One of the key factors in any retirement plan is deciding where you want to live. If you haven’t put much thought into moving from your current home, you’re not alone.
However, knowing which states are more retirement-friendly can make a huge difference in whether you enjoy your golden years or face unexpected challenges.
I’m here to help you avoid the worst retirement destinations and find a place that suits your dream retirement.
What should be your BIGGEST concerns (beyond the weather) when considering where to live in retirement?
In no particular order:
- Housing costs
- Medical costs
- Employment conditions for people over 65
- Taxation rates
- Workplace retirement program participation
That list can probably go on a bit longer, but those are some of the most vital aspects of a retirement destination.
And getting even just 1 or 2 of them wrong can do a significant amount of damage to your quality of life as you enter into post-work ages and beyond, even if you plan on continuing to work.
With that in mind, here are the 3 worst places to retire:
1. South Carolina (SC)
The first warning about this southern state is the terrible mixture low average wages for older workers AND high unemployment for 55+.
What’s also worrisome about South Carolina is the fact that workers’ 401(k)s are just about the lowest in the nation. Plus, don’t expect a strong amount of participation in workplace retirement programs in this state.
2. California (CA)
First, the second highest unemployment rate for those 55+ can be found in this state. On top of that, expensive housing and relatively high taxes on retirement income can drain your retirement savings very quickly.
3. Florida (FL)
This one was a little bit of a surprise.
With the highest out-of-pocket Medicare costs in the nation and an unattractive Medicaid program, Florida is a surprisingly costly place for retirees to live.
Housing costs are high in the sunshine state too, but the lack of state income tax does manage to partially make up for some of the cons.
The interesting thing about this list is that California and Florida are usually high on the list of destinations for those approaching retirement age. And while they will remain attractive options for many people, their characteristics could prove to be the downfall of your dream retirement plan.
Make sure you take some time to pick out the perfect place to spend your golden years, and use this list as a friendly warning…
