How Much Money Do You Need for a ‘Decent’ Retirement in South Dakota?
There's retiring and then there's retiring comfortably.
In South Dakota, you won't have to save up as much money to get there, but it will take you a bit longer.
HowMuch.net estimates that the average yearly expenses for someone over the age of 65 in the United States currently sits at $51,624 (not factoring in Social Security). They factored in life expectancy rates, then tacked on an additional 20 percent to the dollar figures for a comfortable retirement, and discovered that the average savings required for retirement is more than $900,000 ($904,452 to be exact).
In South Dakota, you can ease into retirement on much less.
According to the numbers, the Mount Rushmore State is the eighth most affordable place for a comfortable retirement at $738,000.
That's the good news.
The bad news?
South Dakota has one of the oldest average ages of retirement (66).
LEAST EXPENSIVE STATES FOR RETIREMENT (Average retirement age)
- Mississippi $618,000 (63)
- Tennessee $661,000 (64)
- Alabama $ 713,000 (62)
- Oklahoma $724,000 (62)
- Arkansas $728,000 (62)
- Kentucky $738,000 (62)
- Kansas $733,000 (65)
- South Dakota $738,000 (66)
- Texas $765,000 (65)
- Missouri $771,000 (63)
In all, there are 15 states that require savings of $1 million or more for a 'decent' life after leaving the workplace.
Not surprisingly, Hawaii is the most expensive place to retire, where a savings of $1.85 million is necessary for a comfortable retirement.
Hawaii and Massachusetts match South Dakota for the oldest average retirement age (66). West Virginia has the youngest average retirement age (61).