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What a Comfortable Retirement Will Cost You in Each State

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How much do you need to retire comfortably? It's a question in the mind of every American saving for retirement. Unfortunately, there's not a one-size-fits-all answer. There are several rules of thumb to help you figure out how much to save to retire. But the exact dollar amount you need will depend on a variety of factors -- especially where you plan to live in retirement. Do You Stack Up? Here's the Exact Savings You Need To Retire in Your State That's because the cost of living varies from state to state. In some places, you can get by on even a small nest egg, while in others, even $2 million won't be enough. Your age at retirement also plays a factor. To pinpoint the average retirement income you would need to live comfortably throughout the U.S., GOBankingRates looked at five factors in all 50 states and the District of Columbia: an individual's spending on groceries, healthcare, housing, utilities and transportation. Then, the annual retirement income needed to cover these living expenses was calculated, with an additional 20% to account for the "comfortable" aspect of retirement. The states are ranked from least to most expensive. It should be noted that the suggested annual savings don't include Social Security payouts, potential pension income or interest earned on savings. Find out exactly how much you'll need to retire comfortably in your state. Last updated: Jan. 1, 2021

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Mississippi

  • Total expenditures: $42,953
  • 20% comfort buffer: $10,738
  • Cost of a comfortable retirement annually: $53,691
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Kansas

  • Total expenditures: $43,866
  • 20% comfort buffer: $10,966
  • Cost of a comfortable retirement annually: $54,832
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Oklahoma

  • Total expenditures: $43,967
  • 20% comfort buffer: $10,992
  • Cost of a comfortable retirement annually: $54,959
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New Mexico

  • Total expenditures: $44,221
  • 20% comfort buffer: $11,055
  • Cost of a comfortable retirement annually: $55,276
Read: 50 Things Every 50-Something Should Know About Retirement
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Arkansas

  • Total expenditures: $44,728
  • 20% comfort buffer: $11,182
  • Cost of a comfortable retirement annually: $55,910
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Missouri

  • Total expenditures: $44,779
  • 20% comfort buffer: $11,195
  • Cost of a comfortable retirement annually: $55,973
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Indiana

  • Total expenditures: $45,387
  • 20% comfort buffer: $11,347
  • Cost of a comfortable retirement annually: $56,734
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Alabama

  • Total expenditures: $45,438
  • 20% comfort buffer: $11,359
  • Cost of a comfortable retirement annually: $56,797
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Illinois

  • Total expenditures: $45,489
  • 20% comfort buffer: $11,372
  • Cost of a comfortable retirement annually: $56,861
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Tennessee

  • Total expenditures: $45,641
  • 20% comfort buffer: $11,410
  • Cost of a comfortable retirement annually: $57,051
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Georgia

  • Total expenditures: $45,641
  • 20% comfort buffer: $11,410
  • Cost of a comfortable retirement annually: $57,051
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Michigan

  • Total expenditures: $45,692
  • 20% comfort buffer: $11,423
  • Cost of a comfortable retirement annually: $57,114

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Iowa

  • Total expenditures: $46,351
  • 20% comfort buffer: $11,588
  • Cost of a comfortable retirement annually: $57,938
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Texas

  • Total expenditures: $46,503
  • 20% comfort buffer: $11,626
  • Cost of a comfortable retirement annually: $58,129
Related: 27 Ugly Truths About Retirement
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Ohio

  • Total expenditures: $46,706
  • 20% comfort buffer: $11,676
  • Cost of a comfortable retirement annually: $58,382
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West Virginia

  • Total expenditures: $46,858
  • 20% comfort buffer: $11,714
  • Cost of a comfortable retirement annually: $58,572
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Nebraska

  • Total expenditures: $47,061
  • 20% comfort buffer: $11,765
  • Cost of a comfortable retirement annually: $58,826
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Louisiana

  • Total expenditures: $47,416
  • 20% comfort buffer: $11,854
  • Cost of a comfortable retirement annually: $59,270
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Kentucky

  • Total expenditures: $47,771
  • 20% comfort buffer: $11,943
  • Cost of a comfortable retirement annually: $59,713
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Idaho

  • Total expenditures: $47,821
  • 20% comfort buffer: $11,955
  • Cost of a comfortable retirement annually: $59,777
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Wyoming

  • Total expenditures: $47,923
  • 20% comfort buffer: $11,981
  • Cost of a comfortable retirement annually: $59,904
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North Carolina

  • Total expenditures: $48,430
  • 20% comfort buffer: $12,107
  • Cost of a comfortable retirement annually: $60,537
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South Carolina

  • Total expenditures: $48,430
  • 20% comfort buffer: $12,107
  • Cost of a comfortable retirement annually: $60,537
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Wisconsin

  • Total expenditures: $48,531
  • 20% comfort buffer: $12,133
  • Cost of a comfortable retirement annually: $60,664
Find Out: 25 Ways To Maximize Your Retirement Benefits

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North Dakota

  • Total expenditures: $48,937
  • 20% comfort buffer: $12,234
  • Cost of a comfortable retirement annually: $61,171
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Utah

  • Total expenditures: $49,140
  • 20% comfort buffer: $12,285
  • Cost of a comfortable retirement annually: $61,425
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Florida

