How Much Money is Enough for your Retirement (State-Wise)?
A young man, above his early 20s, has always had many concerns about ‘life after retirement.’ On a sunny afternoon, he marched out of his rented apartment somewhere in the United States to gentle take a walk to beat off extra fat.
A few moments later, he increased his pace, jogging faster than he had earlier and then the question popped in his head again.
“How much do I need to retire?”
Back to reality, there is never a one-size-fits-all answer to such a question. What one person could happily live on, another might be dissatisfied with.
Read More: Social Security: How New Changes Can Reduce the Retirement and Disability Benefits to 78%
Although conventional wisdom suggests having a retirement nest egg of at least $1 million, that’s a difficult number to achieve for many Americans.
GOBankingRates calculated the length of retirement savings of $500,000 for every state to paint a more realistic picture of retirement finances.
It consists of an average total amount spent by people 65 and older on groceries, housing, utilities, transportation, and health care as seen below. Much more, it is a realistic indication of how the best cost of living exists across America.
To live in Hawaii; $500,000 can sustain till 5 years, 2 months, and 24 days
Yearly expenditure sums up to $95,538.52
To live in New York; $500,000 can sustain till 7 years, 1 month, and 1 day
Yearly expenditure sums up to $70,523.40
To live in California; $500,000 can sustain till 3 months and 19 days
Yearly expenditure sums up to $68,502.94
To live in Oregon; $500,000 can sustain till 7 years, 9 months, and 7 days
Yearly expenditure sums up to $64,317.72
To live in Massachusetts; $500,000 can sustain till 7 years, 11 months, and 31 days
Yearly expenditure sums up to $62,489.69
To live in Alaska; $500,000 can sustain till 8 years, 1 month, and 27 days
Yearly expenditure can sum up to $61,238.94
To live in Maryland; $500,000 can sustain till 8 years, 2 months, and 2 days
Yearly expenditure can sum up to $61,190.83
To live in Connecticut; $500,000 can sustain till 8 years, 5 months, and 12 days
Yearly expenditure can sum up to $61,190.83
To live in Rhode Island; $500,000 can sustain till 8 years, 8 months, and 8 days
Yearly expenditure can sum up to $57,534.78
To live in New Jersey; $500,000 can sustain till 8 years, 10 months, and 23 days
Yearly expenditure can sum up to $56,187.81
To live in Vermont; $500,000 can sustain till 8 years, 11 months, and 4 days
Yearly expenditure can sun up to $55,995.38
To live in Maine; $500,000 can sustain till 8 years, 11 months, and 11 days
Yearly expenditure can sum up to $55,851.07
To live in Washington; $500,000 can sustain till 9 years, 2 months, and 13 days
Yearly expenditure can sum up to $54,359.78
To live in Nevada; $500,000 can sustain till 9 years, 6 months, and 19 days
Yearly expenditure can sum up to $52,339.33
To live in New Hampshire; $500,000 can sustain till 9 years, 7 months, and 2 days
Yearly expenditure van sum put to $52,146.90
To live in Delaware; $500,000 can sustain till 9 years, 7 months, and 24 days
Yearly expenditure can sum up to $51,810.16
To live in Colorado; $500,000 can sustain till 9 years, 11 months, and 19 days
Yearly expenditure can sum up to $50,126.45
To live in Pennsylvania; $500,000 can sustain till 9 years, 11 months, and 26 days
Yearly expenditure can sum up to $50,030.24
To live in Virginia; $500,000 can sustain till 10 years, 2 months, and 28 days
Yearly expenditure can sum up to $48,827.59
To live in Arizona; $500,000 can sustain till 10 years, 3 months, and 4 days
Yearly expenditure can sum up to $48,731.38
To live in Minnesota; $500,000 can sustain tills: 10 years, 3 months, and 26 days
Yearly expenditure can sum up to $48,442.74
To live in South Dakota, $500,000 can sustain till 10 years, 4 months, and 29 days
Yearly expenditure can sum up to $48,009.79
To live in Florida; $500,000 can sustain till 10 years, 4 months, and 29 days
Yearly expenditure can sum up to $48,009.79
To live in Montana; $500,000 can last till 10 years, 5 months, and 16 days
Years, Months, and Days: $47,817.36
To live in Utah; $500,000 can sustain till 10 years, 7 months, and 13 days
Years, Months, and Days: $47,095.77
To live in North Dakota; $500,000 can sustain till 10 years, 9 months, and 7 days
