Last month, we pointed out the best community in each state in which to retire. Today, we look at how the states themselves rank as places for retirees to live.
“As the baby boomer generation continues to age, millions of Americans are due for retirement. Every day, about 10,000 U.S. residents turn 65. However, a record number of people 65 and older remain in the workforce because of financial insecurity. The number of seniors who continue to work has more than doubled since 2000.”
“Many seniors do not have the luxury of choosing where to spend their retirement. This could be because they depend on younger family members or because relocating costs too much. Those who choose to exit the workforce and rely on their savings, pensions, and social security face different financial burdens depending on the state where they spend their golden years.”
“In one state, a retired couple can live comfortably on $36,000 a year. In another state, the same standard of living costs as much as $56,000. A person who retires at 65 and lives 20 more years could need an extra half a million dollars for living expenses depending on which state they are in.”
“To determine what it costs to retire in every state, 24/7 Wall St. reviewed annual expenses at the state level. We then reviewed data from the Economic Policy Institute’s Family Budget Calculator for a couple 65 or older with no dependents, which measures the income a family needs in order to attain a modest standard of living at the metropolitan level. Using differences in budgetary needs between the average American and residents 65 and over, 24/7 Wall St. calculated the average annual retirement costs by state.”
Click here to access the ranking of all 50 states, starting with number 50.
Below is the 24/7 Wall St. analysis of New York.
3. New York
> Estimated annual retirement costs: $50,321
> Avg. annual earnings for 65+ households: $29,018 (13th highest)
> Avg. annual homeownership costs for seniors: $21,648 (4th highest)
> Pct. residents 65+: 15.9% (25th lowest)