Yahoo Movies How Long $500K Will Last in Retirement in Each State
If you and your friend each asked yourself this question — “How much do I need to retire?” — you probably would come up with different answers. What one person happily could live on might not be nearly enough for someone else.
Florida’s Retirees Are Fleeing: Here’s Where They’re Going Instead
Next: 3 Ways To Recession-Proof Your Retirement
According to Fidelity Investments, the way to save is to have at least double your salary put away by age 30, three times by 40, six times by 50, eight times by 60 and 10 times by 67. Some experts suggest having a retirement nest egg of at least $1 million but that’s a difficult number to achieve for many Americans.
To paint a more realistic picture of retirement finances, GOBankingRates determined how long $500,000 will last retirees in every state. To do this, the study analyzed average spending data — including groceries housing utilities transportation and health care — for people ages 65 and older.
Keep reading to get a clear idea of the cost of living across America, from the cheapest state to the most expensive.
Mississippi
$500,000 will last:
Years, Months, Days: 10 years, 0 Months, 21 days
Annual expenditure: $49,723.48
Social Security Cuts: States That Would Be Impacted the Least
Next: 7 Places to Retire That Are Just Like Tropical Vacations But Way Cheaper
Sponsored: Owe the IRS $10K or more? Schedule a FREE consultation to see if you qualify for tax relief.
Oklahoma
$500,000 will last:
Years, Months, Days: 9 years, 11 months, 12 days
Annual expenditure: $50,243.84
Find: 7 Frugal Habits That Rarely Pay Off for Boomers in Retirement
Kansas
$500,000 will last:
Years, Months, Days: 9 years, 11 months, 1 days
Annual expenditure: $50,417.30
Alabama
$500,000 will last:
Years, Months, Days: 9 years, 9 months, 18 days
Annual expenditure: $50,995.48
Georgia
$500,000 will last:
Years, Months, Days: 9 years, 8 months, 4 days
Annual expenditure: $51,631.47
West Virginia
$500,000 will last:
Years, Months, Days: 9 years, 8 months, 4 days
Annual expenditure: $51,631.47
Iowa
$500,000 will last:
Years, Months, Days: 9 years, 7 months, 13 days
Annual expenditure: $51,978.38
Social Security Update: There’s a New Cutoff for Earnings — What It Means for Your Retirement
Missouri
$500,000 will last:
Years, Months, Days: 9 years, 7 months, 13 days
Annual expenditure: $51,978.38
Arkansas
$500,000 will last:
Years, Months, Days: 9 years, 7 months, 6 days
Annual expenditure: $52,094.02
Tennessee
$500,000 will last:
Years, Months, Days: 9 years, 6 months, 26 days
Annual expenditure: $52267.47
Nebraska
$500,000 will last:
Years, Months, Days: 9 years, 5 months, 19 days
Annual expenditure: $52,787.83
Social Security: Not Everyone Gets the Full 3.2% COLA Increase — Here’s Why
Ohio
$500,000 will last:
Years, Months, Days: 9 years, 5 months, 16 days
Annual expenditure: $52,845.65
Indiana
$500,000 will last:
Years, Months, Days: 9 years, 5 months, 12 days
Annual expenditure: $52,903.47
Wyoming
$500,000 will last:
Years, Months, Days: 9 years, 4 months, 21 days
Annual expenditure: $53,250.38
Michigan
$500,000 will last:
Years, Months, Days: 9 years, 4 months, 21 days
Annual expenditure: $53,250.38
Learn: How Big Is the Average Social Security Check of a Middle-Class Retiree?
Illinois
$500,000 will last:
Years, Months, Days: 9 years, 4 months, 21 days
Annual expenditure: $53,250.38
Louisiana
$500,000 will last:
Years, Months, Days: 9 years, 4 months, 18 days
Annual expenditure: $53,308.20
Texas
$500,000 will last:
Years, Months, Days: 9 years, 3 months, 22 days
Annual expenditure: $53,712.92
South Dakota
$500,000 will last:
Years, Months, Days: 9 years, 3 months, 4 days
Annual expenditure: $54,002.01
More: The 5 Things That Disappear When You Retire
New Mexico
$500,000 will last:
Years, Months, Days: 9 years, 2 months, 9 days
Annual expenditure: $54,406.74
Kentucky
$500,000 will last:
Years, Months, Days: 9 years, 1 months, 23 days
Annual expenditure: $54,638.01
Wisconsin
$500,000 will last:
Years, Months, Days: 9 years, 1 months, 1 days
Annual expenditure: $54,984.92
Minnesota
$500,000 will last:
Years, Months, Days: 9 years, 0 months, 17 days
Annual expenditure: $55,274.01
Retired But Want To Work? Try These 8 Jobs for Seniors That Require Little to No Experience
North Carolina
$500,000 will last:
Years, Months, Days: 9 years, 0 months, 10 days
Annual expenditure: $55,389.64
North Dakota
$500,000 will last:
Years, Months, Days: 9 years, 0 months, 2 days
Annual expenditure: $55,505.28
South Carolina
$500,000 will last:
Years, Months, Days: 8 years, 11 months, 19 days
Annual expenditure: $55,736.55
Pennsylvania
$500,000 will last:
Years, Months, Days: 8 years, 11 months, 1 days
Annual expenditure: $56,083.46
These 5 Cities Are Becoming Popular With Baby Boomers: Should You Consider Them for Your Retirement Years?
