K(e) - 55+ Spending Flyer

HOUSEHOLD SPENDING
AGE 55 AND OVER

2018 Consumer Expenditure Survey
As household members age, understanding spending patterns in
later life is crucial in evaluating financial security in retirement.
Average Income and
Spending Decline with Age
Annual income before taxes
Average annual expenditures

$100,000

55 years and over

Housing

$80,000

$40,000

AF
T

$18,632

$60,000

32.4%

Transportation

$20,000

$8,621

55-64
years
$120
$100
$80
$60
$40
$20
0

75 years
and older

Apparel
Transportation

D

Apparel and
transportation
spending
declines after
age 45.

65-74
years

R

$0

Percent of
Household
Budget

Average
Annual
Expenditures

45-54
years

55-64
years

65-74
years

75 years
and older

Percent of Annual Budget Spent on
Health Care Relative to Age 16.0%
11.9%

15.0%
Food
12.6%

$7,223

Health Care
$6,350

11.1%

Entertainment
$3,300

5.7%

Apparel and Services
$1,480

8.7%
6.1%

2.6%
Other

Under
55 years

55-64
years

Form No. CE-200(d)(2020)

65-74
years

75 years
and older

$11,815

20.6%

Source: 2018 Consumer Expenditure Survey

Bureau of Labor Statistics
U.S. DEPARTMENT OF LABOR

bls.gov/cex