PROVIDENCE, R.I. (WPRI) – It’s not easy to save $1 million for retirement. But if you do, the money will last you nearly two decades in Rhode Island.
A new study by GOBankingRates, a personal-finance website, estimates that $1 million will last a retiree 18 years and 2 months in Rhode Island. That’s less than most states – Rhode Island ranks 42nd out of 50 for how long the million can stretch – but about a year longer than Massachusetts or Connecticut.
“Rhode Island is the first state where $1 million will see you through an average length retirement,” GOBankingRates notes in its analysis.
“Health care, transportation and groceries all cost more in Rhode Island than they do in most of the country, but not by much,” the site said. “The big bank breakers are housing, which costs $21,942 per year, and utilities, which costs retirees in the state $4,621 per year.”
In all you’ll need about a total of about $55,000 a year to retire in Rhode Island, according to the site’s estimates.
If you really want your money to last, though, you should move to Mississippi: $1 million will last the average retiree 26 years in the Magnolia State, longer than anywhere else in the country. And if you want to blow your money fast but do so surrounded by amazing scenery, head for Hawaii, where $1 million won’t make it 12 years due to the high cost of essentials like groceries and housing.
“The AARP suggests a retirement income nest egg of at least $1 million, but the buying power of $1 million varies wildly depending on where you live,” GOBankingRates noted. “So if you’re asking ‘how long will my money last in retirement,’ the answer depends on your state.”