Here's the Average Monthly Retirement Income for 68-Year-Old Americans

At 68, you might be enjoying retirement, working part-time, or still bringing home a full paycheck. That's why comparing your income to that of other Americans your age isn't always straightforward. Still, knowing what other households bring in is a good place to start. It could also help you identify gaps in your retirement plan.

Here's how much the average 68-year-old earns each month, where that money comes from, and what you might do if your income doesn't cover your expenses.

What's the median and average monthly income at 68?

According to 2025 Census Bureau data, households headed by someone ages 65 to 69 had a median annual income of $71,400. That works out to $5,950 monthly. The average was considerably higher at $108,800 annually, or about $9,067 monthly.

The reason there's such a difference is that higher-income households push up the average. The median gives you the midpoint: Half of households earn more than $71,400 and half earn less.

Another wrinkle is that these figures also include people who haven't retired, as well as income earned by spouses and other household members. A single retiree collecting $3,000 monthly isn't necessarily worse off than a couple bringing in $6,000. Their expenses could look very different.

Where does retirement income come from at 68?

Social Security provides a substantial share of income for older Americans, but many retirees receive money from several sources.

• Social Security: Retired workers who were 68 in December 2025 received an average monthly benefit of $2,052.64. Men averaged $2,272.40, compared with $1,836.58 for women.
• Pensions: Traditional pensions are becoming harder to find in private-sector jobs. While 26% of Americans aged 65 and older received pension income in 2022, only 14% of private-industry workers had access to a defined-benefit pension as of March 2026.
• Retirement savings: About 16% of adults 65 and older received IRA income in 2022, while 10% received money from a 401(k) or similar account, according to the same Census report. Among those receiving retirement income outside Social Security, the median was $17,160 annually.
• Employment: Plenty of older Americans still work. Households headed by someone ages 65 to 74 averaged $32,898 in wages and $4,951 in self-employment income in 2024. Those averages include households with no employment income.
• Investments and rental property: The same survey found that households in this age group averaged $5,073 annually from interest, dividends, rent, and other property income.

These statistics cover different age groups and years, so they aren't meant to add up to the Census household median.

How much retirement income comes from Social Security?

For retirees without a pension or substantial savings, Social Security may need to cover almost everything. The 2026 Retirement Confidence Survey from the Employee Benefit Research Institute found that 92% of retirees receive income from Social Security, with 66% describing it as a major source of income.

Additionally, the 2024 Bureau of Labor Statistics data shows that households headed by someone ages 65 to 74 received an average of $31,347 annually from Social Security and private and government retirement benefits combined. That represented about 42% of their $75,460 average pretax income.

The BLS doesn't separate Social Security from pensions in that figure, but the numbers show how much retirement benefits contribute even when households still have earnings from work.

How much do Americans this age spend each month?

An income of $5,950 might sound comfortable until you start adding up monthly expenses. According to the BLS, households headed by someone aged 65 to 74 spent an average of $65,354 in 2024, or about $5,446 per month.

Three expenses accounted for much of that spending:

• Housing: $22,329 annually, or $1,861 monthly. Even homeowners without mortgages still pay property taxes, utilities, insurance, and maintenance.
• Transportation: $11,414 annually, or about $951 monthly. Vehicle purchases, repairs, insurance, and other transportation costs add up.
• Health care: $7,715 annually, or about $643 monthly. Health insurance premiums alone accounted for $5,114 of that amount.

Those three categories totaled approximately $3,455 monthly. Food added another $8,483 annually, or about $707 per month. Someone collecting the average $2,053 Social Security benefit would have little left after paying the average housing expense.

What if your retirement income isn't enough?

You still have several options at 68, including some that wouldn't have been available a few years earlier.

• Return to work without losing Social Security benefits. You've already passed full retirement age, meaning the Social Security earnings test no longer applies. You could take a part-time job or consulting work without having benefits withheld because of your earnings.
• Consider waiting until 70 to claim. If you haven't started collecting benefits, Social Security increases your benefit by 8% for each year you delay beyond full retirement age, up to 70. If you're already collecting benefits, you could voluntarily suspend payments before turning 70 to earn delayed retirement credits.
• Take another look at housing. With older households spending nearly $1,900 monthly on housing, this may be your biggest opportunity to reduce expenses. Downsizing or moving to a less expensive area could cut your monthly bills.

Why age 68 is an important time to review your retirement accounts

Under current IRS rules, required minimum distributions (RMDs) typically begin at 73. Some employees still working can delay RMDs from their current employer's retirement plan. That gives you roughly five years to decide whether taking withdrawals sooner makes financial sense.

Reviewing your options now gives you time to spread withdrawals or conversions across multiple tax years rather than waiting until distributions become mandatory.

Bottom line

Americans around age 68 have a median household income of $5,950 monthly, but that includes people who are still working. Your own expenses and reliable income matter more than matching that number. If you're trying to save money in retirement, reviewing your largest monthly bills is a good place to start.

At 68, you still have plenty of retirement years to plan for. The Social Security Administration's actuarial data puts remaining life expectancy at approximately 16 years for men and 18 years for women at that age. Many will live well beyond those averages. 

Before settling on a monthly retirement budget, calculate how long your savings would last if you lived to 90 or even 95. An income that covers your bills today won't help much if your savings run out 15 years from now.

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