15 Best States to Help You Boost Your Retirement Savings

Insider Monkey09-16

This article looks at the 15 best states to help you boost your retirement savings. If you wish to skip our detailed analysis on boosting savings in the Peak 65 era, jump to 5 Best States to Help You ...

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If you wish to skip our detailed analysis on boosting savings in the Peak 65 era, jump to 5 Best States to Help You ...</p>\n\n<a href=\"https://finance.yahoo.com/news/15-best-states-help-boost-225525961.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>15 Best States to Help You Boost Your Retirement Savings</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\n15 Best States to Help You Boost Your Retirement Savings\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-16 06:55 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/15-best-states-help-boost-225525961.html><strong>Insider Monkey</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>This article looks at the 15 best states to help you boost your retirement savings. If you wish to skip our detailed analysis on boosting savings in the Peak 65 era, jump to 5 Best States to Help You ...</p>\n\n<a href=\"https://finance.yahoo.com/news/15-best-states-help-boost-225525961.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4501","symbol_name":"段永平概念","start_time":0,"source_url":"https://finance.yahoo.com/news/15-best-states-help-boost-225525961.html","article_id":"2467853534","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/bQbak5ydUcvgyHZVu9slhQ--~B/aD0xMDY3O3c9MTI4MDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/insidermonkey.com/cabbbe29aeb7725e229d4689e4b7b059"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2467853534","pubTimestamp":1726440925,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"This article looks at the 15 best states to help you boost your retirement savings. If you wish to skip our detailed analysis on boosting savings in the Peak 65 era, jump to 5 Best States to Help You Boost Your Retirement Savings.2024 marks the year of the “Peak 65”. This trend denotes the period where a record 4.1 million Americans will be turning 65 this year and every year till 2027. The concerning reality about this trend is that the majority of these Peak 65ers don’t have access to a pension, the income that was previously used to fill the gap left by Social Security.READ NEXT: 17 Best Places to Retire in the US in 2024 and 2025 Social Security COLA Increase: 15 Best Cities for Retirees. While moving states to stretch your dollar income seems like a wise move, not everyone has the heart, health, or resources to do so. This is why individuals should save for retirement as early as possible. Some ways to boost your retirement savings include simple things like contributing to your 4","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4501":"段永平概念","BK4585":"ETF&股票定投概念","TROW":"普信集团","BK4588":"碎股","BK4533":"AQR资本管理(全球第二大对冲基金)","BK4135":"资产管理与托管银行","BK4232":"货物陆运","UHAL":"U-Haul","SG9999001440.SGD":"United Global Dividend Equity Fund A SGD Dist","BK4022":"陆运","BK4567":"ESG概念"},"translate_title":"帮助您增加退休储蓄的15个最佳州","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"UHAL":1,"TROW":0.9},"content_text":"This article looks at the 15 best states to help you boost your retirement savings. If you wish to skip our detailed analysis on boosting savings in the Peak 65 era, jump to 5 Best States to Help You Boost Your Retirement Savings. \nBoosting Retirement Savings in the Peak 65 Era\n2024 marks the year of the “Peak 65”. This trend denotes the period where a record 4.1 million Americans will be turning 65 this year and every year till 2027. The concerning reality about this trend is that the majority of these Peak 65ers don’t have access to a pension, the income that was previously used to fill the gap left by Social Security.\nREAD NEXT: 17 Best Places to Retire in the US in 2024 and 2025 Social Security COLA Increase: 15 Best Cities for Retirees\nWhile several studies have been demonstrating that retirement savings amongst Americans have been up, such as those by Vanguard and Fidelity, Americans are still far behind the magic number they believe they need for a comfortable retirement. In a Vanguard report called “How America Saves 2024”, it was revealed that Vanguard participant account balances have increased by 19% since year-end 2022.\nDelving deeper into these statistics, in 2023, the average account balance for Vanguard participants was $134,128, while the median was only $35,286. The large gap between the average and median is due to a small number of investors with very high balances, which in turn raises the average. In contrast, 40% of participants had less than $20,000 in their accounts, reflecting a more modest typical balance.\nSimilarly, the average 401(k) plan savings rate has also hit a record high in the first quarter of 2024. According to a Fidelity analysis of 26,000 corporate plans and nearly 24 million participants, the investment firm revealed how the combined savings rate for plans and participants reached 14.2% in Q1. The recommended benchmark, however, stands at 15% which allows one to maintain their current lifestyle in retirement.