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Kevin O'Leary, the millionaire and TV star from the show Shark Tank, regularly gives advice in the media, specifically about retirement finances. He has mentioned in many separate interviews his concerns that Americans are not saving enough in their 401(k) retirement plans. He also believes people are spending too much, which is negatively impacting their ability to save more for their futures.
Here are four things O'Leary says you should never do with your money, especially if you're in your 60s.
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Don't retire if you're carrying high-interest debt
O'Leary encourages people to pay down debt as soon as possible, especially if you're retiring soon or are already retired. He is adamantly against credit card debt, especially because of the high interest rates. The Federal Reserve reports the average credit card interest rate is just over 21%. That high of an interest rate makes it extremely difficult to get out of debt, especially if you're only able to make minimum payments.
If you're already retired and have credit card debt, paying it off can free up your cash flow. Monitoring your spending closely, selling items you don't need, and even working part-time for a few years can all help you pay down credit card debt.
Don't rely on Social Security as your only income source in retirement
O'Leary explains that Social Security was never meant to be someone's primary income stream in retirement. It is designed to supplement other retirement savings, like your 401(k) or IRA withdrawals. The average monthly Social Security check is just over $2,000, so an individual who receives that may not be able to fully support themselves in retirement unless they have other income streams.
Don't underestimate healthcare costs in retirement
Many people nearing retirement mistakenly believe that Medicare will cover all healthcare expenses, but that's not necessarily the case. In fact, recent Fidelity research estimates that a 65-year-old retiring in 2026 will spend an average of $185,500 on healthcare costs throughout retirement.
This includes costs like co-pays, prescriptions, and more. This is another reason why it's helpful to have additional income streams and savings on top of Social Security, as a small Social Security check may not cover unexpected healthcare bills.
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That is exactly what The Definitive Guide to Retirement Income helps answer.1 <p class="">Investing in securities involves a risk of loss. Past performance is never a guarantee of future returns. Investing in foreign stock markets involves additional risks, such as the risk of currency fluctuations. Guides are provided by Fisher Investments. The publisher may be compensated when readers request a guide.</p> It is a free guide from Fisher Investments covering what your retirement will really cost, where the cash flow should come from, and how much you can safely withdraw each year. Learn More Here ›
Don't go through retirement without an emergency fund
Unexpected expenses pop up at every age and stage of life, including retirement. You'll likely need to pay for home repairs, rising property taxes, medical bills, and more even while you're enjoying your golden years.
For that reason, O'Leary recommends that people have an emergency fund covering three months of expenses. Not only can it bring you great peace of mind, but it can also protect you from withdrawing from your 401(k) during a down market.
How to make the most of your last few years of work
If you're in your early 60s and still working, O'Leary recommends taking advantage of your employer match if you have one. Additionally, as of 2026, people who are between the ages of 60 and 63 can contribute an additional $11,250 to their 401(k)s as a catch-up contribution, if their plan permits it. These catch-up contributions are one of your last opportunities to top off your retirement account before you leave the workforce.
O'Leary says discipline is the key to building wealth
Ultimately, O'Leary says discipline is the key to building wealth. He says too many people invest on autopilot while they're working. They believe that eventually they'll have enough to retire on, without truly understanding what it takes to build a retirement account that lasts.
O'Leary says the goal is to invest consistently over a long period of time. However, if you don't have many working years left, you can still use the last few years to add to your nest egg.
Retirement News: Almost 80% of Americans fear a retirement age increase — here’s the real reason why
Cash flow is vital, regardless of how much you save for retirement
Whether you have a nest egg with millions of dollars in it or you're simply trying to supplement your Social Security, creating cash flow in retirement is vital. That's because once you switch to living off of a fixed income in retirement, the amount of cash you have available on hand to cover your expenses is what is going to enable you to feel secure during your retirement years.
The best way to create cash flow is to spend less than you earn. For most people, that will mean learning how to manage expenses, stick to a budget, and pay down debt before retirement.
Bottom line
If you want to free up your retirement budget, consider following some of O'Leary's advice above if it works for your goals. Namely, he recommends that people not inflate their lifestyles and focus on investing as much as possible for retirement.
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