Social Security at 65: Average Monthly Benefit and How Yours Compares

The Social Security Administration reports the average Social Security benefit at age 65 is $1,583 per month. Fidelity reports an average 401k balance of $252,800 for people ages 65 to 69, which the article notes would yield about $10,100 in a first-year withdrawal under a 4% rule.

Many people turning 65 rely on Social Security and retirement savings to cover living expenses. The article reports the average Social Security payment at age 65 and notes typical 401(k) balances for older savers. Financial advisers quoted in the article describe common measures retirees use to stretch limited resources. Key figures: - The average Social Security benefit for people at age 65 is reported as $1,583 per month, according to the Social Security Administration. - The article reports gender differences: an average of $1,756 per month for men and $1,426 per month for women. - Benefits received at age 65 are reduced relative to full retirement benefits; the article notes age 65 payments equal about 86.7% of the full amount, and that the full retirement age is 67 for people born in 1960 or later; the average monthly benefit for a retired worker is reported as $1,976. - Fidelity is cited for an average 401k balance of $252,800 for people ages 65 to 69; applying a 4% withdrawal rate is reported to produce about $10,100 in the first year, or roughly $800 per month. - Combining average Social Security and a modest 401k withdrawal is reported to yield roughly $2,400 per month, and advisers in the article discuss options such as downsizing, relocating, part-time work, or reverse mortgages as ways some retirees manage income. Summary: Taken together, the reported figures show many people at 65 receive modest monthly income from Social Security combined with limited retirement savings. The article presents advisers' observations that some retirees in lower-cost areas can manage on those amounts while others face tighter financial choices. Undetermined at this time.