Saved $1 million for retirement? Here's where your money will last the longest around the U.S. (2024)

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Saved $1 million for retirement? Here's where your money will last the longest around the U.S.? ›

The key finding: Retirees can get the biggest bang for their buck in Mississippi, where the combined cost of food, utilities, housing, health care and other essentials is $44,000 per year. Saving of $1 million in the state would last you nearly 23 years, the personal finance site said.

Once you have $1 million in assets, you can look seriously at living entirely off the returns of a portfolio. After all, the S&P 500 alone averages 10% returns per year. Setting aside taxes and down-year investment portfolio management, a $1 million index fund could provide $100,000 annually.

Putting that much aside could make it easier to live your preferred lifestyle when you retire, without having to worry about running short of money. However, not a huge percentage of retirees end up having that much money. In fact, statistically, around 10% of retirees have $1 million or more in savings.

The average retirement savings for all families is $333,940, according to the 2022 Survey of Consumer Finances. The median retirement savings for all families is $87,000.

For retirees in California, the annual cost of living expenses would be $72,319.57, meaning a $1 million retirement fund would last for about 14 years. Retirement can often last 25 years or more, according to Fidelity.

Specifically, those with over $1 million in retirement accounts are in the top 3% of retirees. The Employee Benefit Research Institute (EBRI) estimates that 3.2% of retirees have over $1 million, and a mere 0.1% have $5 million or more, based on data from the Federal Reserve Survey of Consumer Finances.

To be considered wealthy at age 65 or older, you need a household net worth of $3.2 million, according to finance expert Geoffrey Schmidt, CPA, who used data from the 2019 Survey of Consumer Finances (SCF) to determine the household net worth needed at age 65 or older to determine the various percentiles of wealth in ...

Americans looking to stretch their retirement savings may want to head to states in the South or the Midwest, a recent analysis suggests. Around the U.S., a $1 million nest egg can cover an average of 18.9 years worth of living expenses, GoBankingRates found.

Where do the happiest retirees live? ›

Denmark has the highest level of life satisfaction among seniors and retirees, according to the World Happiness Report, which, for the first time ever, ranked countries by age group.

Querétaro, a historic city in Central Mexico, and Isla Mujeres and Cozumel, islands off the coast of Cancun and Riviera Maya, all offer housing for as low as $500 a month, access to excellent healthcare, and an abundance of recreational activities. However, five of the destinations on the list are in Southeast Asia.

Overall total average payments for the state of California: Total number of beneficiaries: 6,166,205. Total benefits: $9,340,498,000. Average total benefits: $1,515.

How Many People Have $1,000,000 in Retirement Savings? According to Fidelity's Q3 2023 report, about 378,000 people had more than a million dollars in their 401(k)s.

The average returns for mutual funds is 4.67%. With $1,000,000 invested, you will get $46,700 per year in interest. A lot of retirees gradually shift to more stable retirement income funds. Those kinds of funds usually invest in less risky bonds and large-cap companies.

Around the U.S., a $1 million nest egg can cover an average of 18.9 years worth of living expenses, GoBankingRates found. But where you retire can have a profound impact on how far your money goes, ranging from as a little as 10 years in Hawaii to more than than 20 years in more than a dozen states.

Many Americans need at least $1 million invested to live off interest, but it varies. Explore how to live off interest and calculate how much you need for retirement.

5% APY: With a 5% CD or high-yield savings account, your $50,000 will accumulate $2,500 in interest in one year. 5.25% APY: A 5.25% CD or high-yield savings account will bring you $2,625 in interest within a year.