How Much Money Would You Need to Save to Retire in Iowa by 35?
Well, I'm doomed.
If you're hoping to retire sometime before the typical retirement age, you better be a big saver! According to Thrillist, a new study revealed how much money you should save to comfortably retire in every state by age 35, 45, or 55. HowMuch looked at the annual cost of living in each state to determine their numbers. The article reads:
"Specifically, they adjusted the cost of living on a state-by-state basis using data from the Bureau of Labor Statistics and then divided those by .04 (assuming that's the rate at which each person would draw down their savings each year)."
So if you want to retire by age 35 in the state of Iowa, how much would you need to have saved? Approximately $1,579,153. And that's actually one of the CHEAPEST states in the country. So, you know, no big deal...
If you want to retire in ANY state by the age of 55, you'll need to have at least $1.4 million in your savings. And, unfortunately, the study did not include other factors like inflation, which is sure to make these numbers higher in the future.
The cheapest state to retire at 35 is Mississippi at $1.49 million in savings, while the most expensive is Hawaii at $3.26 million in savings.
At this rate, I'll probably be 97 by the time you stop hearing me on the radio!
Read more results from the study HERE.