Should I Retire in Another State?

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Choosing where you retire will be influenced by a number of factors.

You are nearing retirement.

You have so many adventures ahead of you.

The big question is where will these retirement adventures take place?

According to a recent The Motley Fool article titled “4 Reasons to Relocate in Retirement,” you need to consider a few factors before you choose to stay or move when you retire.

What are they?

You may be able to save money in retirement if you move.
Evaluate your retirement options before you pack your possessions.

Cost of living.

Living expenses vary across the Unites States.

Some locations are obviously more expensive.

When you work in a city, it may make sense to live in the city since you may be able or afford it.

If you live in Los Angeles, Chicago, New York, or San Francisco, it may be prudent to leave once you are living on a fixed income.

Cities will have higher prices for housing, gas, and food.

In almost all cases, you may enjoy a better standard of living if you relocate from a city in retirement.

Tax rates.

Not all states levy the same taxes.

Choosing states with lower and even fewer taxes will allow you to keep more of your income.

Specifically check on your property taxes and whether your state has a tax on Social Security benefits.

For example, Kansas does tax Social Security benefits.

Transportation.

Owning and using a car is costly.

On average, the expenses per year total $8,849.

You could save money by selecting a place with public transportation.

Although moving could maximize your money in retirement, quality of life is measured in more than dollars.

Including friends and family in the discussion could help you make a wise decision for you and all concerned.

Reference: The Motley Fool (Sep. 1, 2019) “4 Reasons to Relocate in Retirement”