5 States Where You Need $2 Million To Retire for 25 Years

A central concern for many Americans in this most recent election cycle (and the last several election cycles, for that matter) is the efficacy of the Social Security system, and just how much and how long voters will need to save to fund their retirements. 

These questions are compounded by location. Some states are more expensive than others, while other regions are far, far more affordable — all of which determines how much one must save to retire there.

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As such, GOBankingRates has compiled a list — based on such factors as cost of living, housing expenses, healthcare costs and much more — of the states in which you would need to save at least $2 million to ensure a comfortable 25-year retirement.

Here are the states where you need the most money for a 25-year retirement.

Also see states where you can make $1 million or less last 20 years.

• Amount needed for 25 years of comfortable retirement: $1,958,761
• Amount needed for 25 years of retirement without Social Security: $2,521,507
• Annual cost of living comfortably: $123,370

• Amount needed for 25 years of comfortable retirement: $2,186,624
• Amount needed for 25 years of retirement without Social Security: $2,749,370
• Annual cost of living comfortably: $132,485

• Amount needed for 25 years of comfortable retirement: $2,471,637
• Amount needed for 25 years of retirement without Social Security: $3,034,383
• Annual cost of living comfortably: $143,885

• Amount needed for 25 years of comfortable retirement: $2,925,637
• Amount needed for 25 years of retirement without Social Security: $3,488,383
• Annual cost of living: $162,045

• Amount needed for 25 years of comfortable retirement: $3,881,730
• Amount needed for 25 years of retirement without Social Security: $4,444,476
• Annual cost of living: $200,289

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, 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 cost of living was 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 was 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.