Podcast Summary: "Retired and On Edge" – What We Spend

Episode Release Date: April 23, 2025
Host: Courtney Harrell
Guest: Cherry's Mom, a 57-year-old retiree from Boston, Massachusetts

Introduction

In the "Retired and On Edge" episode of What We Spend, host Courtney Harrell delves into the financial and emotional challenges faced by Cherry's Mom, a retired social worker navigating unexpected financial strains and caregiving responsibilities. This detailed exploration provides listeners with an intimate look into the realities of early retirement and the complexities of managing personal finances under pressure.

Cherry's Retirement Background

Cherry's Mom retired at 57, six months prior to the podcast, from a fulfilling 38-year career as a social worker for the Department of Children and Families. Prior to retirement, she earned approximately $110,000 annually, supplemented by additional gigs and a pension. Expecting a smooth transition into retirement, Cherry envisioned a life filled with personal projects and more time with friends. However, unforeseen circumstances quickly altered her plans.

Key Points:

• Early Retirement: Retired three years after becoming eligible, ahead of the US average retirement age of 62.
• Career Satisfaction: Loved her role as a social worker but dreamed of expanding her side business, Cherry Bomb Catering, post-retirement.
• Caregiving Responsibilities: Cherry took on significant caregiving duties for her ailing mother, limiting her ability to pursue personal goals.

Financial Challenges Faced

Upon retiring, Cherry's Mom discovered that her pension barely covered half of her previous income, leading to immediate financial anxiety. The situation worsened when Cherry's partner suffered a car accident, forcing him into early retirement and further halving their combined income.

Notable Quote:

"I thought that before retirement I would have more money flow. Now, I'm embarrassed because I realize I wasn't financially ready."
— Cherry's Mom [03:24]

Financial Breakdown:

• Combined Income Post-Retirement: Approximately $5,900/month.
• Major Expenses:
  • Housing: $1,800/month
  • Utilities: Gas ($125), Electric ($150-$175), Cable & WiFi ($159)
  • Phone Bills: $236/month combined
  • Credit Card Payments: $600/month
  • Groceries: $300/month

Daily Financial Logging: A Week in Retired Life

Cherry documents her daily expenses and emotional state throughout the week, highlighting the stark contrast between her expectations and reality.

Day 1: Initial Struggles

Cherry grapples with not receiving her first retirement check and begins feeling the strain of a limited budget.

Notable Quote:

"I just feel like I haven't been prepared to retire. Maybe I live beyond my means."
— Cherry [05:45]

Expenses: $73.50
Key Activities: Managing medical appointments, grocery shopping.

Day 2: A Glimmer of Hope

Cherry's Mom receives good news about her mother's health, providing temporary relief. Cherry remains vigilant about her budgeting.

Notable Quote:

"I just have to figure out a way to live more comfortably with my current finances."
— Cherry [10:14]

Expenses: $7.52
Key Activities: Handling medical news, maintaining budget discipline.

Day 3: Organizing Finances

Feeling low, Cherry focuses on organizing bills and making necessary payments, including phone bills and contributions to her daughter's expenses.

Expenses: $208
Key Activities: Cleaning, bill management, planning social activities.

Day 4: Mixed Emotions

Cherry receives her retirement check but is disappointed by the tax deductions. She begins repaying borrowed money to friends.

Expenses: $159
Key Activities: Assessing retirement funds, managing debts.

Day 5: Financial Relief

Cherry caters an event, earning $600, which alleviates some financial pressure. She reflects on the loss of her work community.

Notable Quote:

"I'm sad that I had a great connection with my clients and my work community."
— Cherry's Mom [29:38]

Expenses: $2,532 (with an income of $600)
Key Activities: Catering services, emotional processing.

Day 6: Social Engagement

Cherry attends a friend's birthday brunch, successfully clearing the bill through contributions from attendees. She also explores additional income opportunities.

Expenses: $125
Key Activities: Socializing, networking for supervised visit positions.

Day 7: Taking Control

Cherry decides to apply for a position conducting supervised visits for the court system, aiming to secure independent income. She successfully pays off a significant debt, marking a step towards financial stability.

Notable Quote:

"My goal is to get my priorities in place and make my retired life more livable."
— Cherry [38:09]

Expenses: $4,097.02 (Total for the week)
Key Activities: Debt repayment, career restructuring.

Emotional and Social Impact of Retirement

The transition into retirement has not only strained Cherry's Mom financially but also emotionally. The lack of a structured schedule and the loss of daily professional interactions have led to feelings of isolation and sadness.

Notable Quotes:

"I feel stuck and haven't had the chance to truly enjoy retirement." [00:46]
"Sometimes my daughter teases me about being a 'loser' because I'm retired." [22:39]

Key Insights:

• Loss of Routine: Difficulty adjusting to an unstructured day without the demands of a full-time job.
• Social Disconnect: Missing the camaraderie and connections built over years of work.
• Emotional Strain: Increased anxiety and occasional depressive feelings due to financial uncertainty and lack of purpose.

Steps Towards Solutions

Determined to regain financial independence and emotional well-being, Cherry takes proactive steps:

1. Supplemental Income: Starting her catering business and exploring roles like supervised visitations to generate additional revenue.
2. Debt Management: Prioritizing bill payments and reducing outstanding debts to alleviate financial pressure.
3. Social Engagement: Organizing craft nights and maintaining a supportive friend group to enhance social interactions.
4. Budgeting Discipline: Strictly monitoring daily expenses and distinguishing between needs and wants to manage limited funds effectively.

Final Notable Quote:

"Retirement means retirement. I'm figuring that my new endeavors and my goals are to work for myself and make my own money."
— Cherry [32:59]

Conclusion

"Retired and On Edge" offers a candid portrayal of the unexpected hurdles that can arise in early retirement. Cherry's Mom's journey underscores the importance of financial preparedness, the emotional challenges of leaving a long-term career, and the resilience required to navigate unanticipated life changes. Through meticulous budgeting, seeking additional income streams, and fostering social connections, she endeavors to transform her retirement from a period of anxiety to one of empowerment and fulfillment.

Listeners are left with a profound understanding of the multifaceted nature of retirement, highlighting that financial stability and emotional well-being often require continuous effort and adaptability.

Notable Quotes with Timestamps:

• "I thought that I was going to retire and get myself a food truck and start my food business and travel with my food truck." — Courtney Harrell [05:40]
• "I have such bad sleep anxiety because I'm constantly thinking about it." — Cherry's Mom [10:06]
• "I'm trying to follow what my mom said. Focus on the things you need and not the things you just want." — Cherry's Mom [17:19]
• "I feel like I'm important again. People need me and that my help is needed." — Cherry's Mom [38:27]

This episode is produced by What We Spend, an Odyssey original podcast by Audacy. For more insights into personal finances and real-life spending stories, subscribe to What We Spend on your preferred podcast platform.