Perhaps not surprisingly, Florida on top… Little ‘Rhody falls to a dubious last place
This research is compiled and reported by WalletHub and reprinted here with permission. Visit wallethub.com
With nearly a third of all nonretirees having no retirement savings or pension because many simply cannot afford to contribute to any type of plan, the personal finance website WalletHub conducted an in-depth analysis that identifies 2016’s Best & Worst States to Retire.
To help retirees find a retirement-friendly home that won’t break the bank, WalletHub’s analysts compared the 50 states and the District of Columbia across 24 key metrics.
Our data set ranges from the adjusted cost of living to the number of various entertainment options per capita to public-hospital rankings.
End of the line… but not the end of financial security
Retirement might be the end of the line, but it doesn’t have to be the end of financial security or life satisfaction. For many of us, our primary concern with retirement is timing, which often coincides with the age at which we become eligible to receive Social Security or pension benefits. Hopefully the choice will be ours and not dictated by our circumstances — the unfortunate case for nearly a third of nonretirees who haven’t put away a single penny for retirement, though not necessarily through any fault of their own.
But in addition to when you want to retire, you might want to ask yourself where. That can be an awfully difficult question to answer if you haven’t adequately planned — or been able to plan — for the rest of your life. Even in the most affordable areas of the U.S., retirees often cannot rely on their Social Security or pension checks alone to cover all of their living expenses. Social Security benefits increase progressively with local inflation, but they replace only about 40 percent of the amount you earned if you were an average worker, according to the Center on Budget and Policy Priorities.
If retirement is still a big question mark for you because of finances, we recommend you consider relocating to a retirement-friendly state — one that will let you keep more money in your pocket without drastically modifying your lifestyle. WalletHub’s analysts compared the 50 states and the District of Columbia across 24 key metrics to help you find that permanent, and affordable, place to call home when you’re ready to leave the workforce.
Of course, affordability shouldn’t be your only priority in retirement, which is why our analysis also explores health-related factors and overall quality of life. See the results below…
Best States to Retire | Worst States to Retire | ||||
1 | Florida | 42 | Maryland | ||
2 | Wyoming | 43 | Alaska | ||
3 | South Dakota | 44 | New York | ||
4 | South Carolina | 45 | West Virginia | ||
5 | Colorado | 46 | New Jersey | ||
6 | Idaho | 47 | Vermont | ||
7 | Texas | 48 | Connecticut | ||
8 | Montana | 49 | Hawaii | ||
9 | Nevada | 50 | District of Columbia | ||
10 | Virginia | 51 | Rhode Island | ||
Comparing the Best & Worst
- The adjusted cost of living for retired persons is highest in Hawaii, which is two times greater than in Mississippi, the state with the lowest.
- The annual cost of in-home services is highest in North Dakota, which is two times greater than in Louisiana, the state with the lowest.
- The percentage of employed residents aged 65 and older is highest in Alaska, which is two times greater than in West Virginia, the state with the lowest.
- The percentage of the population aged 65 and older is highest in Florida, which is two times greater than in Alaska, the state with the lowest.
- The property-crime rate is highest in the District of Columbia, which is three times greater than in Vermont, the state with the lowest.
- The number of museums per capita is highest in New York, which is seven times greater than in Utah, the state with the lowest.
For the full report and to see where your state ranks, please visit here.
