Retiring In New York? You’ll Need More Than $1M

Retiring in New York doesn’t come cheap. New data from Retirement Living shows how much it takes to retire in New York.

Its really wild how expensive it is to live in New York. I always said, no matter how difficult it could be to get by in the great state of New York, we'll make it work. But seeing how even my parents moved out of the state for a better way of life in recent years, its hard to justify living in New York when one has to work continuously, many holding down second or third jobs just to get by, without a day off.

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Most seniors think they need over $1 million to retire comfortably. In New York, you'd burn through that in less than 20 years. New data from Retirement Living shows retirees in New York need $1.3 million, the fifth-highest in the nation.

The research analyzed all 50 states using the 4% withdrawal rule, along with cost of living and Social Security benefits to calculate how much seniors really need to save for retirement.

What Makes New York So Expensive:

• Cost of living index: The cost of goods is 25% higher than the national average, meaning housing, food, and other expenses cost more.

• Average Social Security benefits: Around $23K per year.

• Savings needed for remaining expenses: Nearly $52K per year.

• Total savings needed to retire comfortably: Roughly $1.3M, the fifth-highest in the U.S.

States Requiring the Most Retirement Savings:

1. Hawaii - $2.17M

2. Massachusetts - $1.59M

3. California - $1.58M

4. Alaska - $1.36M

5. New York - $1.3M

States Requiring the Least Retirement Savings:

1. Oklahoma - $730K 

2. Michigan - $752K 

3. Kansas - $755K

4. Missouri - $762K 

5. Alabama - $762K

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Interesting to note that the Annual cost of living in New York is $74, 928. I know for a fact that there are many people out there busting their a** and not making anything near that. That doesn't bode well with me. If I need over $1 million to retire in New York, I guess I'll never be retiring and I'll be spinning classic rock tunes until I'm 85. If not, there's always DoorDash.