8 Ways People Waste Their Social Security Check

Excessive Spending on Vices

Retirees should avoid spending their Social Security checks on vices or addictions, like gambling. Because it’s easy to get hooked on these activities, you might find yourself wasting a large chunk of the funds you need to live.

But that doesn’t mean you can’t have any fun. As long as you have an appropriate emergency fund in place, you can spend your Social Security check on other things, said Ken Moraif, a certified financial planner and senior advisor at Money Matters, a retirement-planning firm in Dallas.

“For some people, that might be enjoying a night at the casino, cracking open a bottle of wine or smoking a fine cigar,” he said. “Others might get more enjoyment from travel or lavishing their grandchildren with gifts.”