  • Total expenditures: $50,306
  • 20% comfort buffer: $12,577
  • Cost of a comfortable retirement annually: $62,883
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South Dakota

  • Total expenditures: $50,560
  • 20% comfort buffer: $12,640
  • Cost of a comfortable retirement annually: $63,200
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Arizona

  • Total expenditures: $50,763
  • 20% comfort buffer: $12,691
  • Cost of a comfortable retirement annually: $63,453
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Minnesota

  • Total expenditures: $51,321
  • 20% comfort buffer: $12,830
  • Cost of a comfortable retirement annually: $64,151
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Virginia

  • Total expenditures: $51,422
  • 20% comfort buffer: $12,855
  • Cost of a comfortable retirement annually: $64,277
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Colorado

  • Total expenditures: $52,335
  • 20% comfort buffer: $13,084
  • Cost of a comfortable retirement annually: $65,418
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Pennsylvania

  • Total expenditures: $52,335
  • 20% comfort buffer: $13,084
  • Cost of a comfortable retirement annually: $65,418
Take Caution: 14 Key Signs You Will Run Out of Money in Retirement
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Delaware

  • Total expenditures: $54,617
  • 20% comfort buffer: $13,654
  • Cost of a comfortable retirement annually: $68,271
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New Hampshire

  • Total expenditures: $54,769
  • 20% comfort buffer: $13,692
  • Cost of a comfortable retirement annually: $68,461

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Montana

  • Total expenditures: $54,870
  • 20% comfort buffer: $13,718
  • Cost of a comfortable retirement annually: $68,588
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Nevada

  • Total expenditures: $55,175
  • 20% comfort buffer: $13,794
  • Cost of a comfortable retirement annually: $68,968
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Washington

  • Total expenditures: $56,899
  • 20% comfort buffer: $14,225
  • Cost of a comfortable retirement annually: $71,124
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Maine

  • Total expenditures: $58,420
  • 20% comfort buffer: $14,605
  • Cost of a comfortable retirement annually: $73,025
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Vermont

  • Total expenditures: $59,181
  • 20% comfort buffer: $14,795
  • Cost of a comfortable retirement annually: $73,976
See: How Long $500K Will Last in Retirement in Each State
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Rhode Island

  • Total expenditures: $60,144
  • 20% comfort buffer: $15,036
  • Cost of a comfortable retirement annually: $75,181
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New Jersey

  • Total expenditures: $62,071
  • 20% comfort buffer: $15,518
  • Cost of a comfortable retirement annually: $77,589
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Connecticut

  • Total expenditures: $62,984
  • 20% comfort buffer: $15,746
  • Cost of a comfortable retirement annually: $78,730
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Maryland

  • Total expenditures: $64,911
  • 20% comfort buffer: $16,228
  • Cost of a comfortable retirement annually: $81,139
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Alaska

  • Total expenditures: $65,114
  • 20% comfort buffer: $16,279
  • Cost of a comfortable retirement annually: $81,393
Stay Close to Home: The Most Affordable Places To Retire Near You
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Massachusetts

  • Total expenditures: $65,773
  • 20% comfort buffer: $16,443
  • Cost of a comfortable retirement annually: $82,217

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Oregon

  • Total expenditures: $68,106
  • 20% comfort buffer: $17,027
  • Cost of a comfortable retirement annually: $85,133
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California

  • Total expenditures: $72,366
  • 20% comfort buffer: $18,092
  • Cost of a comfortable retirement annually: $90,458
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New York

  • Total expenditures: $79,060
  • 20% comfort buffer: $19,765
  • Cost of a comfortable retirement annually: $98,825
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District of Columbia

  • Total expenditures: $81,494
  • 20% comfort buffer: $20,374
  • Cost of a comfortable retirement annually: $101,868
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Hawaii

  • Total expenditures: $100,207
  • 20% comfort buffer: $25,052
  • Cost of a comfortable retirement annually: $125,259
More From GOBankingRates Methodology: GOBankingRates analyzed the following expenditures of Americans ages 65 and older, based on the following data sourced from the Bureau of Labor Statistics' most recent Consumer Expenditure Survey release (July 2018 through June 2019): (1) annual spending on groceries, defined as "food at home"; (2) annual spending on housing, defined as "shelter"; (3) annual spending on transportation, defined as"gasoline, other fuels, and motor oil" and "other vehicle expenses"; (4) annual spending on healthcare; (5) annual spending on utilities, defined as "utilities, fuels, and public services"; and (6) overall average annual expenditures. Spending estimates were adjusted to the state level by multiplying each cost category by its corresponding cost of living index score in each state, sourced from the Missouri Economic Research and Information Center's 2020 Q1 cost of living index data. After calculating total consumption expenditures, an additional (7) savings buffer was calculated by assuming that total expenditures consume 80% of one's budget (50% for necessities and 30% for discretionary spending), with 20% left over for savings. GOBankingRates then combined factors (6) and (7) and factored it out by 20 (assuming 20 years of retirement) to give (8) the retirement savings needed to live comfortably. All data was collected on and up to date as of June 29, 2020.