Off to Florida?
A study conducted by BankRate (a financial industry analysis and resource company) evaluated all fifty United States where Americans typically retire by 5 “key” metrics. The study gave each metric, chosen for their relevance/importance for all retirees, a different weight: affordability (40%), well-being (25%), health care (20%), weather (10%), and crime (5%).
Their top 5 picks?
Delaware, West Virginia, Georgia, South Carolina and Missouri.
On the other hand, the BankRate study combined with SmartAsset’s (a financial industry resource company) migration data found most retirees often head to Florida – number 8 on the list. In fact, only three states on the list of best places to retire appear in the list of where people actually retire – with Florida, South Carolina, and Georgia appearing in both lists.
The Top 10 States for Retirement:
| 1. | Delaware |
| 2. | West Virginia |
| 3. | Georgia |
| 4. | South Carolina |
| 5. | Missouri |
| 6. | Mississippi |
| 7. | Pennsylvania |
| 8. | Florida |
| 9. | Iowa |
| 10. | Wyoming |
What are these discrepancies saying? One explanation could be that experts are underappreciating the role of weather in influencing retirement decisions, while overweighting other factors such as affordability. In fact, 9/10 states where people actually do retire are considered “warm” or “hot”. This is especially apparent for Florida, which is famous for its hot summers, but also has a relatively high cost of living.
The takeaway? Whether you’re planning on moving to escape the winters or happy where you are, the key to a happy and healthy retirement is smart, holistic wealth management. Working with a financial advisor is a great way to secure both yours and your family’s future as you enter your golden years.
Philip Rongo is a fiduciary that specializes in active and engaged wealth management and financial planning, and managing director at IBEX Wealth Advisors, an RIA with over $1 Billion in client assets. Actively managing all client investments personally, he has beaten the S&P500 six years in a row – and had these results confirmed by third-party evaluators. If you’re tired of cookie-cutter financial planning solutions and want to take an active approach that is specific to your needs, schedule a free consultation today, I’d love to work with you to grow and protect your legacy.