\nLooking at the numbers, the financial reality for many retirees looks rather bleak. As a result, many older Americans are on the move. According to a report on migration trends by Hire a Helper, more than 338,000 US residents moved to a new home in the year 2023, a 44% jump from the prior year. According to U-Haul Holding Company (NYSE:UHAL-B), an American moving truck, trailer, and self-storage Rental Company, some of the top states retirees are moving to are Texas and Florida. Indeed, these states are some of the best states to retire on a fixed income, offering perks such as no income tax and affordable cost of living.\nWhile moving states to stretch your dollar income seems like a wise move, not everyone has the heart, health, or resources to do so. This is why individuals should save for retirement as early as possible. Some ways to boost your retirement savings include simple things like contributing to your 401(k) account, meeting your employer's match, and opening an IRA.\nMoreover, the best way to save for retirement in your 50s is to take advantage of catch-up contributions. Individuals who reach the age of 50 are eligible to go beyond normal limits with these catch-up contributions, helping them boost retirement savings. T. Rowe Price Group, Inc. (NASDAQ:TROW) also suggests aiming for a 15% savings goal. Steady saving and increasing contributions periodically can help participants reach their retirement goals.\nMany retirement plans also offer automatic savings and auto increase options. T. Rowe Price Group, Inc. (NASDAQ:TROW), a global investment management firm, offers several retirement plans that retirees can use. T. Rowe Price Group, Inc. (NASDAQ:TROW) is also a dividend aristocrat for those looking for a steady passive income. The company's revenue depends on investing client funds. This exposes it to earnings fluctuations due to client inflows, outflows, and market volatility, making its profitability as unpredictable as the market.\nDespite these challenges, the company remains financially strong, with no long-term debt and a low debt-to-equity ratio of 0.03. This solid financial foundation offers a strong buffer, supporting dividend stability even during volatile market periods. In the first quarter of 2024, the company returned $365 million to shareholders through dividends and share repurchases.\nWhile we acknowledge the potential of TROW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TROW but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.\n\nMethodology\nOur methodology ranks states based on three critical factors: cost of living, retirement tax friendliness, and overall tax burden. The cost of living metric accounts for daily expenses, including housing, groceries, utilities, and healthcare, which are essential for retirees managing fixed incomes. Retirement tax friendliness evaluates each state's treatment of Social Security benefits and pension income, both of which are vital sources of retirement funds that can significantly impact savings potential. Lastly, the overall tax burden encompasses income, sales, and property taxes, offering a comprehensive view of the total tax liability retirees face. Overall tax burden percentages are taken from Wallethub.\nBy combining these factors, we provide a holistic ranking of states that best support retirees in maximizing their savings. Disclaimer: Results are based on our specific methodology and may vary with different criteria or methodologies. Individual experiences may differ.\nAt Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).\nHere are the best states to help boost your retirement savings:\n15. Mississippi\nInsider Monkey Score: 70\nMississippi lands on our list of best states to help boost your retirement savings due to its ideal balance between affordable living costs, overall tax liability, and retirement tax friendliness. Living expenses in the state are 12% lower than the national average, allowing residents to spend less than they would in other areas. This naturally provides more opportunities for saving. The overall tax burden for Mississippians is around 8.8%, which is considerably lower than the 12.02% high in New York.\n14. Delaware\nInsider Monkey Score: 70\nDelaware is another state where individuals can boost their savings and retirees can stretch them. With an overall tax burden of 6.43%, the state is almost at the top for tax favorability. The state is also amongst the five states in the nation with no sales tax. Property tax burden in the state is also amongst the lowest, standing at 1.77%. With less money going to taxes, individuals in Delaware can invest more effectively and reduce financial stress, leading to greater long-term savings growth. Living expenses in the state are close to the national average, while the state is also tax-friendly towards retirees.\n13. Florida\nInsider Monkey Score: 71\nHardly any list of best states to retire in money-wise is complete without the Sunshine State of Florida. Standing at the 13th position, Florida also makes it to our list due to it’s due to its tax-free living. That’s right, the state does not have a personal income tax, which means individuals get to keep their income without paying taxes. The overall tax burden for the state is 6.05%, making it tax-favorable. Living expenses are a tad bit higher than the national average, but the tax favorability and retirement friendliness make up for it.