The average retired worker receives about $18,276 from Social Security annually, according to the Social Security Administration. It’s not a small sum, but it’s also not enough to cover most people’s retirement expenses. Retiring on Social Security alone may be possible for some, especially if they have a spouse who is also receiving benefits, but before you decide to chance it, consider the following drawbacks to doing so.
Social Security was only designed to replace about 40% of pre-retirement income for average workers, though the Social Security Administration doesn’t indicate what average earnings are. While many retirees find they’re able to get by on less money in retirement than they needed in their younger years, living on 40% of what they’re used to can be a tall order.