Here's the bad news: The average monthly Social Security retirement benefit was recently $1,365 per month, or about $16,000 per year, with the maximum benefit for those retiring at their full retirement age recently at $2,687 per month -- or about $32,000 annually.
That's more than $160,000 extra just for delaying retiring for a few years.
If you're willing and able to work a little in your first few years of retirement, you can generate some helpful income.
You might even just work part-time for your current employer.
Enjoy dividend income You can generate income in retirement by selling off shares of stock from your stock portfolio over time -- but with dividend-paying stocks, you can collect income without having to sell any shares!
Here are a few well-regarded stocks with significant dividend yields: Stock Recent Dividend Yield Ford Motor Company 5.4% Verizon Communications 5% Chevron 4.1% Pfizer 3.8% Cisco Systems 3.6% A dividend-focused exchange-traded fund (ETF) can be a fine option, too, offering instant diversification.
For example, you could spend less by quitting cable TV and just streaming your video entertainment -- that might save $50 you per month or $600 per year.
Believe it or not, you might save hundreds of dollars just by spending an hour on the phone calling insurance companies to get the best current deal on your home insurance and car insurance.
You can increase or decrease your benefits by starting to collect Social Security earlier or later than your "full" retirement age, which is 66 or 67 for most of us, and you can make some smart moves by coordinating with your spouse when you each start collecting.
Clearly, there are lots of ways that you might increase your income in retirement.