Yearly expenditure can sum up to $46,422.29
To live in Wisconsin; $500,000 can sustain till 10 years, 9 months, and 26 days
Yearly expenditure can sum up to $46,229.87
To live in North Carolina; $500,000 can sustain till 10 years, 9 months, and 26 days
Yearly expenditure can sum up to $46,229.87
To live in South Carolina; $500,000 can sustain till 10 years, 10 months, and 2 days
Yearly expenditure can sum up to $46,133.65
To live in Illinois; $500,000 can sustain till 10 years, 11 months, and 8 days
Yearly expenditure can sum up to $45,700.70
To live in Wyoming: $500,000 can be sustained till 11 years, 0 months, and 7 days
Yearly expenditure can sum up to $45,363.96
To live in Idaho; $500,000 can sustain till 11 years, 0 months, and 25 days
Yearly expenditure can sum up to $45,171.53
To live in Kentucky; $500,000 can sustain till 11 years, 1 month, and 5 days
Yearly expenditure can sum up to $45,027.22
To live in Louisiana; $500,000 can sustain till 11 years, 1 month, and 23 days
Yearly expenditure can sum up to $44,834.79
To live in Nebraska; $500,000 can sustain till 11 years, 2 months, and 6 days
Yearly expenditure can sum up to $44,738.58
To live in West Virginia; $500,000 can sustain till 11 years, 2 months, and 17 days
Yearly expenditure can sum up to $44,594.26
To live in Ohio; $500,000 can sustain till 11 years, 3 months, and 8 days
Yearly expenditure can sum up to $44,353.73
To live in Texas; $500,000 can sustain till 11 years, 3 months, and 19 days
Yearly expenditure can sum up to $44,257.52
To live in Iowa; $500,000 can sustain till 11 years, 4months, and 18 days
Yearly expenditure can sum up to $43,920.78
To live in Michigan; $500,000 can sustain till 11 years, 5 months, and 20 days
Yearly expenditure can sum up to $43,584.04
To live in Indiana; $500,000 can sustain till 11 years, 6 months, and 26 days
Yearly expenditure can sum up to $43,199.19
To live in Georgia; $500,000 can sustain till 11 years, 7 months, and 3 days
Yearly expenditure can sum up to $43,151.08
To live in Tennessee; $500,000 can sustain till 11 years, 7 months, and 3 days
Yearly expenditure can sum up to $43,151.08
To live in New Mexico; $500,000 can sustain till 11 years, 7 months, and 21 days
Yearly expenditure can sum up to $42,958.66
To live in Alabama; $500,000 can sustain till 11 years, 7 months, and 25 days
Yearly expenditure can sum up to $42,910.55
To live in Missouri; $500,000 can sustain till 11 years, 8 months, and 1 day
Yearly expenditure can sum up to $42,862.45
To live in Arkansas; $500,000 can sustain till 11 years, 9months, and 18 days
Yearly expenditure can sum up to $42,381.39
To live in Oklahoma; $500,000 can sustain till 11 years, 11 months, and 1 day
Yearly expenditure can sum up to $41,948.43
To live in Kansas; $500,000 can sustain till 11 years, 11 months, and 20 days
Yearly expenditure can sum up to $41,756.01
To live in Mississippi; $500,000 can sustain till 12 years, 3 months, and 18 days
Yearly expenditure can sum up to $40,649.57
Read More: Thinking of Retiring? Here’s the Average Retirement Age In Your State
Is a $500K Nest Egg Be Enough For Retirement?
If you want to determine how long you can live on $500,000, you need to know the cost of living in the area you choose to live in.
If you’re looking for the best location to make $500,000 last the longest, Mississippi is the best pick.
A retiree with $500k can, according to the data, live only four months longer in Mississippi than in Kansas, which is the second-best place to retire with $500k.
Dream retirement destinations like Hawaii, California, or New York won’t last nearly as long if you have $500,000 in your pocket.
You would get seven fewer years out of such an amount of retirement savings if you moved to Hawaii instead of Mississippi.
The place is important, but it’s not the only thing to consider. Consider the cost of living in your desired state, as well as how you plan to spend your money.
You may need to share a house with someone, possibly. Perhaps you don’t have to worry about transportation costs because you plan to ride the bus free or at a low cost.
Whatever the case may be, to make your $500,000 nest egg last as long as possible, you should consider retirement destinations that will meet your specific needs at an accessible and reasonable price.
