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I’m 64 and hope to retire next year — but I’ve heard horror stories about retirement’s hidden costs. What am I not accounting for?

At 64 you may feel ready to swap office fluorescent lights for morning walks.

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However, it’s good to first learn about retirement’s hidden costs, like surprise home repairs or medical bills Medicare won’t cover, as you plan your golden years.

Before you believe you have it all mapped out, consider these often‑overlooked expenses that can quietly erode your nest egg.

The tax trap

Many retirees assume their savings withdrawals won’t carry the same bite as a paycheck — and that can be a costly mistake. Pension and 401(k) distributions are taxed as ordinary income, and when combined with Social Security benefits, they can push you into a higher tax bracket than you’d planned for.

How your retirement income will be taxed also depends on which state you live in. Certain states like Florida are considered more tax-friendly for retirees. Remember to account for state taxes on pensions or retirement account withdrawals if you’re planning a move.

Working with a tax professional to model your retirement income streams is critical. Consider Roth IRA conversions now if you think your tax rate is going to be higher in the future.

The good news is President Donald Trump’s so-called “big, beautiful bill” includes additional, but temporary, tax deductions for seniors earning below a certain amount each year.

Longevity risk

If you’re budgeting to age 85, but your family genes — and your doctor — say 95, you could outlive your savings by a decade.

A modest 3% annual inflation rate will nearly double your living costs over 25 years. Suddenly, that extra cruise around your 90th birthday or unexpected inflation spikes can knock a big hole in your balance.

Consider using the 4% rule to calculate a safe withdrawal rate for your portfolio since it is meant to make your savings last for 30 years.

Speak with a financial advisor to make sure your portfolio is diversified and has the right asset allocation for your risk tolerance and investing horizon.

Delaying receiving Social Security benefits until age 70 can increase your benefit by 8% per year. Research shows that this is the right decision if you expect to live several years past life expectancy.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Family support for adult children

Just because your children are grown doesn’t mean they’re immune to financial crises — and many retirees find themselves footing the bill for weddings, down payments or even bailouts. In a Pew survey, nearly 60% of parents of young adults between the ages 18 to 34 said they gave financial help to a child in the past year.

A Savings.com study says parents spend an average of $1,474 a month on their adult children or $17,688 annually. Over a 20‑year retirement, that’s potentially $353,760 diverted from your own living expenses.

Have candid conversations with your kids well before you retire. Set clear boundaries — perhaps automating a one‑time gift rather than an open‑ended support fund. If you have the means, consider a formal loan agreement or gift that caps your liability.

Dental care expenses

Routine cleanings, crowns, root canals and dentures often fall outside Medicare coverage — and out‑of‑pocket dental costs can eat deeply into a retirement budget.

According to KFF, average out-of-pocket spending for Medicare beneficiaries using dental services reached close to $1,000 in 2016. More complex procedures like implants and bridges run from anywhere between $1,500 to $6,000 on average.

Unexpected issues, such as emergency extractions or periodontal treatment, can be prohibitively expensive.

To save money, explore standalone dental insurance plans or discount dental membership programs that cap annual costs. If you’re still working part‑time or have HSA savings, allocate funds in an HSA before retirement —withdrawals for qualified dental expenses are tax‑free.

No retirement plan is bulletproof. By recognizing these less‑obvious pitfalls — and building in strategic safeguards — you’ll be better equipped to enjoy the next chapter without unwelcome surprises.