STATEN ISLAND, N.Y. -- Retirement, the time to enjoy the fruits of years of labor, can look very different depending on where you choose to settle. In a time of inflation and historic cost of living rates, some states, particularly those in the west, are significantly more retiree-friendly.
Seniorly released a report this month ranking states based on how expensive they are for retired people to live there.
The site analyzed the most recent data from the U.S. Census Bureau, Centers for Medicare and Medicaid Services, the Energy Information Administration and more, comparing the states using eight financial metrics, such as cost of living, senior poverty rate, income and healthcare costs.
New York, which ranked as the second most expensive state for retirees to live, is one of seven east coast states – Massachusetts, Connecticut, New Jersey, Rhode Island, Florida, District of Columbia – in the top 10. The average retirement income in New York is $32,563 compared with the national average rate of $31,631. New York retirees spend an average $13,379 per beneficiary on Medicare, while the national average is $12,271.
Classified as “least tax friendly” by Kiplinger, the Empire State also has one of the highest senior poverty rates in the country at 12.2%. Louisiana tops the list with a senior poverty rate of 14%, followed by the District of Columbia and Mississippi tied at 13.8% and New Mexico at 12.8%. The national senior poverty rate is 10.3%.
Massachusetts topped the list as most expensive for retired people with a cost of living index of 149.7, third behind Hawaii (184) and the District of Columbia (152.2). While the state’s senior poverty rate is closer to the national average at 10.6%, Massachusetts nicknamed “Taxachusetts” is classified as “not tax friendly.”
At the other end of the spectrum, mountain states account for more than half of the top ten – Wyoming, Utah, Montana, Idaho, Colorado and New Mexico – least expensive states for retired people.
Wyoming topped the list as least expensive state for people to live out their golden years with a senior poverty rate of 6.7%, classification as “most tax friendly,” and an average annual medicare spending rate of $10,274 per beneficiary, well below the national average.
The full report can be found at https://www.seniorly.com/resource-center/seniorly-news/the-most-affordable-states-for-retirees.
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