While retirement may seen like a long way off for many of us, the dream of giving up the daily grind of a job is something we all strive for. But once we stop working, how do we maximize our money so we can live comfortably? Well, according to a new GoBankingRates there are some states where your retirement dollars will last you a long time, and others which will have you out looking for a job before you know it.
The site looked at all 50 states and figured out how far $1 million would last the average retiree in each state. They took note of typical expenses for those 65 and older, including groceries, housing, transportation, healthcare and more, dividing that by the cost of living in each state.
Turns out if you want to retire and have enough money to live well for a long time, you may want to consider Mississippi, where $1 million will last a retiree 26 years and four months. Mississippi gets high marks because it’s the cheapest state in the nation, with housing costs around $11,134 a year, plus other expenses will run folks about $37,964 a year.
Top Ten States Where $1 Million Will Last The Most In Retirement(length of time $1 million will last)
- Mississippi (26 years, 4 months)
- Arkansas (25 years, 6 months)
- Oklahoma (25 years, 2 months)
- Michigan (25 years)
- Tennessee (25 years)
- Georgia (24 years, 11 months)
- Missouri (24 years, 10 months)
- Texas (24 years, 9 months)
- Indiana (24 years, 9 months)
- Alabama (24 years, 9 months)
On the flipside, as amazing as it may sound to retire to the tropical island of Hawaii, you’re gonna need a lot more than $1 million if you want to survive. Thanks to huge expenses like groceries and housing, $1 million will last you only 11 years and 11 months in retirement.
Top Ten States Where $1 Million Will Last The Least In Retirement(length of time $1 million will last)
- Hawaii (11 years, 11 months)
- California (16 years, 5 months)
- Alaska (17 years)
- New York (17 years, 1 month)
- Massachusetts (17 years, 4 months)
- Connecticut (17 years, 4 months)
- Maryland (17 years, 4 months)
- Oregon (17 years, 7 months)
- Rhode Island (18 years, 2 months)
- New Jersey (18 years, 6 months)