Massachusetts, New York, Connecticut and New Jersey are the four most expensive states in the country to retire, according to a study by Seniorly.
Perhaps more surprising, Florida and Texas, where many people of all ages have relocated in recent years, are among the top 10 most expensive states to retire, according to Seniorly, a retirement education resource for seniors.
New York, known for being a very pricey place to live and work, has an average retirement income of just $32,563 and an average Medicare spend of $13,379. However, on the bright side, 68.4% of New York seniors spend less than 30% of their income on housing.
Seven of the 10 most expensive states to retire are on the East Coast: Massachusetts, New York, Connecticut, New Jersey, Rhode Island, Washington, D.C., and Florida.
Conversely, five of the 10 most affordable places are Mountain states: Wyoming, Utah, Montana, Colorado and New Mexico.
While six of the most affordable states have costs of living slightly above the national average, they make up for it with lower Medicare spending per beneficiary, as well as lower home utilities costs and senior poverty rates below the national average.
Seniors considering where to retire should also factor in that rural areas and smaller cities are more affordable than big cities and in-demand areas. Each locality offers something unique, depending on their location, climate, proximity to friends and family, public transportation, health care, parks, culture and much more.
“It has never been more critical for retired Americans and those approaching retirement to consider a myriad of financial factors before settling down,” Seniorly says. Undoubtedly, this is partially, if not principally, due to inflation, along with rising medical costs and market volatility.
Of special note is the fact that Florida, considered a retirement paradise, ranks 43rd in the listing of state retirement affordability, due to its high annual Medicare spending of $13,652 per beneficiary, premium monthly utilities and a senior poverty rate of 11%.
10 Most Affordable US States to Retire
7.) New Mexico
10 Least Affordable US States to Retire
2.) New York
4.) New Jersey
6.) Rhode Island
10.) Washington, D.C.
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