I get $1,056 from Social Security, but rent is $1,600 and am looking for options

If you’re a member of the labor force today, you might feel like you’re constantly being nagged to save money, whether it’s for emergencies, retirement, or something else. And the reality is that it’s not an easy thing to save for retirement when that stage of life is so far away and you have bills that need to be paid ASAP.

But if you don’t save for retirement, you might end up in a situation where you only have Social Security for income. And that could create a world of financial hardship.

In this Reddit post, we have someone who’s heavily reliant on Social Security. The poster collects a monthly benefit of $1,056, but their rent is $1,6000, which they can’t afford.

The poster doesn’t mention what other income sources they have available. But since the poster is struggling to pay rent, their total income clearly does not amount to much. And now, the poster wants to know what to do.

It’s a tough situation. And it’s one you should try your best to avoid.

Exploring different options

If you’re in a situation where you can’t afford basic needs like shelter, it’s important to seek help. That’s what the poster should do.

The poster doesn’t state their age, and it’s possible that the monthly Social Security benefit they’re referring to isn’t a retirement benefit, but rather, a disability benefit. It would be helpful to have more context to know how to offer the poster guidance.

But if the poster is retired and can work to supplement their monthly Social Security check, I’d recommend doing that. If they can’t physically get to a job, there may be work they’re able to do from home.

The poster should also look into any government benefits they may be entitled to if the bulk of their income comes from their monthly $1,056 Social Security check. That means seeing if they qualify for:

• Housing or rental assistance
• Medicaid
• SNAP
• Help with utilities

Otherwise, the poster can try to find a roommate or see if there’s a lower-cost rental option in another neighborhood. Relocating to a part of the country that’s cheaper overall is something for the poster to consider as well.

Don’t end up in the same situation

It’s not a given that the poster is a retiree who’s strapped for cash because no age is given. But the reality is that many older Americans retire on Social Security alone and then end up struggling to cover basic expenses as a result.

To avoid that, pledge to set money aside for retirement every month. It doesn’t have to be a ton of money, but it needs to be something.

You could start off by contributing $25 a month to your retirement savings if that’s all you can afford early on in your career, and then increase your contributions as your earnings rise. It also pays to see if your company offers a 401(k) plan and if there’s an employer match, since that’s an easy way to boost your retirement savings.

Although the average monthly Social Security benefit for retirees today is around $2,000 a month, which is a lot more than what the poster collects, you still don’t want to end up overly reliant on Social Security once you get older. Saving for retirement on your own could be your ticket to avoiding financial stress down the line.