\n12. Montana\nInsider Monkey Score: 70\nMontana is a relatively taxpayer-friendly state, with zero sales taxes and below-the-national-average property taxes. Living expenses in the state are 5.3% lower than the national average. Combining tax favorability with affordable living expenses, individuals in Montana have a better chance of boosting their retirement savings than in many other states.\n11. Michigan\nInsider Monkey Score: 74\nThe state of Michigan enjoys living expenses 9.1% lower than the national average. The state’s overall tax burden stands at 8.02%, compared to the highest 12.02% in New York. The state is also relatively tax-friendly towards retirees, with no taxes on Social Security income.\n10. West Virginia\nInsider Monkey Score: 75\nNext on our list of best states to help you boost your retirement savings is West Virginia. Compared with Michigan, West Virginia has a high overall tax burden, standing at 8.45%. However, living expenses in the state are 15.7% lower than the national average, resulting in significant savings in terms of cost of living.\n9. Texas\nInsider Monkey Score: 76\nBoasting the right balance between affordability and tax friendliness, Texas is indeed a prime state for boosting one’s retirement savings. Living expenses in the state are more than 8% lower than the national average. There is no income tax in the state, while the overall tax burden is 7.56%. No wonder Texas also made it to our list of best states to retire in the US in 2024.  \n8. Georgia\nInsider Monkey Score: 80\nGeorgia is a highly tax-friendly state for retirees. It doesn’t tax Social Security benefits, and there is a deduction of $65,000 per person on all types of retirement income for anyone age 65 and older. The overall tax burden for the state comes out to be around 7.65% while living expenses in the state are 9.1% lower than the national average. Overall, Georgia's tax advantages and affordable living make it a top choice for retirees looking to maximize their savings.\n7. Missouri\nInsider Monkey Score: 82\nNext on our list of best states to help you boost your retirement savings is the state of Missouri. Living expenses in the state are 11% lower than the national average. Meanwhile, the overall tax burden stands at 7.76%. This percentage signifies one of the lowest tax burdens in the state. Beginning tax year 2024, the state doesn’t tax Social Security retirement benefits either, making it tax-friendly to those who have already retired.\n6. North Dakota\nInsider Monkey Score: 83\nIn North Dakota, the cost of living is 8.3% lower than the national average. The overall tax burden in the state is around 6.8%. The state is notable for its low-income tax rates, with the top marginal rate now at 2.5%. Overall, the state is a good choice for individuals who wish to save more for retirement.\n5. South Dakota\nInsider Monkey Score: 87\nSouth Dakota has been ranked by Insider Monkey as the best state to retire in the US in 2024. Its ideal balance of affordability, retirement tax friendliness, and low tax burden makes it an ultimate choice for retirees and individuals looking to save more of their dollar incomes. Living expenses in the state are 8.8% lower than the national average, while the overall tax burden is 6.44%.\n4. Wyoming\nInsider Monkey Score: 87\nBoasting an even lower overall tax burden and below-average living expenses, Wyoming is another state that will prove to be lucky for retirement savers. The overall tax burden stands at 5.7% while living expenses are 7% lower than the national average. Wyoming doesn’t have an individual income tax either, making it a top choice for many.\n3. Alabama\nInsider Monkey Score: 89\nThe state of Alabama scored 89, managing to get the third spot on our list. The cost of living index for the state is 87.6, which implies that living expenses in the state are 12.4% lower than the national average. It has one of the lowest average effective property tax rates, while the state sales tax rate is also a low 4%.\n2. Oklahoma\nInsider Monkey Score: 91\nOklahoma stands tall on our list, securing the second position. It has an overall tax burden of 7.04%, while living expenses in the state are 14.7% lower than the national average. The state of Oklahoma is also tax-friendly toward retirees.\n1. Tennessee\nInsider Monkey Score: 95\nBased on our methodology, the best state to help boost your retirement savings is Tennessee. The state boasts one of the lowest overall tax burdens in the nation -6.07 %. The state doesn’t have an individual income tax, and retirement savings and Social Security are also not taxed. With living expenses 9.2% below the national average, Tennessee is a cost-effective choice for maximizing retirement savings.\nREAD NEXT: \n$30 Trillion Opportunity: 15 Best Humanoid Robot Stocks to Buy According to Morgan Stanley\n \nand \nJim Cramer Says NVIDIA ‘Has Become A Wasteland’\n. Disclosure: None. This \narticle was originally published on Insider Monkey.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.26.4","shortVersion":"4.26.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2467853534"}