Idaho
$500,000 will last:
Years, Months, Days: 8 years, 8 months, 18 days
Annual expenditure: $57,355.46
Nevada
$500,000 will last:
Years, Months, Days: 8 years, 5 months, 30 days
Annual expenditure: $58,800.91
Florida
$500,000 will last:
Years, Months, Days: 8 years, 5 months, 26 days
Annual expenditure: $58,916.54
Virginia
$500,000 will last:
Years, Months, Days: 8 years, 5 months, 5 days
Annual expenditure: $59,321.27
I Was 50 With No Retirement Savings: Here’s How I Turned It Around and Retired Comfortably
Utah
$500,000 will last:
Years, Months, Days: 8 years, 5 months, 1 days
Annual expenditure: $59,379.09
Montana
$500,000 will last:
Years, Months, Days: 8 years, 4 months, 25 days
Annual expenditure: $59,552.54
Delaware
$500,000 will last:
Years, Months, Days: 8 years, 4 months, 14 days
Annual expenditure: $59,725.99
Colorado
$500,000 will last:
Years, Months, Days: 8 years, 2 months, 31 days
Annual expenditure: $60,593.26
I’m a Financial Advisor: I Recommend Leaving These 6 Assets to Your Heirs
Arizona
$500,000 will last:
Years, Months, Days: 8 years, 0 months, 25 days
Annual expenditure: $61,923.08
New Jersey
$500,000 will last:
Years, Months, Days: 7 years, 8 months, 27 days
Annual expenditure: $64,582.71
Rhode Island
$500,000 will last:
Years, Months, Days: 7 years, 8 months, 27 days
Annual expenditure: $64,640.52
Maine
$500,000 will last:
Years, Months, Days: 7 years, 8 months, 8 days
Annual expenditure: $65,045.25
Social Security: New Proposal for Higher COLA Bump for Certain Federal Retirees – Would You Qualify?
Connecticut
$500,000 will last:
Years, Months, Days: 7 years, 6 months, 23 days
Annual expenditure: $66,143.79
New Hampshire
$500,000 will last:
Years, Months, Days: 7 years, 6 months, 19 days
Annual expenditure: $66,259.43
Washington
$500,000 will last:
Years, Months, Days: 7 years, 5 months, 27 days
Annual expenditure: $66,779.79
Vermont
$500,000 will last:
Years, Months, Days: 7 years, 5 months, 24 days
Annual expenditure: $66,837.61
Find Out: What a Comfortable Retirement Will Cost You in Each State
Oregon
$500,000 will last:
Years, Months, Days: 7 years, 5 months, 9 days
Annual expenditure: $67,184.52
Maryland
$500,000 will last:
Years, Months, Days: 7 years, 1 months, 27 days
Annual expenditure: $69,786.33
Alaska
$500,000 will last:
Years, Months, Days: 6 years, 10 months, 24 days
Annual expenditure: $72,445.95
New York
$500,000 will last:
Years, Months, Days: 6 years, 9 months, 29 days
Annual expenditure: $73,197.59
Downsizing for Retirement? Stay Away From These 7 Homes
California
$500,000 will last:
Years, Months, Days: 6 years, 2 months, 9 days
Annual expenditure: $80,771.75
Massachusetts
$500,000 will last:
Years, Months, Days: 6 years, 0 months, 14 days
Annual expenditure: $82,737.56
District of Columbia
$500,000 will last:
Years, Months, Days: 5 years, 9 months, 11 days
Annual expenditure: $86,553.55
Hawaii
$500,000 will last:
Years, Months, Days: 4 years, 9 months, 3 days
Annual expenditure: $104,939.67
These 5 Countries are Almost Inflation-less: Cheap Living with High Salaries
How Long Will a $500K Retirement Nest Egg Last?
$500,000 will last:
Years, Months, Days: 4 years, 9 months, 3 days
Annual expenditure: $104,939.67
Methodology: To find how long $500,000 will last in retirement across the country, GOBankingRates first found (1) the national average annual expenditures for people 65 and older, sourced from the Bureau of Labor Statistics’ 2022 Consumer Expenditure Survey data. Then, GOBankingRates created (2) state-level annual expenditure estimates by multiplying the national figure by each state’s overall cost of living index score for the 2Q 2023 from the Missouri Economic Research and Information Center. Finally, GOBankingRates found (3) how many years $500,000 will last in each state by dividing $500,000 by each state’s average annual expenditures estimate. All 50 states and the District of Columbia were then ranked with No. 1 being the state where $500,000 will last the longest and No. 51 being the state where it will run out most quickly. GOBankingRates provided supplemental information on the average annual cost of groceries, housing, utilities, transportation and healthcare for people 65 and older in each state by again using MERIC’s cost-of-living indices for each category to factor out national estimates from the CES. All data was collected on and up to date as of Nov. 2, 2023.
More From GOBankingRates
This article originally appeared on GOBankingRates.com: How Long $500K Will Last in Retirement in Each State
