11 Southern States Where You Can Retire for 20 Years on Less Than $1 Million

A comfortable retirement in America is more elusive in some states than others. For example, in Hawaii, the average person needs more than $3 million on top of Social Security to retire well for 20 years.

GOBankingRates defines “retiring comfortably” as possessing double the amount needed for paying for your life necessities (housing, food, etc.). After deducting the average annual Social Security amount of $22,510, GOBankingRates calculated the amount needed to retire comfortably in every state.

It might come as no surprise that the cheapest states are in the South: Mississippi requires just $442,620 to retiree comfortably with Social Security for 20 years. Check out the Southern states where you can retire well for that long if you have under $1 million saved.

Also see where you can retire for 25 years for that amount. 

• Annual cost of a comfortable living: $90,206
• Cost of 20 years of comfortable retirement with Social Security: $903,726
• Cost of 20 years of comfortable retirement without Social Security: $1,353,923

• Annual cost of a comfortable living: $89,501
• Cost of 20 years of comfortable retirement with Social Security: $889,631
• Cost of 20 years of comfortable retirement without Social Security: $1,339,828

• Annual cost of a comfortable living: $85,459
• Cost of 20 years of comfortable retirement with Social Security: $808,779
• Cost of 20 years of comfortable retirement without Social Security: $1,258,975

• Annual cost of a comfortable living: $84,702
• Cost of 20 years of comfortable retirement with Social Security: $793,646
• Cost of 20 years of comfortable retirement without Social Security: $1,243,843

• Annual cost of a comfortable living: $84,451
• Cost of 20 years of comfortable retirement with Social Security: $788,630
• Cost of 20 years of comfortable retirement without Social Security: $1,238,827

• Annual cost of a comfortable living: $73,678
• Cost of 20 years of comfortable retirement with Social Security: $573,163
• Cost of 20 years of comfortable retirement without Social Security: $1,023,360

• Annual cost of a comfortable living: $72,899
• Cost of 20 years of comfortable retirement with Social Security: $557,577
• Cost of 20 years of comfortable retirement without Social Security: $1,007,774

• Annual cost of a comfortable living: $72,010
• Cost of 20 years of comfortable retirement with Social Security: $539,812
• Cost of 20 years of comfortable retirement without Social Security: $990,009

• Annual cost of a comfortable living: $69,971
• Cost of 20 years of comfortable retirement with Social Security: $499,020
• Cost of 20 years of comfortable retirement without Social Security: $949,217

• Annual cost of a comfortable living: $69,517
• Cost of 20 years of comfortable retirement with Social Security: $489,937
• Cost of 20 years of comfortable retirement without Social Security: $940,133

• Annual cost of a comfortable living: $67,151
• Cost of 20 years of comfortable retirement with Social Security: $442,620
• Cost of 20 years of comfortable retirement without Social Security: $892,817

Methodology: For this study, GOBankingRates analyzed each state to find the amount you need to save monthly in order to retire comfortably. First, GOBankingRates found each state’s total population, population ages 65 and over, total households and household median income, all sourced from the U.S. Census American Community Survey. Using this data, the percentage of the population ages 65 and over was calculated. The cost-of-living indexes were sourced from the Missouri Economic and Research Information Center and include the grocery, healthcare, housing, utilities, transportation and miscellaneous cost-of-living indexes. Using the cost-of-living indexes for grocery, healthcare, utilities, transportation and miscellaneous, as well as the national average expenditure costs, as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey, the average expenditure cost for each state was calculated. The average single-family home value was sourced from Zillow Home Value Index for October 2024. Using the average single-family home value, assuming a 10% down payment, and using the most recent national average 30-year fixed mortgage rate, as sourced from the Federal Reserve Economic Data, the average mortgage was calculated. Using the average mortgage and average expenditure costs, the average total monthly and annual cost of living were calculated. Using the 50/30/20 rule that states that needs should not exceed 50% of household income, the total cost of living was doubled in order to find the amount needed to live comfortably. The average Social Security benefits were sourced from the Social Security Administration for each state. Using the average Social Security benefits as well as the total cost of living comfortably, the amount needed to live comfortably after Social Security benefits can be calculated. A variety of ages were used to calculate savings; started saving at 20, 25 and 30, the age of retirement is 65, and the life expectancy is 80, 85 and 90 years old. The amount needed before and after Social Security benefits was calculated for each age of starting savings and each age of life expectancy. All data was collected on and is up to date as of Nov. 15, 2024.