Suze Orman: Here's The One Expense Retirees Must Eliminate

As retirees navigate life on fixed incomes, budgeting becomes crucial.

Suze Orman, renowned financial advisor and host of the "Women & Money" podcast, has identified one key expense that retirees should eliminate to maintain financial stability: dining out. David Shankbone / Wikimedia

Orman emphasizes the importance of distinguishing between necessities and luxuries in retirement.

She advises, "For you to have money, you have to learn to live below your means but within your needs." Magda Ehlers / Pexels

The financial guru elaborates on this concept: "What is a need? Need is food that you buy at a grocery store. What is a want? A want is going out to eat at a restaurant and doing it over and over again." Pixabay / Pexels

While her advice targets retirees, Orman believes that reducing or eliminating restaurant meals can benefit everyone's financial health.

She points out that dining out is the primary cause of credit card debt for many individuals. Pixabay / Pexels

Recalling a 2010 appearance on "The Oprah Winfrey Show," Orman shared, "I said that if you want to save money, try not eating out for six months."

Orman reports that numerous viewers later contacted her, saying, "Oh my god, Suze, we've saved so much money." Harpo Productions, Inc. / Oprah Winfrey / Wikimedia

Orman says she practices what she preaches, despite her substantial wealth.

"I'm a very, very wealthy woman," she admits, "and the very last thing I would think about doing is going out to eat." Kate Trysh / Pexels

Financial experts often recommend that retirees create and stick to a budget, focusing on essential costs like housing, healthcare, and groceries.

Cutting non-essential expenses like restaurant meals can provide a financial buffer, allowing retirees to allocate more funds to these crucial areas or to savings for unexpected costs. Karolina Kaboompics / Pexels

As the cost of living continues to rise, Orman's advice serves as a reminder that small changes in spending habits can lead to substantial savings over time, contributing to a more secure and comfortable retirement. olia danilevich / Pexels

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Suze Orman: Here’s The One Expense Retirees Must Eliminate