You can live on Social Security alone in very low-cost-of-living areas, primarily affordable U.S. cities in states like Indiana, Ohio, Michigan, and Missouri, or by moving abroad to places like Ecuador, Mexico, or Thailand, where housing, food, and healthcare are significantly cheaper than in major U.S. cities, allowing your benefits to stretch further. Key factors are extremely low housing costs and minimal taxes.
Can you live on Social Security alone without a mortgage? Even with the mortgage gone, most retirees can't rely on Social Security to cover their living costs. Benefits alone were enough to cover living expenses in only 10 states, while nationally, the average annual shortfall is about $2,762, or roughly $230 a month.
The number of retirees who count solely on Social Security
According to a new report from The Senior Citizens League (TSCL), 21.8 million seniors get by on Social Security alone.
In addition, if you are receiving SSI benefits, you may be able to receive subsidized housing. If you live in a public shelter, you can receive SSI benefits for up to 6 months out of any 9 months that you live there. For more information on homelessness see the SSI Spotlight on Homelessness.
Other top retirement destinations include Florida, Illinois and Kentucky, all with more moderate living costs. Not surprisingly, the FinanceBuzz report finds that a Social Security check doesn't go all that far in Hawaii, Massachusetts or California, all states with relatively high costs of living.
In general, people will be able to get full SSI payments when they live alone or with a spouse and pay all of their living expenses, live with others, and pay their fair share of the food and shelter expenses, or are homeless.
Recognizing the Signs: When It's Time to Stop Living Alone
Changes in Physical Health: Unexplained weight loss, difficulty with mobility, or neglecting personal hygiene are red flags. Social Withdrawal: If an elderly person stops engaging with friends and family, it may be a sign of isolation and loneliness.
If Social Security isn't enough, you should supplement your income through other savings (401k, IRAs, brokerage accounts), explore government aid like SSI, SNAP, and Medicaid, consider working part-time, use programs like NCOA's BenefitsCheckUp to find assistance, potentially delay claiming benefits for a higher monthly payout, or look into annuities for guaranteed income.
What are the best states to retire in for low taxes? States with no income tax — like Florida, Texas, and Wyoming — are often considered tax-friendly for retirees. These states typically don't tax Social Security benefits, pensions, or retirement account withdrawals, though property and sales taxes may still apply.
Here are some of our favorite ideas for what to do in retirement:
The $1,000 a month rule is a retirement guideline suggesting you need about $240,000 saved for every $1,000 per month in desired income, based on a 5% annual withdrawal rate (5% of $240k is $12k/year, or $1k/month). It's a simple way to set savings goals, but it doesn't account for inflation, taxes, or other income like Social Security, so it's best used as a starting point, not a complete plan.
If it seems daunting, here are some ideas for how to retire on Social Security alone:
The highest monthly SSI payment for an individual in 2026 is $994, while for an eligible couple, it's $1,491, plus potential state supplements that can raise the total amount, with payments depending on countable income, resources, and living situation.
If you're homeless, you have the same rights to apply for benefits as someone with a home. To receive your Supplemental Security Income (SSI) benefits, being homeless doesn't stop you.
5 Countries Where You Can Retire for $1,000 a Month
Hot Springs Village, Arkansas, is the best place to retire with little to no savings. More than 60 percent of the town's population is aged 65 and above, and annual expenses are estimated to be $21,114. Foley, Alabama, and The Villages, Florida, are the second and third best places to retire without savings.
You can deposit any amount of cash without being automatically flagged if it's under $10,000 in a single transaction, but banks must report deposits of $10,000 or more to the IRS via a Currency Transaction Report (CTR). While large, legitimate deposits are fine, making multiple deposits to stay under $10,000 (structuring) is illegal and triggers Suspicious Activity Reports (SARs), leading to potential account freezes or law enforcement scrutiny, so transparency with your bank is best for large sums.