one of the highest-return financial decisions most people can make — and it’s worth spending time on before you file. Delaying from 62 to 70 can increase your monthly benefit by as much as 76%.
🎯 One thing to try this week
If debt feels like a private burden you’re managing quietly, try doing a simple honest accounting:
- List your debts, balances, and monthly minimums
- Calculate what percentage of your monthly income is going to debt service
- Ask: which one, if paid off, would meaningfully change your monthly cash flow?
Then look at your benefit eligibility. Some programs — including certain state property tax relief programs — can free up monthly cash that you can redirect to debt. BenefitsCheckUp.org is still the best free starting point.
Carrying debt doesn’t mean you’ve failed at retirement. It means you’re human, and you’re working with what you have. The next chapter starts from where you are — not from where you wish you’d started.
Age boldly, Robert
Sources: National Council on Aging, “Get the Facts on Economic Security for Seniors” (2024), citing Federal Reserve Survey of Consumer Finances; Social Security Administration, SSI data (2023).