The most important question as you decide when is the best time to retire is how much money will you need to do so.
That number depends on how you want to live in retirement. If you have $250,000 in your bank, you actually have some options that could fund several years of retirement.
Here are the best states to retire in, based on data from the U.S. Census Bureau and other resources.
If you’re over 50, take advantage of massive travel discounts and trip-planning resources
Over 50 and love traveling? Join AARP today — because if you’re not a member, you could be missing out on huge travel perks. When you start your membership today, you can get discounts on hotels and resorts, airfare, cruises, car rentals, and more.
How to become a member today:
- Go here, select your free gift, and click “Join Today”
- Create your account (important!) by answering a few simple questions
- Start enjoying your discounts and perks!
An AARP membership not only unlocks discounts that could save you hundreds on your next trip, but you’ll also have access to deals on vacation packages, guided tours, and exclusive content to help plan your next getaway.
Important: Start your membership by creating an account here and filling in all of the information (do not skip this step!). Doing so will allow you to take up to 25% off your AARP membership, making it just $12 per year with auto-renewal.
In Mississippi, you can expect $250,000 to last you about six years and three months, with the average annual expenditure at over $39,500 for retirees. Mississippi has a very low cost of living, making it quite affordable for most needs.
While the state certainly offers warm weather, it may not be ideal for those who want to live along pristine beaches or in upscale communities.
Want to learn how to build wealth like the 1%? Sign up for Worthy to get ideas and advice delivered to your inbox.
Making the decision to move to Oklahoma could position you to live for just over six years with $250,000 in the bank. With annual expenditures for retirees around $40,300, you’ll be able to afford the region.
Oklahoma offers a low cost of living as well and a more improved quality of life than Mississippi. However, it’s lacking in areas such as culture and diversity.
In Kansas, you can expect $250,000 to last about six years and one month. The average annual spending for retirees is about $40,600 here.
When it comes to Kansas, it is not the most affordable region of the country, but the costs are moderate and the state offers residents a bit of a better quality of life overall.
Earn a $250 travel bonus with this incredible card
There's a credit card that's making waves with its amazing bonus and benefits. The Bank of America® Travel Rewards credit card has no annual fee and you can earn 25,000 bonus points after spending $1,000 in purchases in the first 90 days of account opening.
You can earn additional points just by using this card for your everyday purchases — unlimited 1.5 points per $1 spent on all purchases. The 25,000 bonus points can be redeemed for a $250 statement credit toward travel or dining purchases.
If you want to travel and dine out more, the Travel Rewards card can help you get where you want to go.
The best part? There's no annual fee.
The southern charm and more relaxed lifestyle of Alabama could work well for some people. Your income here would last about six years, with annual expenditures at around $41,600.
Most needs are affordable here, and the weather is warm most times of the year. Less diversified and with less overall culture, it may be limiting for some people.
Those looking to live in a rural area may find Iowa to be ideal. With $250,000, you can expect to meet all of your goals for about five years and 11 months. Retirees have an annual expenditure of $41,900 here, making it more affordable than in many other states.
Well-being is moderate here, as is the overall diversity and culture. Iowa does have some harsh weather, though.
Depending on where you choose to live in Georgia, you could find it to be one of the best places to retire. Here, your savings will last about five years and 11 months, with annual expenditures of around $41,900.
Georgia’s quality-of-life factors, such as well-being, culture, and diversity, get mid-range ratings. The overall affordability of living is good, and the weather is ideal for those who don’t want to have to worry about snow.
Deciding to live in Indiana will mean your savings may last you about five years and 10 months. Annual expenditures for retirees here are over $42,400. It is one of the most affordable Midwest states in the country with some culture and diversity.
The weather can be difficult at certain times of the year, but with low crime and overall affordability, Indiana ranks well.
As you weigh whether you can retire early, take the time to consider all of your income and savings.
With Social Security income, a retirement plan, and your savings, you may have enough to choose any of these areas to retire. There are still other ways to supplement your income. And if work part-time, that could also help extend your savings longer.
Still, many other states offer more moderate costs of living but may have a few more affordable communities worthy of consideration as well.
FinanceBuzz is not an investment advisor. This content is for informational purposes only, you should not construe any such information as legal, tax, investment, financial, or other advice.
Easy-to-Earn Unlimited Rewards
- Earn 25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases
- Earn 1.5 points per $1 spent on all purchases
- Longer intro APR on qualifying purchases and balance transfers
- No foreign transaction fees
- Apply Now
- Earn unlimited 1.5 points per $1 spent on all purchases, with no annual fee and no foreign transaction fees and your points don't expire as long as your account remains open.
- 25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases.
- Use your card to book your trip how and where you want - you're not limited to specific websites with blackout dates or restrictions.
- Redeem points for a statement credit to pay for travel or dining purchases, such as flights, hotel stays, car and vacation rentals, baggage fees, and also at restaurants including takeout.
- 0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 18.24% - 28.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%.
- If you're a Bank of America Preferred Rewards® member, you can earn 25%-75% more points on every purchase. That means instead of earning an unlimited 1.5 points for every $1, you could earn 1.87-2.62 points for every $1 you spend on purchases.
- Contactless Cards - The security of a chip card, with the convenience of a tap.
- This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.
Earn 25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases
Why we like it